When Epstein was named president of baseball operations for the Cubs, the Red Sox were told they would receive compensation because Epstein had one year remaining on his contract as Boston's general manager.
The teams have been unable to agree on a player or players, and the matter has been turned over to Selig, sources said Wednesday, confirming a report by the Chicago Sun-Times.
When the Cubs hired Andy MacPhail away from the Twins to be team president in 1994, they sent Class A pitcher Hector Trinidad to Minnesota as compensation. Trinidad never reached the big leagues. The Red Sox apparently want more for Epstein, who signed a five-year, $18.5 million contract with the Cubs on Oct. 25.
Selig intervened earlier in the process, telling the teams to set a Nov. 1 deadline to agree on compensation. But that date passed with no resolution.
The Red Sox named Ben Cherington as general manager to replace Epstein.
Carrie Muskat is a reporter for MLB.com. She writes a blog, Muskat Ramblings, and you can follow her on Twitter@CarrieMuskat. This story was not subject to the approval of Major League Baseball or its clubs.