A franchise tag contract is a term used in the National Football League (NFL) to describe an agreement between an NFL team and a player that the team wants to keep but hasn`t signed a long-term contract with yet. The franchise tag allows teams to keep a player on their team for one year without having to go through the process of negotiating a long-term contract.

The franchise tag is a valuable tool for teams to use to keep players who they perceive as important to their team`s success. When a player is tagged, they are guaranteed to receive a salary that is among the top five at their position for that year, or a 20% raise from their previous year`s salary (whichever is greater). While this may seem like a lot of money, it is often less than the player would make if they were able to negotiate a long-term deal with their team.

There are two types of franchise tags that a team can use: exclusive and non-exclusive. When a player is given an exclusive franchise tag, they are not allowed to negotiate with other teams. This means that the team that tagged them is the only one that can sign them to a long-term deal. Non-exclusive franchise tags, on the other hand, allow the player to negotiate with other teams. However, the team that tagged them has the right to match any offer that is made by another team. If they choose not to match the offer, the player can sign with the new team, but the new team will have to give up two first-round draft picks to the team that tagged the player.

While the franchise tag can be a useful tool for teams to keep players, it can also be controversial. Some players view it as a way for teams to keep them from negotiating a long-term deal that would pay them more money. Additionally, some players who are tagged may feel like they are being undervalued and may hold out or refuse to play until they get a long-term deal. This can create tension between the player and the team, and can ultimately hurt the team`s chances of winning games.

In conclusion, the franchise tag contract is a valuable tool for NFL teams to use to keep talented players on their team. It allows them to keep a player for one year without having to negotiate a long-term deal, which can be beneficial for both the team and the player. However, it can also be controversial and can create tension between the player and the team. As with any contract, it is important for both parties to negotiate in good faith and come to an agreement that is fair for everyone involved.