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I posted this on Reddit.
First off, a player does not count in the formula if any of the following are true. (This is not a complete list, but rather a list of the key rules pertinent to the first few days of free agency.)
The rule in terms of picks canceling is that they always cancel within a round first (e.g., a third-rounder cancels out another third-rounder, if available). If there are no remaining players in that round, they then cancel out the closest pick downward first; only if no such picks remain do they cancel upward.
As a result, you generally must lose more UFAs than you sign to receive comp picks. If you sign the same number, you can get a single comp 7 pick, if the 32 picks haven't been awarded. [To use an extreme case, if you lose one $20M FA, and sign two $1.5M contracts, you get no comp pick.]
Edit: I was wrong about the rule for picks canceling. It is within a round first.
First off, a player does not count in the formula if any of the following are true. (This is not a complete list, but rather a list of the key rules pertinent to the first few days of free agency.)
- The player is not an unrestricted free agent. (RFAs/ERFAs don't count.)
- The player re-signs with his old team.
- The player retires.
- The player reached free agency through any mechanism other than an expiring contract (declined options and voided contracts do count as expiring contracts, but being waived does not).
- The player reached free agency on any day other than the first day of the league year.
- The player was traded. [There is an exception here, but it isn't relevant ATM.]
- The player signed a contract whose annual average value is below the 50th percentile of all NFL contracts (roughly $1M/year).
- The player signed a contract that qualifies for the vet minimum.
The rule in terms of picks canceling is that they always cancel within a round first (e.g., a third-rounder cancels out another third-rounder, if available). If there are no remaining players in that round, they then cancel out the closest pick downward first; only if no such picks remain do they cancel upward.
As a result, you generally must lose more UFAs than you sign to receive comp picks. If you sign the same number, you can get a single comp 7 pick, if the 32 picks haven't been awarded. [To use an extreme case, if you lose one $20M FA, and sign two $1.5M contracts, you get no comp pick.]
Edit: I was wrong about the rule for picks canceling. It is within a round first.
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