A club can designate one “franchise” player or one “transition” player among its veteran free agents.

The salary offer by a player’s club determines whether the franchise player designation is exclusive or non-exclusive.

An “exclusive” franchise player – not free to sign with another club – is offered a minimum of the average of the top five salaries at the player's position for the current year as of April 17, or 120 percent of the player’s previous year’s salary, or the average of the top five salaries at his position as of the end of last season – whichever of the three is greater.

There are no exclusive franchise player designations this year.

If the player is offered a minimum of the average of the top five salaries of last season at his position, or 120 percent of the player’s previous year’s salary, he becomes a “non-exclusive” franchise player and can negotiate with other clubs. His old club can match a new club’s offer, or receive two first-round draft choices if it decides not to match. The signing period for franchise players to sign with new clubs is February 27 until the Tuesday after the 10th week of the season (November 17).

A transition player receives a minimum offer of the average of the top 10 salaries of last season at the player’s position or 120 percent of the player’s previous year’s salary, whichever is greater.

A transition player designation gives the club a first-refusal right to match within seven days an offer sheet given to the player by another club after his contract expires. If the club matches, it retains the player. If it does not match, it receives no compensation.

There are no transition player designations this year.