Common use of ACCOUNTING RULES Clause in Contracts

ACCOUNTING RULES. (a) In calculating net payments and net receipts, the Administrator, on behalf of the Clubs, shall use the definitions contained in the 1995 FIQ, subject to the provisions of Section D below. Although the intention is to follow Generally Accepted Accounting Principles ("the ▇▇▇▇ ▇▇▇es") in the adoption and application of revenue and expense definitions contained in the FIQ and in the accounting conventions, policies and practices reflected in the FIQ (and in any changes to any of the foregoing), it is acknowledged that specific exceptions to the GAAP rules have been and will be warranted to ensure uniformity, consistency and fair treatment among the Clubs, subject to the provisions of Section D below. (b) The Association has received copies of two Reports ("the Reports") containing the accounting procedures the Clubs desire the Administrator to utilize in the administration of the revenue sharing plan. The Reports are entitled: "Revenue Sharing Definitions Labor Policy Committee Recommendations Draft 11/5/96"; and "Revenue Sharing Definitions Subcommittee Review of MLB Accounting Practices August 29, 1996." The Reports recommend that the GAAP rules are an acceptable basis for reporting most financial transactions and therefore should be followed as a general rule in the adoption of revenue and expense definitions contained in the FIQ. The Reports further recommend that the GAAP rules or, in designated situations, federal tax principles, should be the "default" standards in the accounting conventions, policies or practices relating to information contained in the FIQ. The Reports also recommend some departures from the GAAP rules for certain specified transactions. Utilization by the Administrator of the recommendations contained in the Reports is subject to consultation with the Association and the other procedures set out in Section D below.

ACCOUNTING RULES. (a) In calculating net payments and net receipts, the Administrator, on behalf of the Clubs, shall use the definitions contained in the 1995 FIQ, subject to the provisions of Section D below. Although the intention is to follow Generally Accepted Accounting Principles ("“the ▇▇▇▇ ▇▇▇es"GAAP rules”) in the adoption and application of revenue and expense definitions contained in the FIQ and in the accounting conventions, policies and practices reflected in the FIQ (and in any changes to any of the foregoing), it is acknowledged that specific exceptions to the GAAP rules have been and will be warranted to ensure uniformity, consistency and fair treatment among the Clubs, subject to the provisions of Section D below. (b) The Association has received copies of two Reports ("“the Reports"”) containing the accounting procedures the Clubs desire the Administrator to utilize in the administration of the revenue sharing plan. The Reports are entitled: "“Revenue Sharing Definitions Labor Policy Committee Recommendations Draft 11/5/96"”; and "“Revenue Sharing Definitions Subcommittee Review of MLB Accounting Practices August 29, 1996." ” The Reports recommend that the GAAP rules are an acceptable basis for reporting most financial transactions and therefore should be followed as a general rule in the adoption of revenue and expense definitions contained in the FIQ. The Reports further recommend that the GAAP rules or, in designated situations, federal tax principles, should be the "“default" ” standards in the accounting conventions, policies or practices relating to information contained in the FIQ. The Reports also recommend some departures from the GAAP rules for certain specified transactions. Utilization by the Administrator of the recommendations contained in the Reports is subject to consultation with the Association and the other procedures set out in Section D below.