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Rule 5 draft
Rule 5 draft
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Johan Santana, selected in the Rule 5 draft following the 1999 season, went on to win two Cy Young Awards.

The Rule 5 draft is a Major League Baseball (MLB) player draft that occurs each year in December, at the annual Winter Meeting of general managers. The Rule 5 draft aims to prevent teams from stockpiling too many young players on their minor league affiliate teams when other organizations would be willing to have them play in the major leagues.[1] The Rule 5 draft is named for its place in The Official Professional Baseball Rules Book. The Rule 4 draft—more widely known as the "first-year player draft", "amateur draft", or simply the "MLB draft"—is a distinctly different process by which teams select high school and college players, and takes place annually in July.

The Rule 5 draft has happened every year since 1920. The 2021 MLB lockout led to the postponement of the major league phase of the Rule 5 draft, but the minor league phase proceeded as scheduled.[2]

History

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MLB player transactions are governed by The Official Professional Baseball Rules Book,[3][a] within which, Rule 5 governs the "Annual Selection of Players".[3]: 62–66  The first version of what would become known as the Rule 5 draft began in 1892.[4] Picks were originally chosen from independent minor league teams before the farm system developed, with teams compensated financially based on 'level' of the minor league the team was in. Prior to its current incarnation, from 1959 until the creation of the annual amateur Rule 4 draft in 1965, top first-year prospects of teams were exposed to the Rule 5 draft. This was in some ways an outgrowth of the bonus rule that existed from 1946 to 1950 and from 1953 to 1957.[5]

Description

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The selection order of the teams is based on each team's win–loss record from the prior regular season, as in the amateur draft, each round starting with the team with the worst record and proceeding in order to the team with the best record. Teams may choose not to select any player with their pick, passing to the next team in the order. Any player selected under Rule 5 is immediately added to his new team's 40-man roster; thus, teams who do not have an available roster spot may not participate in the Rule 5 draft. Players who are not currently on their team's 40-man roster are eligible to be selected in the Rule 5 draft, but only after a standard exemption period has elapsed, per selection eligibility below.

If chosen in the Rule 5 draft, a player must be kept on the selecting team's major league active roster for the entire season that follows the draft—the player may not be optioned or designated to the minors. The selecting team may, at any time, waive the Rule 5 draftee. If a Rule 5 draftee clears waivers by not signing with a new MLB team, he must be offered back to the original team, effectively canceling the Rule 5 draft choice. Once a Rule 5 draftee spends an entire season on his new team's active roster, his status reverts to normal and he may be optioned or designated for assignment.

To prevent the abuse of the Rule 5 draft, the rule also states that the draftee must actually be active for at least 90 days. This keeps teams from drafting players, then placing them on the injured list for the majority of the season. For example, if a Rule 5 draftee was only active for 67 days in his first season with his new club, he must be active for an additional 23 days in his second season to satisfy the Rule 5 requirements.

Any player chosen in the Rule 5 draft may be traded to any team while under the Rule 5 restrictions, but the restrictions transfer to the new team. If the new team does not want to keep the player on its active roster for the season, he must be offered back to the team of which he was a member when chosen in the draft.

Selection eligibility

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Players are eligible for selection in the Rule 5 draft if they are not on their major league organization's 40-man roster and:

  • were 18 or younger on the June 5 preceding their signing and this is the fifth Rule 5 draft upcoming; or
  • were 19 or older on the June 5 preceding their signing and this is the fourth Rule 5 draft upcoming.

These exemption periods (one year longer than those in effect previously) went into effect as part of a new Collective Bargaining Agreement (CBA) in October 2006. The change took effect immediately, exempting many players from the 2006 Rule 5 draft even though they had been signed in some cases more than four years before the new agreement came into effect. Prior to the rule change, players were exempt from the first two or three Rule 5 drafts held after their signing (regardless of the year they were drafted), rather than from the first three or four Rule 5 drafts after their signing.

