Contract year phenomenon

Contract year phenomenon

Contract year phenomenon is a term used in North American sports to describe the occurrence when athletes perform at a very high level in the season prior to their free agency eligibility. Most often, these athletes have seasons that are statistically better than previous years, but then once they sign their new contract, they return to their previous level of performance.[1][2]

The contract year phenomenon is most associated with the NBA due to the league's high salaries and lengthy guaranteed contracts. This occurrence is sometimes seen in MLB[3], but it is almost never found in the NFL due to the league's relatively low salaries and most importantly, the lack of guaranteed contracts. NFL players who sign contracts with new teams and then don't perform can simply be released from their team, as the team is then only held responsible for the bonuses in the contract.

Notes

  1. ^ Bill Simmons (2006). "CuriousGuy:Malcolm Gladwell". ESPN. http://sports.espn.go.com/espn/page2/story?page=simmons/060302. Retrieved 2008-02-12. 
  2. ^ Eric Williams (2007). "NBA Preview: Contract year phenomenon". Daily Utah Chronicle. University of Utah. http://media.www.dailyutahchronicle.com/media/storage/paper244/news/2007/10/30/Sports/Nba-Preview.Contract.Year.Phenomenon-3064701.shtml. Retrieved 2008-02-12. 
  3. ^ Economics, Management and Optimization in Sports. Springer. 2004. pp. 163–184. ISBN 3540207120. http://books.google.com/books?id=P2Hg1Tv1ZboC&pg=PA177&lpg=PA177&dq=contract+year+phenomenon&source=web&ots=4PL_Fmx26M&sig=AdydoTxfXpA5MpkhLHhB7iIBP4o. 



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