Arbitration
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Arbitration. Jody Blanke Professor of Computer Information Systems and Law. Characteristics. Created by contract Dispute heard by impartial third party Legally binding decision Generally non-appealable “Favored by the courts”. Advantages. Cheaper Faster More expertise involved.

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Arbitration l.jpg

Arbitration

Jody Blanke

Professor of Computer Information Systems and Law


Characteristics l.jpg
Characteristics

  • Created by contract

  • Dispute heard by impartial third party

  • Legally binding decision

  • Generally non-appealable

  • “Favored by the courts”


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Advantages

  • Cheaper

  • Faster

  • More expertise involved


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Baseball Arbitration

  • Contractual procedure described in the Collective Bargaining Agreement (PDF file) between Major League Baseball and the Players Association

  • Eligibility – players with at least three, but no more than six, years of Major League service


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2007 MLB Calendar

  • Jan 5-15 Salary arbitration filing.

  • Jan. 18 Exchange of salary

    arbitration figures.

  • Feb. 1-21 Salary arbitration

    hearings.


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2007 Salary Arbitration Filings

  • 106 players filed for arbitration

  • 56 players exchanged salary arbitration figures


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2007 Salary Arbitration Figures

  • Erik Bedard BAL $2.7M $4M

  • Joe Beimel LA $912,500 $1.25M

  • Eric Byrnes ARI $4.25M $5M

  • Miguel Cabrera FLA $6.7M $7.4M

  • Jose Castillo PIT $1.8M $2.2M

  • Shawn Chacon PIT $3.7M $4.25M

  • Chad Cordero WAS $3.65M $4.15M

  • Michael Cuddyer MIN $3M $4.25M

  • Doug Davis ARI $5.25M $7.5M

  • Brendan Donnelly BOS $1.15M $1.65M

  • Scott Downs TOR $925,000 $1.2M

  • J. Duchscherer OAK $925,000 $1.45M

  • Morgan Ensberg HOU $4M $4.9M

  • Alex Escobar WAS $500,000 $590,000

  • Johnny Estrada MIL $3M $3.9M

  • Adam Everett HOU $2.5M $3.4M

  • Josh Fogg COL $3M $4.25M

  • Lew Ford WAS $800,000 $1.3M

  • Geoff Geary PHI $750,000 $925,000

  • Jody Gerut PIT $800,000 $925,000

  • John Grabow PIT $765,000 $925,000

  • Tony Graffanino MIL $2.8M $3.7M

  • Kevin Gregg FLA $575,000 $700,000

  • Bill Hall MIL $3M $4.125M

  • Aaron Harang CIN $4.25M $5.5M

  • Reed Johnson TOR $2.5M $3.6M


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2007 Salary Arbitration Figures

  • Austin Kearns WAS $3.65M $4.25M

  • Bobby Kielty OAK $1.925M $2.5M

  • Jason Lane HOU $900,000 $1.375M

  • Adam LaRoche ATL $2.8M $3.7M

  • Felipe Lopez WAS $3.7M $4.1M

  • Joe Mauer MIN $3.3M $4.5M

  • Jason Michaels CLE $2M $3.2M

  • Justin Morneau MIN $4M $5M

  • Brett Myers PHI $5M $5.9M

  • Corey Patterson BAL $4M $4.6M

  • John Patterson WAS $850,000 $1.85M

  • Josh Paul TB $625,000 $940,000

  • Wily Mo Pena BOS $1.725M $2.2M

  • Mark Prior CHC $3.4M $3.875M

  • Nick Punto MIN $1.6M $2.1M

  • Juan Rincon MIN $1.6M $2.4M

  • Alexis Rios PIT $2M $3.1M

  • Brian Roberts BAL $3.8M $4.6M

  • Kirk Saarloos OAK $925,000 $1.475M

  • Freddy Sanchez PIT $2.15M $3.1M

  • Chase Utley PHI $4.5M $6.25M

  • Claudio Vargas ARI $2.15M $2.85M

  • Oscar Villareal ATL $860,000 $1.3M

  • Todd Walker SD $2.75M $3.95M

  • Todd Wellemeyer KC $565,000 $740,000

  • Carlos Zambrano CHC $11.025M $15.5M


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Arbitration winners and losers list 2007

  • Winners

    Player, club Asked Offered

    Miguel Cabrera, Florida $7,400,000 $6,700,000

    Chad Cordero, Washington 4,150,000 3,650,000

    Todd Walker, San Diego 3,950,000 2,750,000

  • Losers

    Player, club Asked Offered

    Joe Beimel, Los Angeles $1,250,000 $ 912,500

    Kevin Gregg, Florida 700,000 575,000

    John Patterson, Washington 1,850,000 850,000

    Josh Paul, Tampa Bay 940,000 625,000


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2009 Arbitration Results

  • 111 players filed for arbitration

  • 46 players exchanged salary arbitration figures

  • 3 players had hearings

  • Winners

    Player, club Asked Offered

    Shawn Hill, Washington $775,000 $500,000

    Dan Uggla, Florida $5,350,000 $4,400,000

  • Losers

    Player, club Asked Offered

    Dioner Navarro, Tampa Bay $2,500,000 $2,100,000


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Baseball Arbitration Facts

  • Since 1974 (through 2006), clubs have won 269 arbitration hearings (57%) and players 199 (43%).

  • Since 1990, 88 percent of the players filing for arbitration settled before a hearing.

  • In 2006, only 6 of 43 salary exchanges went to a hearing.

  • Twice the salary figures submitted by players were lower than those submitted by the teams - Mike Edwards (1980) and Mike Flanagan (1982).


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