There can be exceptions to these rules, however. Players may also be eligible to be selected due to having a previous contract voided and then re-signing with their original signing team within a year. Notable players selected due to this rule include Wei-Chung Wang and Elvis Luciano.[6]

Example

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The Rule 5 draft has opened opportunities for teams to take other teams' top prospects who may not be ready for the major leagues. A prominent example is Johan Santana, a member of the Venezuelan Baseball Hall of Fame, who was chosen in the 1999 Rule 5 draft by the Florida Marlins when the Houston Astros declined to put him on their 40-man roster, and then traded to the Minnesota Twins in a pre-arranged deal.[7] Santana had not played above Class A before being chosen in the Rule 5 draft.[8] The Twins kept Santana on their roster for the 2000 season, despite the pitcher's subpar performance that season (6.49 ERA). After the 2000 season, the Twins had the right to assign Santana to their minor league system, but chose not to do so during the 2001 season. He was briefly assigned to Triple-A at the start of the 2002 season, then returned to the major leagues at the end of May and established himself as an above-average pitcher; he went on to win Cy Young Awards in 2004 and 2006.

Cost

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To prevent excessive turnover in the minor league levels, each draftee costs $100,000. If the draftee does not stay on the selecting team's active major league roster all season, the player must be offered back to his original team at half-price ($50,000). Prior to the CBA in effect during 2017–2021, each draftee cost $50,000 and therefore $25,000 to be reacquired by his original team.[9]

Minor-league phase

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Under the 2017–2021 CBA, organizations could also draft players from Double-A or lower to play for their Triple-A affiliates (for $12,000) and could draft players from Class A teams or lower to play for their Double-A affiliates (for $4,000).[1][10] Starting in 2022, the cost of selecting a player into Triple-A was doubled to $24,000, and the Double-A phase was eliminated.[11]

Notable Rule 5 draftees

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See also: Rule 5 draft results

Hall of Famers

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All-Stars

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† player was selected in the minor league portion of the Rule 5 draft

Drafted, but returned, or traded before start of season

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Drafted, then traded to the drafting team, nullifying the draft

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Notes

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References

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Further reading

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Revisions and contributorsEdit on WikipediaRead on Wikipedia

Rule 5 draft

View on Grokipedia
from Grokipedia
The Rule 5 draft is an annual (MLB) player draft conducted during the league's Winter Meetings in December. It enables MLB teams to select players from other organizations' systems who are not on the 40-man roster, provided they meet eligibility criteria such as having at least four years of professional experience. Players selected in the major league phase must remain on the active roster for the entire season or be returned to their original team for a fee, promoting player development and preventing talent hoarding.

History

Origins and early implementation

The Rule 5 draft originated in 1892 as the "Selection of Players," allowing (MLB) teams to draft players from independent minor league teams between October 1 and February 1 each year. The selection price ranged from $500 to $1,000 per player, depending on the minor league's level, with no fixed draft order. In 1931, the draft evolved to recognize affiliated farm systems, expanding eligibility to include players from these teams. The term "Rule 5" first appeared in the Major League rules in 1941. From 1947 to 1965, the draft was linked to bonus rules, which limited signing bonuses for amateur players; those receiving bonuses above thresholds (such as $6,000 from 1953 to 1957) had to remain on MLB rosters for two years or be exposed in the draft. The draft has been held annually since 1920.

Key rule evolutions

The modern form of the Rule 5 draft was established in following the introduction of the amateur draft and free agency, with the selection price set at $50,000 and eligibility extended to players with 3-4 years of professional experience based on age. A significant change occurred in 2006 under the new Agreement (CBA), which reduced the eligible player pool by extending protection periods: players signed at age 18 or younger are protected for five seasons, while those signed at age 19 or older are protected for four seasons. In 2021, the MLB lockout led to the postponement of the major league phase of the draft, though the minor league phase proceeded as scheduled. No further major structural changes have been reported as of November 2025.

