The New Jersey Devils appear to have made progress in signing restricted free agent Luke Hughes.
TSN reporter Pierre LeBrun reported on Insider Trading yesterday that Hughes’ contract is expected to be “long-term” as both sides work toward an agreement.
Negotiations have been ongoing since the July 4 weekend, and with training camp beginning today, the pressure is mounting to finalize a deal.
The latest report suggests Hughes is close to an agreement with the team. However, one major question remains: how will the Devils pay him?
The Devils currently have $6,131,667 in available cap space. If they plan to structure Luke’s contract similarly to his brothers’, they will need to free up additional space. His older brother, Jack, earns $8 million annually on his eight-year, $64 million deal.
Unless the Devils can structure Luke’s deal at under $6 million annually, they will need to make roster moves before finalizing the contract.
The likely holdup in negotiations is cap space. If the two sides have agreed on term, the Devils are most likely working behind the scenes to shuffle their roster and create room for Hughes.
Who could be on the move?
The first name that comes to mind is Ondrej Palat. Palat is entering year four of his five-year, $30 million deal, which carries a $6 million annual cap hit. At 34 years old and with his production declining, the Devils could argue they are overpaying for the veteran forward. With plenty of youth and depth in the forward group, moving Palat could be a logical way to clear cap space.
Another option is veteran defenseman Dougie Hamilton, the team’s highest-paid player at $9 million per season. The 32-year-old is entering year five of his seven-year contract and would likely draw interest across the league. The downside, however, is that trading Hamilton would mean losing veteran leadership and a potential mentor for younger defensemen like Hughes.
The Devils have a difficult decision ahead. While veterans like Palat and Hamilton bring value, the organization must also prioritize its future, one that clearly includes Hughes on the blue line.
The clock is ticking. With less than a month until the puck drops on October 6, 2025, the Devils still have no deal in place.