Part 2/8:

Escrow operates within the framework of the NHL's Collective Bargaining Agreement (CBA) and is fundamentally about revenue sharing. The league and players have agreed to split revenue evenly, with each side receiving 50% of the total. Throughout the season, salaries for players are withheld into an escrow account to ensure that this balance is maintained. If, at season's end, the teams have exceeded their share, the excess funds are returned to the players, and vice versa.

Historically, escrow percentages have fluctuated, reaching alarming heights during specific seasons. It peaked at 17.95% during the pandemic year and has regularly been between 14% to 16%. For players earning $10 million a year, this can mean losses of $1.4 to $1.8 million, drastically impacting their take-home pay.