Purpose and overview

Relation to MLB player development

The Rule 5 draft serves as a key mechanism within Major League Baseball's (MLB) player acquisition and development framework, distinct from the Rule 4 draft, which focuses on selecting amateur players such as high school and college athletes entering professional baseball for the first time. While the Rule 4 draft introduces new talent into the system through an annual June selection process emphasizing potential and scouting evaluations, the Rule 5 draft redistributes existing minor league players who have already signed professional contracts but remain unprotected on their original teams' 40-man rosters. Similarly, it differs from the Rule 3 provisions, which govern eligibility and signing rules for players from independent leagues or international circuits not covered by the amateur draft, often allowing direct free-agent signings rather than a competitive selection process. By targeting seasoned minor leaguers—typically those with four or five years of professional experience—the Rule 5 draft functions as a redistribution tool that promotes player mobility across organizations, complementing the minor league affiliate system by accelerating evaluations for prospects who might otherwise languish in lower levels. A primary purpose of the Rule 5 draft is to prevent talent hoarding by MLB clubs, compelling teams to make decisive protection choices for their top prospects ahead of the annual December event. Players signed at age 18 or younger become eligible after five professional seasons, while those signed at 19 or older qualify after four, unless added to the 40-man roster in the preceding . This structure encourages timely development and promotion, as organizations must weigh the value of limited 40-man spots against the risk of losing talent to other clubs for a modest $100,000 fee. Without such a mechanism, wealthier or more established teams could indefinitely stockpile prospects in their systems, stifling opportunities for blocked players and reducing overall league-wide talent circulation. The Rule 5 draft integrates closely with MLB's option years and 40-man roster , where exhausted minor league options often heighten a player's vulnerability to selection. players on the 40-man roster receive three options to be demoted without passing through waivers, but once options are depleted, teams face stark choices: retain them in the majors, expose them to waivers, or risk Rule 5 eligibility if unprotected. This interplay forces front offices to balance short-term roster needs with long-term development, as adding a player via Rule 5 requires immediate placement on the active 26-man roster for at least 90 days (or the full season if kept), providing a high-stakes platform that can fast-track careers. For instance, selected players must remain on the major league roster unless and cleared through waivers, with the original team able to reclaim them for $50,000, thus tying progression directly to major league readiness assessments. By awarding first selection rights to teams in reverse order of the previous season's standings—starting with the worst record—the Rule 5 draft enhances competitive parity across MLB, enabling rebuilding franchises to acquire cost-controlled talent that might otherwise be inaccessible. This inverse ordering mirrors elements of the amateur draft and lottery system, leveling the playing field for lower-performing clubs and discouraging perpetual dominance by elite teams through unchecked depth. Over time, the draft has facilitated notable success stories, such as Johan Santana's 1999 selection by the , underscoring its role in democratizing access to proven performers and fostering a more balanced talent distribution throughout the league.

Strategic role in team building

The Rule 5 draft serves as a tactical tool for teams, particularly those in rebuilding phases or with limited payrolls, to acquire cost-effective talent without engaging in high-stakes trades or free-agent spending. By selecting unprotected prospects for a modest $100,000 fee, lower-performing teams can potentially uncover immediate contributors or developmental pieces that bolster roster depth, especially in pitching, where small-market clubs often target arms to address gaps without significant financial outlay. This mechanism allows organizations to inject fresh talent into their lineup, fostering competitive balance by enabling under-resourced teams to challenge more established rosters through strategic and selection. However, the draft carries inherent risks that demand careful roster management and evaluation. Selected players must occupy a spot on the 26-man active roster for at least 90 days in their first season, which can displace established veterans or block emerging talent from internal pipelines, potentially disrupting short-term team chemistry. If the player underperforms or requires further minor-league , the selecting team faces the option of returning them to their original organization for $50,000 or trading for full rights, but this process incurs opportunity costs in terms of roster flexibility and development resources. These constraints make the draft a high-variance proposition, where unproven selections may fail to contribute meaningfully, underscoring the need for rigorous pre-draft assessment to mitigate the chance of tying up valuable spots. To safeguard key prospects from being poached, teams employ proactive protection strategies centered on the 40-man roster, which must be finalized by the mid-November deadline preceding the draft—typically November 18 at 5 p.m. ET. Organizations evaluate their minor-league systems using tiered criteria to identify players eligible after four or five professional seasons (depending on signing age), adding them to the 40-man roster through waivers, outright assignments, or trades to create space, thereby preventing low-cost losses that could benefit rivals. This deadline-driven process influences broader team-building decisions, as failing to protect high-upside talent risks ceding it to competitors, while overprotecting can strain roster limits and expose other assets. One effective tactic in leveraging the draft for long-term rebuilds is the "draft-and-stash" approach, where teams select young position players (often 20-22 years old) and invest in their development while carrying them on the expanded 26-man roster, using them sparingly in roles like pinch-running or defense. By prioritizing these selections, rebuilding franchises can accelerate their contention timelines, turning the draft into a pivotal element of sustainable roster construction.

