03-12-2019, 12:51 AM
(03-11-2019, 06:10 PM)xudong Wrote: My question is: if we receive 38 m in one lump sum, all 38m should count as next year's capital gain. if we receive 38 m in 4 installments, 10 m each year, it won't help our next year's financial statement as significantly.
I seem to recall having read some cases in which a release clause is evoked, then not only full amount needs to be paid off right away, there would also be an additional administrative (punitive) fee for termination of a contract. I believe it happened in Spain a few seasons back, but forgot the details. That's why it only happened between clubs that really don't like each other. Otherwise, they would just agree on a "transfer" fee that is equal to the release clause, but avoid paying other fee (the selling club won't get that amount anyway. it usually goes to the association.)
the way release fee's work is they're only automatically triggered when it's an up front payment. That being said. Most clubs would likely also accept it in installments but usually because the buying club chooses throw other things in like bonuses as an extra incentive
