The Dodgers have been able to defer $76 million in 2024 just through two deals of Teoscar Hernadez and Shohei Ohtani
The Los Angeles Dodgers are on a tear this offseason with four marquee signings, the recent one being outfielder Teoscar Hernandez. The playoff-bound team is now even stronger and arguably the World Series favourites by a long margin, thanks to the free agent additions.
However, what has irked baseball fans is the Dodgers deferring the money of their top players until their contracts run out, giving them an advantage to sign more players while staying within the luxury tax limits.
The Dodgers deferred $8 million on Teoscar Hernandez’s one-year deal. As per the contract details, the franchise can pay the outfielder the owed sum anywhere between 2030 and 2039. They have already deferred $680 million on Shohei Ohtani’s record-breaking deal.
As per the new Collective Bargaining Agreement signed between team owners and the MLB Players Association, there are no limits on the amount of money that can be deferred by a club if a player is willing to accept it.
That has given big-market clubs like the Dodgers a competitive advantage, as they get to spend freely yet stay within the limits of the luxury tax and face no penalities.
After Teoscar Hernandez’s signing, fans tweeted to voice their opinions.
One fan wrote, “I really can’t stand this deferred money anymore. It should be illegal or have limits.”
“This is cheating,” another fan wrote.
Here are a few other reactions on X:
Teoscar Hernandez chose the LA Dodgers despite other multi-year deals
The outfield market is arguably the toughest this offseason. That made Teoscar Hernandez’s signing even more impressive for the Dodgers who could sign him without committing to a multi-year contract or a huge sum of money.
The former Seatle Mariners outfielder chose them over other multi-year deals and is expected to head into free agency again next winter.
If he’s able to churn up some good stats, it will give him the leverage to bargain for a multi-year deal in 2025.