What do you know about the "Rule 5" for the draft?

[Salty]

Rule 5 draft - Wikipedia

en.wikipedia.org

From the Link:
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]

I came upon this rule when I was searching for Kelly Gruber - who played for the Blue Jays. During an exhibition game when Toronto played the Syracuse Chiefs, (their AAA farm Team). I had the opportunity to go on the field during warm-up. I asked for and received his autograph. When in Syracuse, Kelly would come to our radio station, for interviews, as he was a believer.

 

[Reformed]

A team that picks up a player in the Rule 5 draft must keep that player on their roster for the entire upcoming season or they lose that player back to their former team.

 

[Salty]

A team that picks up a player in the Rule 5 draft must keep that player on their roster for the entire upcoming season or they lose that player back to their former team.

Is that a loophole?

 

[Reformed]

Is that a loophole?

I think that rule is in place to prevent teams from gaming the system.

From Grok:

In Major League Baseball's Rule 5 Draft, a player selected must remain on the acquiring team's 25-man active roster (or the 26-man roster, depending on the current MLB roster rules) for the entire upcoming season, or be placed on the 15-day injured list (or other applicable injured list) if injured. The player cannot be optioned to the minor leagues without first clearing waivers and being offered back to the original team.If the acquiring team does not want to keep the player on the active roster for the full season, they must:

1. Place the player on outright waivers. If the player clears waivers, the team must offer the player back to their original team for $50,000 (half the draft price).
2. If the original team does not reclaim the player, the acquiring team can then assign the player to their minor league system.

The player does not need to remain on the 40-man roster specifically, as the Rule 5 requirements focus on the active roster. However, since the 40-man roster includes the active roster, the player will occupy a 40-man roster spot unless waived or returned. This rule ensures that teams cannot simply stash Rule 5 draftees in the minors without giving them a genuine opportunity to play in the majors.