3
by J.R.
Designated for Assignment
You'll sometimes read that a player has been "designated for assignment."
What does this mean? Essentially, it allows a club to open up a roster spot while it figures out what it's going to do with a player. As we'll see below, there are certain situations in which a team needs a player's permission to either trade him or send him to the minors. So rather than force the player to make a quick decision, the team can simply designate him for assignment while he decides.
More commonly, a player is designated for assignment so the club can open up his roster spot while they're waiting for him to clear waivers, which can take four or five days. Occasionally, a club will designate a player for assignment while they're trying to trade him. That's what happened to Hideo Nomo this past June.
"Called Up" vs. "Contract Purchased"
When a player is summoned from the minors to the majors, you'll see that he was either "called up" or his "contract was purchased." For most practical purposes, this really doesn't make much difference. If he's already on the 40-man roster, he's called up. If he's not on the 40-man roster, then his contract is purchased (for a nominal fee) from the minor-league team.
However, the player must be added to the 40-man roster when his contract is purchased, which often necessitates dropping another player from the 40-man roster, whether by release or trade.
"Veteran Players"
Any player who has been in the major leagues for five full seasons may not be assigned to a minor-league team without his written consent. This sometimes puts the team in a bad position, because a player with five years has every right to say, "I don't want to go to New Orleans. You can either release me and keep paying me, or keep me on the major league roster and keep paying. Your choice."
Also, a player with five years of service time who is traded in the middle of a multi-year contract may demand another trade prior to the start of the season following the one in which he was traded.
Any player with at least 10 years of Major League service, the last five of which have been with one Major League Club, may not be traded to another Major League Club without his written consent. This is commonly known as "the five-and-ten rule."
Player To Be Named Later
Quite often, you'll read that a player has been traded to another team for "a player to be named later."
There are two restrictions at work here. First, the transaction must be completed within six months. And second, the player named later can't have played in the same league as the team he's being traded to. That's why the player named later is almost always a minor leaguer.
And what if the teams can't agree on who that player will be? This happens rarely, but if no names are agreed upon initially, the clubs will agree on a price to paid in lieu of a player.
Sometimes, at the time of the deal the team receiving the player will provide the other club a list of minor leaguers, and later the club will have their pick of the players on that list. This list is negotiated at the time of the trade. In recent years, the Minnesota Twins lost Enrique Wilson this way. When it came time for Cleveland to make their choice, the Twins did what they could to "hide" Wilson, but the Indians found him anyway.
Finally, sometimes "Player to be named later" is used to trade players on the Disabled List, since technically teams aren't allowed to trade players on the DL
The Rule 5 draft
First off, note that it's not the "Rule V Draft," but the Rule 5 draft. It's called the Rule 5 draft because the section of the Official Rules that covers the draft just happens to be Rule 5 in the book.
Eligibility: A player not on a team's Major League 40-man roster is eligible for the Rule 5 draft if: the player was 18 or younger when he first signed a pro contract and this is the fourth Rule 5 draft since he signed, OR if he was 19 or older when he first signed a pro contract and this is the third Rule 5 draft since he signed..
A player drafted onto a Major League roster in the Rule 5 draft must remain in the majors (on the 25-man active roster or the DL) for all of the subsequent season, or the drafting club must attempt to return him to his original club. However, since a returned Rule 5 player must first be placed on outright waivers, a third club could claim the player off waivers. But of course, that club would then also have to keep him in the majors all season, or offer him back to his original club.
Occasionally, the drafting club will work out a trade with the player's original team, allowing the drafting club to retain the player but send him to the minors.
How the Rule 5 draft works
Sometimes, GMs find gems in Winter Meetings event
By Jonathan Mayo / MLB.com
Jay Gibbons is one of the best Rule 5 success stories in recent memory. (AP)
• Top 10 Rule 5 picks Many people have heard of it, few completely understand it. But as obscure as the Rule 5 draft might be, the basic premise behind what has sometimes been called the "minor league" draft is something that can easily be explained, even by someone who thinks he doesn't get it.
"I didn't really understand how it worked, but I knew it was a big chance and that I wanted to make the best of it," said Orioles outfielder Jay Gibbons, taken in the 2000 Rule 5 draft. "All I know, you had a chance to be in the big leagues. I knew about the 40-man roster, and that if you weren't on it, you had a chance to get picked up."
