Posting system

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The posting system (ポスティングシステム, posutingu shisutemu) is a baseball player transfer system that operates between Nippon Professional Baseball (NPB) and Major League Baseball (MLB). Despite the drafting of the United States – Japanese Player Contract Agreement, unveiled in 1967 to regulate NPB players moving to MLB, problems began to arise in the late 1990s. Some NPB teams lost star players without compensation, an issue highlighted when NPB stars Hideo Nomo and Alfonso Soriano left to play in MLB after using loopholes to void their existing contracts. A further problem was that NPB players had very little negotiating power if their teams decided to deal them to MLB, as when pitcher Hideki Irabu was traded to an MLB team for which he had no desire to play. In 1998, the Agreement was rewritten to address both problems; the result was dubbed the "posting system". Under this system, when an NPB player is "posted", his NPB team notifies the MLB Commissioner, with the posting fee based on the type of contract a player signs and its value. For minor-league contracts, the fee is a flat 25% of the contract's value; for MLB contracts, the fee is based on the value of the contract that the posted player eventually signs. The player is then given 30 days to negotiate with any MLB team willing to pay the NPB team's posting fee. If the player agrees on contract terms with a team before the 30-day period has expired, the NPB team receives the posting fee from the signing MLB team as a transfer fee, and the player is free to play in MLB. If no MLB team comes to a contract agreement with the posted player, then no fee is paid, and the player's rights revert to his NPB team. The current process replaced...