Collingwood president Eddie McGuire has demanded financial compensation for the loss of its contracted football boss Rodney Eade, who on Tuesday accepted a three-year deal to coach the Gold Coast.

The Magpies have released Eade, 56, from the final two years of his contract but have reacted angrily to the suggestion that the cost of replacing him will further increase their six-figure AFL football department tax. His departure leaves Collingwood searching for its third head of football in 18 months, with St Kilda also in the market for a football boss.

Eddie McGuire: "These clubs who sack their coaches when they are contracted and come out of nowhere and disrupt our football department plans, which were well in place ... put it this way, we look forward to having a chat with a few people." Credit:Pat Scala

Eade will depart the club immediately and move north after a short break with his family, officially taking over as Suns' coach on November 17. Eade's wife Wendy will remain in Melbourne next year while the couple's daughter Meggan completes year 12. Eade has been the No.1 target of the Suns for some weeks with the club determined its talented list required a proven senior coach.

The official announcement of Eade's appointment was delayed on Tuesday by sensitive negotiations between Suns chiefs and Collingwood CEO Gary Pert who is overseas, but remained determined to control the news of Eade's departure. While the AFL refused to buy into McGuire's compensation claim, the Magpies received strong support from Port Adelaide, which last November lost its coaching director Alan Richardson to St Kilda.