Angels May Seek Contract Action Against Josh Hamilton

APRIL 14: Ken Rosenthal of FOX Sports reports that Hamilton’s contract does indeed contain language that would allow the Angels to terminate or convert the deal if he is physically/mentally incapacitated due to alcohol and drugs (specifically, if he is less than “first-class condition”), though the clause is not unique to his deal. However, Hamilton and the union would still be able to argue that the JDA supersedes contractual clauses of this nature, so it remains unclear if the Angels would be able to take any form of action. If they were eventually able to attempt such action, they can only target Hamilton’s $30MM salaries in 2016 and 2017, as his 2015 salary of $23MM became fully guaranteed on Opening Day.

APRIL 10, 9:44pm: The union has issued a statement rejecting the idea that the Angels would have any basis to pursue Hamilton (h/t Ken Rosenthal):

“The MLBPA emphatically denies Los Angeles Angels owner Arte Moreno’s assertions from earlier today that the Angels had requested and received the approval of the Union to insert language into Josh Hamilton’s contract that would supersede the provisions of the Joint Drug Agreement and/or the Basic Agreement. To the contrary, the collectively bargained provisions of the JDA and the Basic Agreement supersede all other player contract provisions and explicitly prevent Clubs from exactly the type of action Mr. Moreno alluded to in his press comments today.”

7:38pm: Angels owner Arte Moreno told reporters today that his club may seek to enforce provisions of the team’s contract with Josh Hamilton relating to the use of alcohol or drugs, Bill Shaikin of the Los Angeles Times was among those to report (Twitter links). Pedro Moura of the Orange County Register reports further details.

Hamilton was recently determined not to have violated his treatment program by an arbitrator, despite apparently admitting a relapse of some kind. (His early career was, of course, marred by numerous drug-related suspensions.) That led to a rather firm rebuke from the club.

The the precise language that the Angels might rely upon remains unknown, as does the remedy they could theoretically seek. “It’s not about money, nothing about money,” Moreno said. “In our contract, there’s language that he signed and that his agent approved that said he cannot drink and use drugs. So, we have specific language in the agreement. We have a couple other players who have the same language.” While the language may not be unique, Moreno did say that it was a point that the team specifically negotiated: “When we started talking to him, we went through his history. We felt it was important for us to have language in our agreement.”

Underlying the matter at this point is the fact that Hamilton not only has apparently relapsed, but that he is starting the year on the DL after two rough seasons to start his career with the Halos. The club owes Hamilton $83MM from this season through 2017 under his deal, and at this point would certainly welcome a chance to avoid some or all of that obligation (though Moreno says “it’s not about money”).

Moreno’s statements (coming on the back of the strong words from GM Jerry Dipoto) certainly seem to indicate that the team is serious about pursuing some action. Asked if he could say that Hamilton would again play in an Angels uniform, Moreno replied: “I will not say that.”

But one major issue with any attempt to pursue action under Hamilton’s contract is the collectively-bargained Joint Drug Prevention and Treatment Program (JDA). As Jeff Fletcher of the Orange County Register tweets, the prevailing wisdom holds that the JDA — which outlines punishment for PEDs and recreational drugs — precludes resort to contract terms to punish players for violating the league’s drug rules. There may be some arguments around the JDA’s bar on other means of enforcing violations of its terms, but they seem to face an uphill battle.