Press release from the Diamondbacks and unsigned draft pick Barret Loux:
"We have reached an agreement regarding Barret Loux’s status that is mutually beneficial to the parties. Today Commissioner Selig has announced that Loux will become a free agent on September 1. As such, he will be free to sign with any Major League Club at that time. In addition, the Arizona Diamondbacks will receive a Supplemental Selection in the 2011 First-Year Player Draft. The agreement also provides an opportunity for the Commissioner’s Office and the Players Association globally to the address the issues that can arise from questions concerning a drafted player’s health. Given the private nature of the underlying disagreement here, neither party will be making any further public comments about this situation."
Chosen sixth overall by the D'Backs, Loux's July physical revealed a labrum tear and elbow issues according to Yahoo's Jeff Passan. The D'Backs backed out of a $2MM agreement, as was their right, and will receive the seventh overall pick as compensation in 2011. With the money freed up the Diamondbacks went over slot yesterday to sign draft picks such as Ty Linton ($1.25MM), Tyler Green ($750K), and Blake Perry ($500K).
Once Loux reaches free agency, Yahoo's Kendall Rogers wouldn't be surprised to see the White Sox pursue him (Twitter link). The Astros will look into signing Loux, GM Ed Wade told Zachary Levine of the Houston Chronicle. Free agency is a very positive outcome for Loux, as one MLBTR commenter explains here.