The MLB Players Association has filed a grievance against the Yankees in regards to the team’s plans to withhold Jacoby Ellsbury’s salary for the 2020 season, Ronald Blum of the Associated Press reports. The matter will be heard by an arbitrator, with no timeline given as to when the hearing will take place or when a decision could be rendered.
Some type of official challenge on the union’s behalf was a given, once the Yankees’ intentions were made public last month. At the time, the MLBPA released a statement saying the union “will vigorously defend any action taken against Jacoby or his contract and is investigating potential contract violations by his employer.”
Ellsbury signed a seven-year, $153MM deal with the Yankees prior to the 2014 season that has turned out to be one of the most notable free agent busts in recent memory. Injuries have kept Ellsbury off the field entirely for the last two seasons, and he only hit .264/.330/.386 in 2171 PA over his first four seasons in New York (with injuries also limiting the outfielder in two of those four years). The Yankees finally released Ellsbury last month, with $26,142,857.15 still remaining in the last year of his deal — his guaranteed salary, and the $5MM buyout of his club option for the 2021 season.
However, the Yankees took the very unusual step of arguing that Ellsbury’s remaining earnings should be voided, alleging that Ellsbury underwent medical treatment without the team’s permission. As Blum notes, “Ellsbury contends any treatment he received without authorization was for a non-baseball-related injury or condition, which does not require the club’s consent.” The Yankees, Ellsbury, and Ellsbury’s agent Scott Boras all declined to comment on the matter.
The arbitrator’s ruling will obviously have a significant financial impact on Ellsbury, and also on the Yankees’ ability to avoid paying a maximum luxury tax penalty in 2020. The club has a projected tax bill of just under $261.6MM for the 2020 season, as per Jason Martinez of Roster Resource, well beyond the $248MM that represents the highest level of taxation threshold. The Yankees therefore face a ten-slot drop in their top position in the 2021 draft, as well as a bill of 42.5% of every dollar spent over the threshold.
The Cheap Yankee billionaire is trying to cheat a poor ballplayer out of his money so said billionaire can put the money in his own pocket.
How’d I do?
they will need up paying it all.
Should be very interesting to see how this plays out for the future with teams and players who are busts after signing a big money deal.
Every team in baseball will be watching to see how this ends.
The arbitrator’s ruling will obviously have a significant financial impact on Ellsbury,
I tried, but I have a hard time feeling bad for a guy who’s already pocketed 127 million of that contract already.
Just pay the dude next year and get over it.
I’m guessing insurance will probably be on the hook for the money, but it’s the luxury tax implications.
Yeah, but even if it makes them go over the luxury tax, it was the yankees stupid mistake for signing him to that much money, and now they have to pay out. If I was literally any other owner or gm in the American league, i’d be fighting for Ellsbury too, cause it would mean that Ellsbury’s money couldn’t be used towards another good piece for the yanks.
exactly
Yankees forgot to put Ellsbury on an insurance policy. That’s why they don’t want to pay him.
He was on the policy, but there was a limit. NYY collected the Ins. MAX .
Your troll game is getting extremely weak.
@Rangers29
Of course….not your money. At the lux tax rate that $26 mil is more like $39 mil for a guy who won’t contribute and didn’t stick to the script when it came to his health/rehab.
Knew this was coming.
well, yeah, anytime a team tries to not pay a player, this will happen
How could he have incurred a baseball injury when’s been in the whirlpool for the last 6 years?
He spilt his caviar and it caused irreparable emotional damage.
The Yankee’s are good at finding loop holes
but then they loop back and hit the back of the head.
I get the feeling this will drag on forever and eventually a settlement will be agreed upon. Once again the biggest winners are the lawyers in these types of disputes.
The Yankee’s are good at finding loop holes.
“The Yankee’s are good at finding loop holes”
.And stealing signs from center field
That moment when workers’ compensation and professional sports meet. I have been told the NY workers’ compensation is pretty favorable to the injured worker and that would play a role in this. I could easily see the Yankee’s losing this.
This is not a workers compensation case. I’m sure Ellsbury hasn’t fined a WV claim. It is a contract case.