Eligibility and selection

Player protection criteria

The player protection criteria for the Rule 5 draft establish the thresholds that determine which players must be added to their organization's 40-man roster to avoid selection by other teams. These criteria are based on a player's age at signing and the number of professional seasons completed, ensuring that teams cannot indefinitely hoard prospects without exposing them to . Specifically, a player is eligible for selection if they were 18 years old or younger on the June 5 preceding their initial professional signing date and have completed five or more professional seasons, or if they were 19 or older on that date and have completed four or more professional seasons. Professional seasons are counted from the year of signing, and eligibility is assessed annually prior to the draft. Certain players are explicitly excluded from eligibility regardless of their season totals. These include all individuals already on their team's 40-man roster, who are automatically protected; major leaguers who have accrued three or more years of service time, as they are considered established veterans exempt from the draft pool; and players on a major league active , whose status maintains protection through their roster placement. This framework prioritizes safeguarding active major league contributors while compelling teams to evaluate and promote promising minor leaguers. Teams must finalize their 40-man rosters by an annual deadline, typically in mid-to-late —such as in 2024—to protect eligible players before the draft occurs in . Failure to add a qualifying player to the roster by this cutoff renders them immediately available for selection. Historically, these criteria have evolved to balance player development and competitive equity. Prior to the 2006 collective bargaining agreement, eligibility thresholds were shorter: players signed at age 19 or older became eligible after three professional seasons, while those signed at 18 or younger required four seasons, exposing prospects to the draft earlier in their careers. The 2006 changes extended these windows to four and five seasons, respectively, reducing the pool of available players and giving organizations more time to develop talent before mandatory protection decisions.

Draft order and logistics

The Rule 5 draft is conducted annually during Major League Baseball's Winter Meetings, which convene in early to mid-December at a host city selected by MLB, with the event typically scheduled for December 10 or 11. The major league phase occurs first, followed immediately by the phase, allowing teams to make selections in sequence without interruption. In 2020, due to the , the draft was held virtually via teleconference, demonstrating flexibility in format when in-person gatherings are infeasible. As a for disruptions, the major league phase of the 2021 draft was postponed indefinitely and ultimately canceled due to the league-wide lockout that began on December 2, 2021, though the phase proceeded as planned. The selection order follows the reverse of the teams' final standings from the previous , granting the first pick to the club with the worst record and proceeding upward from there. Ties in records are resolved using criteria from the prior , such as head-to-head results or intradivision standings. Only teams with available space on their 40-man roster—meaning fewer than 40 players—are eligible to participate in the major league phase, and non-participating teams forfeit their turn, allowing the order to advance accordingly. The 2024 draft order, for example, began with the (41-121 record) selecting first, followed by the Colorado Rockies, , , and . The draft operates without a fixed number of rounds, continuing indefinitely until all teams consecutively pass on their turns or no eligible players remain available. In each round, teams take turns in the established order, with each selection required to come from a different original organization to prevent any single club from being depleted in rapid succession. A team may pass without making a pick, which shifts the turn to the next club in line while preserving the overall sequence for subsequent rounds. For major league phase selections, the drafting team must immediately add the player to its 40-man roster upon completion of the pick. The entire event is typically streamed live on MLB.com, enabling real-time public access to proceedings, as seen in the 2024 draft held at 2 p.m. ET in .

