"Arbitration hearing salaries aren't fully guaranteed during the spring, but settlements are locked in at the time of signing. Mountcastle and the Orioles reached a settlement in the middle of January on a $6.787MM deal for 2026, with a $7.5MM club option for the '27 season."
"An initial out would have been for the O's to proceed to an arbitration hearing, then release Mountcastle during Spring Training. Arbitration salaries that are determined at a hearing aren't fully guaranteed until Opening Day (whether the player wins or loses). Teams can release those players during Spring Training for 30 or 45 days termination pay."
"It appears that Mountcastle's camp learned from the Davis situation. Arbitration hearing salaries aren't fully guaranteed during the spring, but settlements are locked in at the time of signing. That's a savvy move by his representatives, who were clearly aware of the termination pay possibility."
The Orioles tendered Ryan Mountcastle an arbitration contract in November, but the signing of Pete Alonso created roster complications with limited playing time for Mountcastle. Rather than proceed to an arbitration hearing and risk release during Spring Training for minimal termination pay, Mountcastle's representatives negotiated a settlement in January. The deal guaranteed $6.787MM for 2026 with a $7.5MM club option for 2027. This approach protected Mountcastle from the precedent set by the Giants releasing J.D. Davis after signing Matt Chapman. By settling instead of going to hearing, Mountcastle ensured full salary guarantees while the Orioles gained contractual control through the club option.
Read at MLB Trade Rumors
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