Unintentionally, Gibbons -- who is one of the best Rule 5 success stories in recent memory -- hit the nail on the head. The Rule 5 draft, which has taken place at the Winter Meetings for as long as anyone can remember (and will take place this year on Monday in Nashville), not only gives minor league players a shot at making a big league club if drafted, but gives teams a chance to find young diamonds in the rough for a bargain price.
Sounds simple, doesn't it? Of course, reading the actual rule is more confusing than it's worth. So here's the abridged version: A player who is 18 when he's signed can spend four seasons in an organization before he has to be protected. Anyone who is 19 or older must be protected after three years. Once past that time of service, a prospect must be put on the 40-man roster if his organization wants to keep him from being eligible for the Rule 5 draft.
There are three phases of the draft. The Major League phase is the one Gibbons was taken in. Any minor leaguer who fits the above qualifications is game, at any level. In the minor league phases, only players left unprotected -- and there are protected lists at each level to consider for these rounds -- can be selected.
At the Major League level, it costs $50,000 to select a player and the team must create space on its 40-man roster to select a player at this level (see chart). The fee is $12,000 for the Double-A segment, and $4,000 for the Class-A draft.
Got it? OK, now here's the main wrinkle. A player taken in the Major League phase of the draft must stay on the 25-man roster all season, or be offered back to the original club for half the original fee.
In the past, players have been "hidden" on rosters as mop-up men in the bullpen or pinch-runners/defensive replacements off the bench. Every once in a while, they find a little more playing time. But there's a certain risk-reward teams have to weigh before slotting a valuable Major League roster spot to someone who probably isn't going to help the team that first season.
Every team gets a list of players eligible for the draft from the Commissioner's Office shortly after 40-man rosters are set. Then they go to work to try to find players that might be worth taking that Rule 5 risk on.
"It's just another avenue we can pursue players to add to our pool," said Jim Rantz, farm director for the Minnesota Twins, who have had success with Rule 5 picks like Johan Santana and a few years earlier, Shane Mack. "We send that list to every scout and every field person that works for us. That raises some eyebrows when a field person sees it -- if a player was in his league (that jumps out). It does happen."
The Kansas City Royals have been on both sides of the risk-reward. Last year, they snagged Miguel Ascencio in the Rule 5 draft, and he ended up being a major contributor, making 21 starts and likely cementing a spot in the rotation for 2003 and beyond. But they also left Corey Thurman unprotected, and he went on to become a valuable reliever for the Blue Jays in 2002. "In our market size, it's definitely an avenue we look at not when the season ends, but even during the season," Royals GM Allard Baird said. "It's definitely an avenue for us to acquire talent."
While the actual draft might not be as confusing as it seems, the process to decide which players are worth taking can be complex. The research really begins once those reserve lists come in. Baird and the Royals have a three-tiered system they use to sort out the possibilities.
"We do it A, B and C," Baird said. "'A' is guys we feel we would take in Rule 5 that would play a legitimate, contributing role to the Major League team. 'B' would be an upside guy. 'C' is for the minor league phase."
Ascencio, Baird said, fit into the B category, which brings up the other issue/problem with Rule 5 selecting. Young players with "upside" usually benefit from regular seasoning and consistent experience in the minors. But if a player's good enough to stick on a Major League roster, his development may be stunted. Ascencio was an exception to the rule.
"Usually development is more subjective with a Rule 5 pick," Baird said. "Generally, they don't get that kind of experience. You look at the upside of the guy, you factor in the age and what a guy can be in the future. Usually, when you're looking at a Rule 5 guy, you're looking long term."
And that is easier said than done. The players available aren't exactly the cream of the crop. Those blue-chippers are invariably protected. Of course, one team's lost cause is another's diamond in the rough. And that's what teams like the Royals will be looking for at Monday's draft.
"Usually, they're not on the 40-man for a reason," Baird said. "Usually, clubs know their own players the best. "There are guys who stand out. When you see them on the list, you have interest. Then you really go to work."
If all the work pays off, the dividend can be a player like Gibbons. The 25-year-old right fielder hit 15 homers in 225 at-bats in his first season with the O's, then finished last season second on the team in home runs (28) and RBIs (69) is his first year as a full-timer.
Jonathan Mayo is a reporter for MLB.com. This story was not subject to the approval of Major League Baseball or its clubs.