Roster and performance rules

Major league obligations

A player selected in the Rule 5 Draft must be added directly to the selecting team's 26-man active roster and 40-man roster at the time of selection. The player cannot be optioned to the without first being placed on outright waivers. Throughout the season, the selecting team is obligated to keep the player on the active 26-man roster or the ; failure to do so triggers the return process. To fully satisfy the Rule 5 conditions and avoid a mandatory offer-back at season's end, the player must accumulate at least 90 days on the active roster or during the championship season. These rules ensure the draftee receives major league exposure while protecting the original team's developmental investment.

Return and trade provisions

The return process for a Rule 5 draftee allows the selecting team to remove the player from its major league roster under specific conditions designed to protect the original team's investment while providing flexibility. To initiate a return, the selecting team must first place the player on outright waivers. If the player clears waivers without being claimed by another club, the selecting team is required to offer the player back to the original organization for a of $50,000, which represents half of the standard $100,000 selection cost. The original team then has the option to accept the return, regaining the player's full contractual rights and allowing them to option him to the minors without further restrictions; if declined, the selecting team may outright the player to its minor league system, thereby ending the Rule 5 obligations. This return mechanism can occur at any point during the season, though it is often pursued mid-season if the player struggles with performance or sustains an injury that prevents meaningful contribution, provided the team has already met minimum roster exposure requirements. The selecting team must ensure the player spends at least 90 days on the active major league roster or during the season to avoid mandatory return at the end; failure to do so triggers the offer-back process by the conclusion of the championship season. Returns are common when players fail to adapt to major league demands, enabling the original team to reclaim talent for further development in the minors. Trade provisions permit the selecting team to deal a Rule 5 draftee to another organization, but the acquiring team inherits all associated restrictions, including the obligation to maintain the player on the 26-man active roster or for the remainder of the season. Trades involving Rule 5 players are infrequent mid-season due to these constraints and the risk of disrupting roster balance, though post-draft trades occur regularly, often in exchange for cash considerations to facilitate immediate adjustments. A key exception arises when trading the player directly to the original team: in such cases, the original organization can negotiate for full contractual rights, allowing them to option the player to the minors without invoking waiver process and effectively resolving the selection without ongoing Rule 5 limitations. If a Rule 5 selection is traded back to the original team shortly after the draft, prior to the start of the season, the transaction can nullify the draft outcome, as the player remains under the original team's control with standard minor league options intact and the selection fee returned in full. This provision discourages superficial selections intended solely as maneuvers, ensuring the Rule 5 process promotes genuine player evaluation and development.

Financial elements

Selection and return fees

In the Major League phase of the Rule 5 draft, a selecting team pays a fee of $100,000 to the player's original organization upon selection, as established under the 2017-2021 Agreement and continued in the 2022-2026 CBA. If the player fails to remain on the selecting team's active Major League roster for the full season—specifically, appearing in at least 90 days on the active list or being on the for at least 90 days—the team must offer the player back to the original organization for a return fee of $50,000. This return process involves placing the player on waivers first; if he clears waivers, the original team has the right to reclaim him by paying the $50,000 return fee to the selecting team. If the original team declines to reclaim the player, the selecting team retains rights and may outright him to the minors. The selecting team assumes full responsibility for the player's existing , including any or benefits, with no guarantees of Major League service time or minimum pay beyond standard or Major League rates depending on roster status. There are no additional protections specific to Rule 5 selections, meaning the drafting bears the financial risk of the player's performance and roster compliance. In the phase, which follows the Major League portion and consists of a single Triple-A portion (implemented starting in 2022 by eliminating Double-A and lower phases), the fee is $24,000 for selecting a player eligible for Triple-A assignment, increased from $12,000 prior to 2022. These payments are made directly to the original organization upon selection, and players selected in this phase have no mandatory Major League roster obligations, allowing greater flexibility for assignments without return fees.