WC not WV
water closet?
workers compensation
White chicks
Actually, that has been historically true… but, the tide has shifted over the past two decades from the notoriety of NY’s Work Comp system and that of the system’s actual results. Nevertheless, this is something entirely different because it’s outside the normal scope of the Work Comp system. This deals with billion dollar organizations and high leverage sports players, not someone falling off a ladder. That said, the deck is stacked against the Yankees.
Gonna be nice to see yankees pay heavy fines for going way over with cole signing coupled with this 27 million they will have to pay. Luxury tax is gonna be huge.
Yankees acquired the player the Dodgers needed. What is LA doing to improve? Acquiring another 3B you do not need isn’t going to get the job done. Heavy fines for a World Series is the price to pay. Clearly New York is willing to do it.
nothing is guaranteed, though.
Nothing is ever guaranteed. Yankees needed a horse and got the horse. LA needs pitching and overpaid for the ex-A’s closer. Advantage Yanks.
lol! Right? Dodgers are more focused hoarding prospects and staying below the luxury tax. I guess they think they keep doing this, that somebody will give them their parade.
Clearly paying the highest contract and fines have worked out for NYY. NYY seems to get then break the biggest free agents; Youkulis,Pavano,Sabathia,Jacoby,Stanton,Cole next???
Sabathia helped them win the 2009 World Series. Sabathia was considered a #1. Cole is considered a #1. The ALCS loser decided to take the one ace off the team they lost to. This could work out just fine.
Youklis?! you put Youklis on this list but didn’t put Johnson or Kevin Brown?
I tried to keep it in the 2000s
I’m still confused why all of these people posting are acting like if the Yankees pay Ellsbury, it will somehow hurt the team. It will aggravate the ownership, but it won’t cause any effect on the field of play. I don’t recall this type of desperation since, well the late ‘90s……. hmm.
@Bleedsblue81
How did the Yanks “break” Sabathia? If anything, the Yanks may have overpaid Sabathia when he opted out. But both sides continued to resign with each other because they each appreciated the relationship.
Don’t even know why brought up Youk. He was hot garbage in 28 games and retired at the end of the season.
Maybe he meant/was thinking Damon?
Huge! It comes out to about $11 million dollars. That’s about 4% of the Yankee’s payroll, 2% of revenue and just 1/5 of 1% of the teams total valuation. It’s a drop in the bucket.
It must me nice collecting Millions sitting on your butt doing nothing lol
Well, see? If you had been a better baseball player, perhaps that could have been YOUR life!
@alwaysreal
That’s the life of a ‘social media influencer’….. whatever that means
Yikes,the dude even gets hurt not playing baseball, sitting at home (treatment for non baseball injury).
Breaking news: Yankess fans file a grievance against Jacoby Ellsbury for his tenure in New York
only to lose big!
Keep crying
As a Red Sox fan in Toronto, I’m enjoying this. The yankees signed him to snatch him away from Boston and it’s worked out terribly for them all. The Sox have JBJ in centre making amazing plays. Jacoby who?
isn’t this where someone asks why he wasn’t traded for like 4 top 10 prospects and a starter?
It’s kind of a shame that teams can’t release players so that their contracts wouldn’t count towards the luxury tax limit as that’s why players like Albert Pujols, Chris Davis, Miguel Cabrera, Ian Desmond, and Yoenis Céspedes have MLB roster spots and why Rusney Castillo and fringey players do not. It would certainly help “fringey players” get chances to play and teams that made massive overpays in free agency get a chance to be more competitive.
I disagree 100% for many reasons. The first reason that comes to mind is that absolving teams of luxury tax responsibility for released players would immediately favor big market teams that could better afford that hit than a team like KC for instance and then turn around and make another big commitment to the next coveted player in line.
Plus, within minutes of that happening, teams (and especially already big spenders) would start handing out massive contracts, knowing full good and well that they would not have to honor them. It would be yet another advantage for big market over small market teams.
They would have to honor the contract but it would not count against the cap.
