(b) In the event a Club loses its draft rights to an Unsigned Draft Choice drafted in
the first round of the Entry Draft (except as a result of failing to tender a required Bona Fide
Offer (as defined below)), who (i) is again eligible for the Entry Draft, (ii) becomes an
Unrestricted Free Agent, or (iii) dies, a Compensatory Draft Selection shall automatically be
granted to that Club, which Compensatory Draft Selection shall be the same numerical choice in
the second round in the Entry Draft immediately following the date the Club loses such rights.
By way of example, if a Club cannot sign the third pick in the first round, it will receive the third
pick in the second round as compensation.