Historical cost adjustments

The Major League phase selection fee has evolved over time. It was $50,000 from 1986 to 2016 before increasing to $100,000 starting in under the new Collective Bargaining Agreement, with the return fee adjusted to $50,000 (half the selection fee). Earlier fees were lower, such as $25,000 in the mid-20th century. For the phase, prior to 2022, there were multiple phases (Triple-A, Double-A, etc.) with tiered fees around $12,000 for Triple-A and lower for other levels; the 2022 changes consolidated it to a single Triple-A phase at $24,000 to streamline the process. As of the 2022-2026 CBA, these fees remain in effect.

Minor league phase

Structure and eligibility

The minor league phase of the Rule 5 draft is conducted immediately following the major league phase, typically during Major League Baseball's Winter Meetings in December. Since the 2022 collective bargaining agreement, this phase is limited exclusively to selections for Triple-A (AAA) rosters, with the previous Double-A phase eliminated to streamline the process and focus on higher-level depth. The draft proceeds in reverse order of the previous season's standings among the 30 MLB clubs, allowing teams to select unprotected players in unlimited rounds until no further picks are made. Eligibility for the minor league phase mirrors that of the major league phase but applies to players not selected earlier. Players become eligible after accruing four seasons of professional experience if signed at age 19 or older, or five seasons if signed at age 18 or younger, provided they are not added to their original club's 40-man roster. For this phase specifically, eligible players must also not be protected on their original team's 38-man Triple-A roster, enabling clubs to target talent overlooked in the major league portion. Selections in the phase involve a straightforward payment of $24,000 from the acquiring team to the player's original organization, an increase from the prior $12,000 fee implemented in to reflect inflation and updated CBA terms. Unlike the major league phase, there are no minimum roster size requirements for participating teams, allowing broader access to bolster affiliate systems. The process emphasizes efficiency, with picks announced round by round without the same level of public fanfare as major league selections. Upon selection, the acquiring team obtains full minor league contractual rights to the player, who can be assigned to any level within their farm system without restrictions. There is no return obligation to the original team, distinguishing this phase from major league rules that mandate active roster time and potential buyback provisions. This structure serves primarily to enhance organizational depth at the level, redistributing talent to prevent hoarding and providing development opportunities free from major league performance pressures.

Notable outcomes

One of the most notable success stories from the minor league phase of the Rule 5 draft is Alexi Ogando, selected by the Texas Rangers from the in 2005. Originally signed by the Athletics as an international out of the , Ogando had defected and faced legal issues that delayed his career, but after the selection, the Rangers converted him from outfield to pitching and developed him through their system. He debuted in the majors in 2010, became an in 2011 with a 13-9 record and 3.57 ERA over 169 innings, and accumulated 4.5 across six MLB seasons primarily with Texas. Other impactful transitions include Omar Narváez, picked by the from the in 2013, and Justin Bour, selected by the in the same year's phase. Narváez, a , reached the majors with the White Sox in 2016 and went on to a 10-year career spanning over 650 games, earning All-Star nods in 2019 with the Seattle Mariners and 2021 with the Milwaukee Brewers, where he posted a .278/.346/.439 slash line in 2021. Bour debuted for the Marlins in 2014, finishing fifth in National League Rookie of the Year voting with 22 home runs and 75 RBIs in 121 games; he played five MLB seasons, hitting 92 home runs across multiple teams including the Phillies and . These cases highlight rare instances where phase selections led to sustained major league contributions, often through targeted development by the acquiring team. Success rates for players selected in the phase remain notably lower than those in the major league phase, primarily due to the absence of mandatory 40-man roster protections, which allows selecting teams greater flexibility to assign players to lower levels without return obligations. While major league phase picks face intense scrutiny and must accrue service time or be returned, selections—numbering around 60-80 annually—rarely result in immediate or long-term major league roles, with most players either languishing in the minors or being released. For context, in the decade from 2014 to 2023, only a handful of phase draftees, like Narváez and Bour, achieved multi-year MLB careers, underscoring the phase's role more as a talent reshuffling mechanism than a pipeline for stars. The 2022 restructuring of the phase, which eliminated the Double-A and segments in favor of a single Triple-A phase, has influenced outcomes by simplifying logistics and increasing selection volume. The fee for Triple-A picks rose from $12,000 to $24,000, but players can now be freely optioned to lower affiliates without restrictions, potentially aiding development for borderline prospects. This led to 67 selections in 2022 alone—the highest since 2006—and has encouraged more aggressive drafting, with 83 total picks across phases in 2024, the most since 2004, fostering greater turnover and occasional breakthroughs for overlooked talent.

