NHL Salary Cap Questions > Trading LTIR Contracts
Trading LTIR Contracts
Asked Aug 18, 2024 by Timothy
The Canadiens are on the hook for Carey Prices 10.5 mm AAV contract but they can (and will) put him on LTIR, If they trade his contract does the receiving team have to add his contact or only use LTIR to reduce the cap hit.
Answer
Aug 20, 2024
If a team trades for a player on LTIR, they must have sufficient cap space to add the player prior to them being placed on LTIR on the new team. So if a team traded for Carey Price, they would first need to be able to fit his $10.5M Cap Hit. Once added, he could then potentially be placed by the new team on LTIR, allowing the team to potentially exceed the cap by up to $10.5M. Therefore, trading for Carey Price and then adding him to LTIR would provide no net benefit to the new team unless other assets were exchanged.