@HubcapDiamondStarHalo
The team would still have to pay the player so it’s not exactly relevant. It’s about not having to pay .50 on the dollar for a guy who won’t contribute to the team.
Tom Coughlin is suddenly available if Cashman and the Steinbrenners need a character witness.
lol
i can still vividly remember delusional Yankee fans suggesting that Ellsbury and Chance Adams should headline a deal for Lindor.
Delusional fans, a team that hasn’t gone to the WS in a decade now, and soon to be the Jacksonville Jaguars of baseball for violating the CBA.
You sound like a whining old lady
Kpaul130, it is not surprising to see Yankees being bashed, yet again, on a Yankees thread. I’m a bit surprised, I must admit, how many hostile Angel fans there are. There are a few very specific ones that seem to continuously work hard to be particularly annoying, and I won’t debase myself by citing them, so as to avoid the impending insults. But, it is always the same few excuses or insults and they believe it’s humorous. The latter notwithstanding, very few seem to want to have a discussion, and instead write in the rhetorical.
@The Ghost of Bobby Bonilla
Fam…you may have heard “ONE” Yankee fan vomit up that nonsense but pleassssse don’t act like it was multiple people who said that. Ever fanbase has a % of crazy people. They aren’t a reflection of the majority. They’re the stupid 1% that get the attention on sites like this tho.
Funny how they were OK with A=rod getting outside medical help all those years. Hmm….
Doctor prescribed steroids for A-Rod, Cano, Giambi, Clemens, etc.
To be candid, there were many players across baseball and in every organization that permitted this, HaloHeavensJJ, but it is a valid point regardless, with one major difference: Ellsbury is taking to room and money, whereas A-Rod was a contribution to offense, for the most part. And that’s not a justification, just the reality of what happened.
@HalosHeavenJJ
You really think Arod told the Yanks he was taking steroids? ReallllllllY
I wonder to what extent they may try to claim selective enforcement and that this exercise is arbitrary.
Any examples of players doing essentially what ellsbury did while he was under contract in the Bronx does arguably entitle him to claim that the behavior was ratified as acceptable by the organization, and custom and practice within internal rules as well.
You usually see these arguments in sale of goods contract disputes where a contract is not fully integrated and such evidence is needed to determine the terms. Here, unlikely because such arguments would be limited to how the Yankees could have ratified Ellsbury’s behavior. Extrinsic evidence of other players’ contracts is likely not relevant. Further, this contract likely was fully integrated and such evidence would likely be barred as parol.
If I was Els atty I would argue that the NYY breached the contract in bad faith, by not paying him as required to terminate the contract.. The bad faith is further established by the fact that while there was insurance and they were under the tax in 2019 they had no problem with the treatment. Therefore Els is entitled to 42.285 MM as the NYY forfeited their right to not exercised the option when they failed to pay the 26.142 MM required to terminate the contract. This case is similar to the Catfish Hunter case when Charlie Finley failed to fund the deferred $$$ in a timely manner. Catfish was able to keep the amounts paid and declared a free agent which allowed him to get a big raise from the NYY.
It should be a double hit to the luxury tax line if you try cheap stuff like this so you can sign a pitcher.
It’s simply a matter of contract law. The Team says the player is in breach of contract and the player denies it. The Arbitrator (presumably an attorney of some sort) will decide if there’s a breach and, if so, the appropriate remedy. Almost no chance of setting a precedent except for players who are accused of doing the same thing as Ellsbury.
Big babies. Pay the man. Probably need the money to contribute to rump. Illegally. Steinbrenner? Crook.
Do you charge him rent for living in your head 24/7? I certainly hope so…
BNKD has taken over the spacecraft.
Don’t know why he’s complaining. He got paid thousands of dollars for sitting on the coach playing playstation.
@Royalfan12 Is that what he was doing? I feel sorry for his coach.
Poor guy can’t even afford a couch.
Just now realized the mistype. LMAO.
@royalsfan12
“He got paid thousands of dollars…”…
Ummmm…tens of millions is more like it.
They re-signed Gardner for 12.5 mil a year…. LOL, a 36 year old 4th outfielder who fell asleep in the playoffs for 12.5 mil.