Notable draftees

Hall of Famers

Several Baseball Hall of Famers have been selected in the Rule 5 draft or its historical equivalents.
  • Hack Wilson (1925): Selected by the Cubs from the ( affiliate); Wilson became a prolific , leading the National League in home runs four times and RBIs twice, earning induction in 1979.
  • (1954): Selected by the from the ; Clemente won 12 Gold Gloves, the 1966 National League MVP, and four batting titles, inducted in 1973 as the first Latin American primary position player in the Hall of Fame.

All-Stars and award winners

The Rule 5 draft has produced numerous All-Stars and award recipients, highlighting its role in identifying overlooked talent.

Recent selections

In recent years, the Rule 5 draft has continued to serve as a source of immediate contributors for major league rosters, with a noticeable trend toward selecting pitchers amid ongoing needs for rotation and depth. In the 2024 major league phase, teams selected 15 players, 11 of whom were pitchers, reflecting the league-wide emphasis on arms capable of high-velocity or specialized relief roles. The 2024 draft's early picks highlighted this pitcher-heavy approach while including positional versatility. The selected right-handed pitcher Shane Smith from the Milwaukee Brewers with the first overall choice; Smith, a 26-year-old with a mid-90s and sharp , impressed in and secured a rotation spot for 2025. During his season, he posted a 7-8 record with a 3.81 over 146.1 , recording 145 strikeouts and earning an selection as the first White Sox starter to achieve such honors. The followed by taking catcher Liam Hicks from the Detroit Tigers, valuing his defensive framing and power potential from Triple-A. Hicks broke camp as the Marlins' primary backstop in 2025, batting .247 with 6 home runs and 45 RBIs in 332 at-bats, while providing solid game-calling despite a 10.5% caught-stealing rate; his performance marked him as a Rule 5 success story, contributing to Miami's improved catching stability. The selected left-handed pitcher Garrett McDaniels from the third overall, targeting his swing-and-miss for depth. McDaniels appeared in 10.2 innings during the 2025 season with a 5.91 before a biceps sidelined him in May, limiting his impact but demonstrating initial promise in high-leverage spots during . Beyond the 2024 class, notable selections from the 2010s and 2020s have produced long-term value, with roster retention rates hovering around 40-50% for major league phase picks in recent drafts, often depending on injury avoidance and adaptation to big-league workloads. , taken by the Baltimore Orioles from the Cleveland Indians in 2016, evolved into a 30-homer mainstay, accumulating over 11.1 wins above replacement through 2024. Reliever Yennier Cano, selected by the Orioles from the Houston Astros in 2021, became a key with a sub-3.00 in his first full season. , acquired by the from the in 2018, has since become a consistent 20-plus producer. These examples underscore the draft's potential for unearthing overlooked talent, though success remains selective amid the challenges of mandatory active-roster time.

Special cases

Returned players

In the Rule 5 draft, teams may return players to their original organization at the end of the season by offering them back for half the draft fee ($25,000). Notable examples include pitcher , selected by the from the in 1996 but returned after the season without major league service, allowing the Athletics to retain him. Another case is outfielder , drafted by the Colorado Rockies from the Houston Astros in 2003 and returned after appearing in 29 games.

