IPL logo.
Credit: X/@IPL
Indian star all-rounder Hardik Pandya has made a return to his previous IPL team, Mumbai Indians, where he had played for seven seasons before joining the Gujarat Titans and leading them to the final in his maiden stint as skipper. Pandya was traded to Mumbai Indians on November 26 as part of an all-cash deal trade-off with Gujarat Titans.
In this context, let us look at how player trades work in the IPL:
According to an Indian Express report, there are two types of player trades in the IPL, a one-way trade and a two-way trade.
A one-way trade is when a franchise buys one or more players from another IPL team, while a two-way trade means the swapping of players between two teams. Player consent is required in both cases.
Hardik Pandya moving to Mumbai Indians from Gujarat Titans is an example of a one-way trade while Rajasthan Royals swapping Devdutt Padikkal with Lucknow Super Giants pacer Avesh Khan is a two-way deal.
How does the one-way trade of players work?
A player can let his current team know he's interested in being traded if he receives an offer from another IPL franchise. A franchise may also decide to sell a player after getting their permission.
A transfer fee is discussed in both cases between the player and his present IPL team.
For example, Hardik Pandya and Gujarat Titans would have would have agreed on a transfer fee before he joined Mumbai Indians.
What will be the new fees and who pays a player who moves from one team to another?
In Hardik’s case, Mumbai Indians will have to pay his Rs 15 crore annual fees, the same amount that Gujarat Titans had spent on him during the mega auction. This amount is separate from the transfer fees.
Does the player have a share in the transfer fees?
Yes. A player can earn a certain percentage from the transfer fees. Transfer fees are not capped by the BCCI. It is legal for players to request a portion of the transfer fees from the team that they are leaving. The team that is releasing the player receives the transfer fee from the side that the player is moving to, in this case, Hardik might have asked a percentage of the transfer fees from Gujarat Titans. The transfer fee for Hardik has not yet been made public.