@Melchez
Gardner hasn’t been signed yet and he had near a 4 WAR season. Sit down clown. You’re also the guy screaming the Yanks weren’t going to make an honest attempt to sign a top FA pitcher.
Not a Yankee fan but He already cheated them out of millions
Nice try Yankees, but you are going to lose this one.
Should be ruled on in promptly five years.
K. Bryant.
It’s a lot easier for the Yankees to argue that medical treatment was outside of the contract than it is for Ellsbury to explain that actually it wasn’t like that because blah blah blah…there comes a point where being factually correct is less important than making a compelling argument. It seems like this should be an open and shut case in Ellsbury’s favor but I wouldn’t be surprised if there’s some wrinkle that complicates it and ends up in the Yankees favor.
It’s an oxymoron to have a “compelling argument” without having sufficient facts to support it. Otherwise it’s an unsupported statement – not compelling at all.
Jacoby Ellsbury, the poster boy for non-guaranteed NFL contacts.
Unfortunately for the Yankees, Ellsbury was a Major League Baseball player.
If only they knew…
The upside is the Yanks only paid Ellsbury 25 per cent of his contract, and with the money in MLB being guaranteed they don’t have to deal with players doging it and wanting to be traded.
Ellesbury is a hack, he didn’t play , why should he collect a paycheck
This is such a slippery slope to go down. How is it any dm different than guys taking steroids? Will teams be able to void contracts if guys miss time because they’re busted for “outside medical treatment”? What would stop teams from “spiking” guys like Chris Davis or Albert Pujols to open up some much needed space?
The only way this should be ruled in favor of the Yankees is if he was doing something truly reckless. If he was just getting treatment to try and get better and return, why be such cheapskates about it? You’re the god damn Yankees. If it’s really that much of a burden, just stop giving out and taking on albatross contracts.
This appears to be a breach of contract matter. Unlikely that culpability will even be considered.
Yanks got over 30 million in insurance money the last 2 years for Ellsbury, and now they are making interest off his remaining money owed to him. This is all business, the Ellsbury money will pay for the Cole contract next year, and maybe the cap money too with the way the market has been the last few years.
make the Yanks pay every penny of that money!
Lot of hating on the Yankees here….and a lot of folks not knowing exactly what the contract language was, or precisely what Ellsbury did. Maybe we should wait to find out facts? I’m a pro-union guy and I think the Yankees should be held to a strict standard. That being said, if, for example, the perennially injured Elsbury hurt himself in some other sport and then went to a faith healer who used leeches and magic herbs. maybe I’d be a little pissed at him as well.
If Ellsbury had any dignity, self-respect or honor, given all he’s been paid while not playing (with no prediction when or if he’ll ever play again) he’d voluntarily walk away from his remaining salary.
Just like you would do.
The counterargument is the same forwhomjoshbelltolls; would you pay someone working for you, who had not worked for years, while collecting a significant paycheck and, according to the Yankees, violated his contract. If you say yes, you’re being disingenuous to prove your point. We will ultimately see, but why is it not fair both ways? If he violated his terms, he alleges it was to get better, but he may have known he was done and didn’t want to play as bad as he would’ve; in that case, the Yankees should not have to pay him. If, conversely, the Yankees need to pay him, they should. But in contract law, you typically don’t get to claim a good faith breach.
Except you’re now stepping in the same trap. Would you say you’d walk away from millions of dollars under the exact same situation? It’s not exactly fair to call someone disingenuous about a hypothetical situation when no one knows how they’d really act. I can’t help but be reminded of all those people who see a hostage situation on television and say “if I was there I would have done something.”
Seems like we are all misinformed and making decisions before we have all the facts. If he followed his contract – he should be paid (even though he hasn’t played in a major league game for 3 years) – if he violated his contract, well, then he is out.
Both sides have a claim, the truth will come out.
Not exactly –Luc. The Yankees have the burden to prove that Els did something that is a “Material Breach” ie. that it prevented him from playing. Els went to every MD the team requested and those team MDs never said he could play .