Nullified or traded drafts

In instances where a team selects a player in the Rule 5 draft but subsequently determines the player is not suitable for immediate major league duty, the selection can be nullified by trading the player back to the original organization before . This process cancels the draft selection and refunds the draft fee to the selecting team (historically $25,000 for pre-1985 drafts and $50,000 thereafter), allowing the original club to retain full rights without the player ever reporting. Such nullifications are uncommon, as they typically occur during when performance or roster needs change unexpectedly. A classic example of a nullified draft is that of pitcher , selected by the Texas Rangers from the San Diego Padres in the 1984 Rule 5 draft. The Rangers nominally returned Williams to the Padres on April 6, 1985, but acquired him back the same day in a trade for pitcher Randy Asadoor, effectively voiding the Rule 5 selection and retaining him under standard rules after evaluation. Williams debuted in the majors with the Rangers on April 9, 1986. Traded drafts, where the selected player is dealt to a third party shortly after the selection, represent another special resolution, often involving prearranged deals to circumvent draft order. In the 1999 Rule 5 draft, the Minnesota Twins and Florida Marlins coordinated a swap: the Twins selected pitcher Jared Camp from the Cleveland Indians with the first pick, while the Marlins took left-hander Johan Santana from the Houston Astros second overall. The teams then traded the players to each other for Camp and $50,000, allowing the Twins to acquire Santana without directly selecting him from the Astros. This maneuver bypassed the original team's protection and propelled Santana to a Hall of Fame-caliber career, including two Cy Young Awards. While Rule 5 players can be traded at any time during their obligatory season—with the restrictions transferring to the new team—trades to third parties are rare early in the process, as most post-draft trades occur later in or during the season.

References

  1. https://www.mlb.com/news/complete-history-of-the-mlb-rule-5-draft-c210225288
  2. https://www.baseball-reference.com/glossary/rule-5-draft/
  3. https://www.mlb.com/glossary/transactions/rule-4-draft
  4. https://www.mlb.com/glossary/transactions/rule-5-draft
  5. https://registrationz.mlbpa.org/pdf/MajorLeagueRules.pdf
  6. https://www.mlb.com/glossary/transactions/minor-league-options
  7. https://www.baseballamerica.com/stories/rule-5-draft-fixes-would-benefit-players-add-intrigue-for-mlb-teams/
  8. https://www.mlb.com/news/cardinals-make-series-of-moves-to-40-man-roster
  9. https://www.mlb.com/news/rule-5-draft-prospects-protected-on-40-man-rosters-2024
  10. https://www.baseballamerica.com/stories/explaining-the-rule-5-draft/
  11. https://www.mlb.com/news/rule-5-draft-results-2022
  12. https://www.milb.com/news/the-rule-5-draft-explained-311955076
  13. https://www.mlb.com/news/rangers-rule-5-draft-picks
  14. https://www.baseballamerica.com/stories/the-best-rule-5-draft-picks-of-the-21st-century/
  15. https://tht.fangraphs.com/the-many-non-successes-of-the-rule-5-draft/
  16. https://www.espn.com/mlb/story/_/id/42916535/eleven-pitchers-15-players-selected-rule-5-draft
  17. https://www.mlb.com/news/rule-5-draft-results-2024
  18. https://www.espn.com/mlb/player/gamelog/_/id/5201814/shane-smith
  19. https://www.rotowire.com/baseball/player/shane-smith-19168
  20. https://www.espn.com/mlb/player/gamelog/_/id/4725251/liam-hicks
  21. https://fishonfirst.com/news-rumors/miami-marlins/liam-hicks-rule-5-catcher-rookie-season-defense-quotes/
  22. https://www.rotowire.com/baseball/player/garrett-mcdaniels-15472
  23. https://halohangout.com/garrett-mcdaniels-is-poised-to-be-your-next-favorite-angels-reliever
  24. https://www.mlb.com/news/best-rule-5-draft-picks-past-10-years
  25. https://www.mlb.com/news/a-history-of-the-rule-5-draft-c210225288
  26. https://www.baseball-almanac.com/players/trades.php?p=willimi02
  27. https://www.mlb.com/news/johan-santana-is-twins-rule-5-gem
  28. https://www.fishstripes.com/2020/12/7/22157499/johan-santana-twins-marlins-trade-rule-5-draft
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