Summer 2022 - Transfer Talk

That’s not how it works. We can’t demand a fee. We’d be entitled to compensation, but as this article outlines:

‘compensation is not due in lieu of the transfer fee that would be payable if the player were under contract. The compensation is of an entirely different nature and the player’s perceived ‘market value’ and transfer fee comparables are irrelevant. Instead, the compensation is payable solely to compensate the former club for its training and development of the player, the rationale being that clubs should be rewarded for bringing through talent and incentivised to continue doing so’

https://level.law/news/determining-the-level-of-compensation-for-out-of-contract-football-players-2

He was only here for 2 years, between the ages of 20 and 22. The level of value placed on our investment in developing him will be minimal. I’d very much doubt it’ll even reach 6 figures and will probably be much less. That might be a slight deterrent, but if for example a championship club wanted to take a punt on him, its peanuts.

EDIT - its maybe a bit more ‘lucrative’ than I’d thought, looking at some examples of where compensation has been awarded:
https://fullcontactlaw.co.uk/2016/11/compensation-players-24-mystery/

100-200K and maybe a couple of add ones. So not too shabby, but its not really us holding cards. These are probably decent comparibles:

JAMES COLLINS

• James Collins joined League Two club Shrewsbury Town as 21 year old striker in January 2011, having previously been an Aston Villa player (who made no first team appearances for Villa).
• Quickly establishing himself as a first-team regular, James appeared 66 times in the League for Shrewsbury between 2011 and 2012, scoring 22 League goals. In the 2011/2012 season, Shrewsbury won promotion and James was their top scorer.
• In the summer of 2012, only 18 months after signing for Shrewsbury, an out-of-contract James signed for Swindon Town, who themselves had just been promoted to League One.
• The PFCC decided that Swindon Town should pay Shrewsbury an initial compensation fee of £140,000.
• Additionally, further payments of £20,000 after 15, 30, 45 and 60 appearances (totalling up to £80,000) would be due.
• Swindon would also pay Shrewsbury 20% of any profit it makes from selling the player to another club at any point in the future.

JAMES DUNNE

• Midfielder James Dunne joined then League One club Exeter City in the summer of 2009 after a youth career at Arsenal.
• James appeared 110 times in the League for Exeter before the club were relegated in the summer of 2012, at the point of his contract expiry. James would sign for then League One club Stevenage.
• The PFCC ordered that Stevenage should pay Exeter City an initial compensation fee of £75,000.
• Additionally, Stevenage were to pay a further £25,000 after 30 and 60 appearances.
• Stevenage were also ordered to pay to Exeter 20% of any profit they made in the event of a future sale of the player.

 

The fee is decided by the PFCC at a tribunal. That's what I said.
It's rare a buying club would go down this route as they don't know what the fee is when they buy the player.

Here's an article about it -
Determining the level of compensation for out of contract football players - LawInSport

We can demand a fee because we'll know we'll get one at a tribunal. We can name our price and then it's upto the buying club to meet the fee or gamble at a tribunal.

 

That sounds logical.

 

We got a fee for Luca Colville under similar circumstances -
Colville reunited with former Bradford City boss in Scotland | Bradford Telegraph and Argus (thetelegraphandargus.co.uk)

 

Your right but compensation is usually not that much and with him being here for only two years depending who is wanting him it’s unlikely to put them off

 

Wolves and Carlisle would get a chunk of compensation too. For a good player, only just 22, who has 100 games under his belt already, it might be more than you think.

 

How does that part work? Does it come out of what we are awarded, or is it a separate amount?

 

Kelvin

Ehibhatiomhan is one watching lot of yesterday .

 

I'm really not sure.

 

Talking of which I see we’ve signed gk Lewis on a free from Southampton. MH had him there.

 

Not disputing that we'd get compensation, I just don't think we're entitled to ask for a fee.

 

Is that official Roger?

 

If one or both clubs , Wolves and Carlisle let the player go at the end of his contract without offering a contract on the same or better terms, surely they would also give up the right to training compensation?
Bradford City released Connor Shanks who signed for Huddersfield Town did Bradford City receive Compensation for his time at City?

 

He was on loan at Carlisle and I think we paid a small fee to Wolves. I presume Wolves will have a sell on clause with us.

 

It’s in today’s Mail.

 

I don't believe so because we released him. We didn't offer him a contract.

Should Huddersfield sell him on at some stage, I think we will be able to claim a development fee.

 

I will get his name printed on my shirt tomorrow then Roger. Not.

 

Zero on the clubs own site.

 

Right or wrong , the Mail is as of the same editorial quality and leaning as the Express and Sun.

 

As you say I think we've just got to trust Hughes judgement with signings like this.

Prem squads will have many many young players we've never heard on big money who could come to league 2 and be a class above but don't because it's comfortable at their parent club. If Hughes can bring some in like that we may just unearth a gem. Watt (although I accept he was a bit younger) could probably have stayed at Wolves to this day and none of us would have a clue who he is.