Jmi1950 – although I agree with you if that’s true about the doctors, we won’t know until everything comes out in court (about every MD). If the Yankees are able to prove his breach and that his breach adversely affected his recovery, thus his inability to play, they are on firm footing. Anyone involved frequently with court cases knows nothing is open and shut until the case is decided.
I really want to know if all the same Angels’ fans on here who said Cole would never go to the Yankees because of this case, or that posited Cole will never shave, will finally admit they’re wrong if Ellsbury loses. Seems like they were just as sure Cole was going somewhere else for a multitude of subjective opinions.
I’d be flabbergasted if the contract itself didnt specifically say that: all of the prohibited activities contained herein shall be deemed “material defaults”.
No true definition of “material” so I doubt that is the case.
Logically, I do not imagine a MLB team would try this without a real case. This isn’t a “try something and see if it sticks” type of situation. The only reasonable reason I heard in this thread was getting the cost of salary deferred until 2021 – which in my opinion is a dirty trick. I don’t think that is a truth, but like everyone – I have. I idea until facts come out.
@jmi1950
You’re missing the point. Yanks are arguing that at some point in his time on the IL he had a surgery they were either not aware of, were against him having it or against him having without the oversight or guidance of a team approved doctor.
The news reports allege treatment from an Atlanta clinic that uses non surgical treatments.
Somewhat true. The Yankees claim the material breach is that Ellsbury did not seek consent from the team before receiving treatment, which, if true, appears is a breach of the standard player contract. Ellsbury would be left to prove that the treatment was related to a non-baseball injury, as he is the one raising that issue/claim. It may be true that Ellsbury went to every doctor the Yankees requested, however, this does not also prove that he did not seek other medical treatment in breach of his contract with the Yankees.
Ellsbury contends any treatment he received without authorization was for a non-baseball-related injury or condition, which does not require the club’s consent.
This is an open and shut case. The man gets paid. Just a desperate attempt by a sad organization of crooks.
Yankees contend it did – still open and shut case? Pretty sure that is not how the law works. We said/they said and oh, it must they said without checking. Hmmmm
@whyhayzee
You’re still missing the point. The mlb rules state the player has to make the team aware of any non-baseball related injury. He never informed them. That’s the point.
This is an indication of the problem we have in this world. People are so quick to judge without knowing all the facts.
Why should ANY team trust a player to inform them if they incur an injury that could effect the status of a contract? What if we find out Ells broke his ankle doing something at home but he never tells the team about it, the player gets treatment from his own doctor, the medical report isn’t disclosed and he tells the Yanks he hurt his ankle while preparing for ST and the injury keeps him out for months? There’s a reason it’s written into the CBA. Trust but verify.
A contention has the opportunity to be disproven. Not open and shut.
He should be able to provide nothing to his employer and still be paid $25m per year.
So, if you are accused of stealing at work, you should simply say I didn’t do it and everything goes back to normal? If he deserves to be paid he should, but come on – a corporation would not accuse an employee of stealing without evidence. Brand and reputation are important.
Exactly, and apparently, because the corporation has more money than an employee, the corporation should just pay as a matter of morality and decency.
We’re never going to get the full story here now that the case is going to arbitration. The likely result is that both sides agree to a settlement, sign NDAs, and the Yankees gain some salary relief and luxury tax space. Don’t expect Boras to comment anything of substance as he does business with the Yankees (G. Cole).
This is the type of outcome I foresee as well.
I can open up a new discussion on this matter. I read on numerous websites that Ellsbury actually hurt himself the last time playing basketball at his local park with some of his homies. Instead of getting proper treatment from a board certified doctor, he went to some Native American spiritual healer. He put off going to the doctor even though the Yankees were going to pay for his treatment for two herniated discs in his back. Since Ellsbury delayed said medical exams and treatment it resulted in serious nerve damage in his back which effected his legs/ running abilities. Once I read this it all started making sense and yes, the Yankees can and will stretch this out for a long time since he’s not the first nor will he be the last to do something stupid, get hurt and then deny proper medical treatment. I’m thinking it’s going to set a precedent in sports.
I can close the basketball theory. The Yankees have specifically stated he saw outside MDs for his baseball injuries.
