Former Hockey Fan
Joined: Jun. 2017
Posts: 13,144
Likes: 10,516
If someone officially retires, their contract gets voided and they don’t get paid or count against the cap. This is the case with Niskanen and probably Boychuk. (Since he did officially announce retirement.) And for the handful of backdiving deals that are now illegal in the NHL, there may be a cap recapture penalty for the team that signed the contract. (ie. Weber, Suter, Parise, Luongo)
If someone has a career ending injury, they could stay on LTIR and get paid the remainder of their contract by insurance. Having a player on LTIR allows teams to exceed the cap by the amount of their contract. So essentially it’s the same as if they didn’t have the contract anymore, except the team can’t accrue cap space. (Or accrue less of it if they’re further away from the cap.) This has happened with Zetterberg, Kesler, Gaborik, Hossa, Franzen, and others.