The person who can close the theory at this point is the arbitrator. Even assuming you are the arbitrator, this seems like a breach of confidentiality.
Ok, for all of you who are screaming Ellsbury cheated the yankees out of millions because of lousy production I’d like to remind you Aaron Judge earned 1.8 million over the last 3 years, Mike Trout about 2 million in his first 3 years, Clayton Kershaw 1.3 million in his first 3 years, Cody Bellinger less than 1.2 million for the last 2 seasons…
It cuts both ways. If you’re going to whine about an expensive player not producing then it’s hypocritical to be happy about the cheap production coming from a young star.
You have the system pegged. As long as the first team gives the player the extension like Pedroia or Trout any bad yrs $$$ have already been earned by winning ROY or MVP while making the minimum.
However, when you get a Puljos or Ellsbury the first team gets a super bargain that the second team pays for. That’s why you won’t hear any Red Sox fans complaining about Pedrioa’s contact — he’s earned every penny already even if he is done.
This is a very good straw man argument. The problem is, a straw man argument is a logical fallacy.
I think what people are failing to see is that in a contract their are a lot of stipulations and certain loopholes as well and in this case Yes the Yankees signed Ellsbury but their were stipulations to that contract and one is if he was injured outside of the elements of baseball he is to inform his team with whom he has a contract with. The fact that the Yankees are even remotely going after it to be reviewed and looking to recoup is probably because they have evidence that he did indeed reinjured himself outside of the elements of playing baseball and never disclosed it and that impeded him from resuming baseball activities which is the key if it prolonged him from getting on the field sooner because of that injury then they have a right..
We are going to see a lot of teams try and recoup money from ballplayers that are not following the stipulations on their contract the situation with cespedes he knew he messed up and they came to an agreement I won’t be surprised that eventually of the $26 million i can see them coming to an agreement of $12 million-$16 million the Yankees feel they have something on Ellsbury to show cause .
If he injured himself outside of baseball activities that is different. It sounds like in this case Ellsbury went to a doctor outside of the team doctor or something and the Yankees see a way to maybe void the contract as it says something in legal jargon about not going to a doctor without team permission. Now I agree if the player like Cespedas gets injured horse back riding or something then they have a case, but if its just legal “loophole” to recoup a bit of the Cole signing thats a different story.
For example I am sure a lot of players with injuries go to outside doctors. I know Donaldson did with the Jays and that cause a lot of friction (although he asked permission I think so its different). This case will definitely set a precedent if Yankees win and I am sure we will see some more of these court battles as rich teams try to get under the cap.
Anyone know what the “tax” goes to? Is it just a general fund given to MLB?
As far as I know, it’s supposed to be used for revenue sharing. It likely gets paid to the MLB in trust and then is dispersed according to the revenue sharing terms.
Can I get a show of hands of all the legal professionals throwing their hats in this discussion? There is a lot of legal jargon and legalese discussed, I want to know who is most likely to make sound legal points.
Problem with that is it still won’t help for the purposes you like.
Most important (missing) piece of the puzzle is choice of venue/conflict of laws issues.
It’s reasonably certain that the contract was considered signed in NY. BUT, the contract may (and likely does) elect the laws of a different jurisdiction to be applied in the case of disputes. Reason I think that is you don’t want standard CBA provisions in a contract potentially being construed differently by the laws of every different state that has a mlb team.
Then there may be a provision somewhere in the CBA designating somewhere else to be used anyways.
So, regardless of where a case is heard, th judge/arbiter may need to apply laws or a different jurisdiction they aren’t as familiar with, which adds even more uncertainty.
That’s a long way of saying that unless we know the specific venue whose laws are being applied, you can’t give extra weight to a “legal professional”. It needs to be someone familiar with that specific jurisdiction to carry weight.
3L?
Gonna dance with the Devil, there’s always a chance you get burned. Bummer Dude
I heard the salary cap /luxury tax might actually be lowered. Bummer Yanks!! Lol
Ellsbury has Bronxchitis and has milked the Yankees’s for all they worth but contract will not be voided but should!