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This StoryStream provides SBNation.com's comprehensive coverage of the 2011 NBA Lockout.
We are just baby steps away from the NBA lockout officially ending and a new collective bargaining agreement being approved by both sides. The NBA players have reformed as a union and have voted to approve the new CBA, according to a report by CBS Sports' Ken Berger.
NBA players on Thursday approved a new collective bargaining agreement in electronic voting, paving the way for owners to formally ratify the deal and open training camps and the free-agency period, two people familiar with the results told CBSSports.com.
The owners are also expected to finalize a new revenue-sharing plan shortly, according to Berger. The major parts of the new CBA had been approved a while ago, with only a few procedural and B-list items left to resolve this week. Evidently, they have been resolved.
NBA training camps will open on Friday, and the official date for the start of free agency is Friday as well, though teams have been making offers to players already.
The minimum age for players seeking to enter the NBA Draft will not rise as a result of the NBA lockout deal crafted by negotiators from the players' union and league over the last two weeks, reports CBS Sports' Ken Berger. The age minimum will remain at 19 years old and one year removed from high school, as it has been since 2006.
Berger also reports that teams can now assign their own players with three or fewer years in the NBA to their D-League affiliate; assignment had been to players in the first two seasons previously. In addition, veterans will have the opportunity to be assigned to the D-League for injury rehab, though it must be a mutual decision between the team and player.
The age minimum decision is good news for fans of bad teams, as the 2012 draft could be absolutely loaded if a few top freshmen and the best sophomores declare.
In a surprise move, the NBA announced on Tuesday that while free agency won't begin until December 9, teams can begin talks with agents about free agent players beginning on Wednesday. The league that no deals can be offered or accepted -- even verbally -- until December 9, but that communication can begin.
It's unorthodox by NBA standards. In a normal NBA offseason, teams cannot have conversations with agents of free agent players from other teams until the stroke of midnight on July 1, the traditional start of free agency. By the time that the sun rises on July 1, there are usually a couple of verbal deals wrapped up.
How strictly the NBA will monitor its "no verbal offer or deal" rule remains to be seen. In practice, it might really just end up as a gag order on team execs and agents who reach quiet deals that will surely leak out, as all deals do.
The NBA also announced that team facilities will be opened on Thursday for voluntary camps.
Billy Hunter sent a memo to players on Monday outlining the good points of the NBA lockout deal reached Saturday, reports SI.com's Sam Amick. (The memo was, in fact, longer than two paragraphs.) In the memo, which Amick made available online, Hunter outlines the path toward ratification of the deal, which includes finalization of the lawsuit settlement agreement, re-authorization for the union to represent players in collective bargaining and negotiation of the smaller CBA issues like the age minimum and drug testing. Hunter said that ratification could come next week.
With free agency and the start of training camps scheduled for December 9, time is of the essence.
Hunter notes that players' aggregate salary will grow by $100 million per season beginning next year, and says that projections have the luxury tax threshold rising to $90 million by 2016-17. (I'm sure the Milwaukee Bucks are thrilled to hear it.) Hunter also says that the league's revenue sharing plan will be memorialized in an agreement with players for the first time.
The NBA schedule will be released within days, and it's unlikely it will at all resemble the version that the league presented in August. Cutting 18 games from every team will tend to do that.
In the interim, the league has announced what form that schedule will take, confirming reports from the New York Times Sunday that indicated the NBA would shrink the interconference slate in favor of more games against in-conference opponents.
The NBA says that teams will play out-of-conference opponents at least once each, with three teams getting a second meeting. Of the other 12 out-of-conference opponents, six will be faced at home and six on the road. Given the NBA's strong home-court advantage, this could be a real impact in the standings.
The other 48 games will be played within the conference. There are six teams who will share four meetings with any given team, and the other eight with play three-game sets.
The NBA also says that the playoffs will begin on April 28, and that there could be one back-to-back per series in the second round.
The NBA amnesty clause agreed to in the lockout deal reached Saturday is even crazier than once believed. Sam Amick of SI.com published the memo officially outlining the deal for teams, and Cowbell Kingdom's James Ham noticed something in the amnesty rundown previously undisclosed.
A modified waiver process will be utilized for players waived pursuant to the Amnesty rule, under which teams with Room under the Cap can submit competing offers to assume some but not all of the player's remaining contract. If a player's contract is claimed in this manner, the remaining portion of the player's salary will continue to be paid by the team that waived him.
What that seems to mean: if the Portland Trail Blazers waived Brandon Roy, teams with cap space -- like the Sacramento Kings and Indiana Pacers -- could put in silent bids to take over a portion of Roy's contract, with the biggest bid getting his services. The entire contract would be wiped off Portland's cap sheet, and the Blazers would be responsible from the difference in Roy's contract and the winning bid in actual salary paid out. The bid amount (say it's 50 percent for the Pacers) would then be paid by the winning bidder, and that amount would also go on that team's cap sheet.
This is a pretty incredible wrinkle for everyone involved. These things could turn out like blind baseball trades.
In the lockout-shortened 2011-12 NBA season, teams will play most opponents from the opposite conference just once, according to a report by the New York Times' Howard Beck.
The five-month lockout forced the league to shrink its normal 82-game season to just 66 games. In a normal season, teams play opponents from the other conference twice each (home and away), intra-division opponents four times each (twice home and away) and intraconference opponents outside the division 3-4 times.
With the 66-game schedule, Beck reports team will face opponents from the other conference 18 times. With 15 opponents outside of a team's conference, that means any given team won't give as many as six NBA arenas this year.
The other 48 games will be played against division opponents, likely pulling four games from non-division opponents. Beck reports that the season will run until April 26, and that each team will play 1-3 back-to-back-to-back sets. (Fun!)
The decrease in interconference games is a drain on smaller market teams who often rely on the opponent to draw a few sellouts at home. The Sacramento Kings, for example, sell out the visit from the Boston Celtics every season. Every city seemed to sell out for the Miami Heat last season. Some teams will miss that payday this year.
A decision on whether to increase the NBA's age minimum could be put off, preserving the quality of the 2012 NBA Draft, reports Yahoo!'s Adrian Wojnarowski. The age minimum was among the so-called B-list items to be agreed upon as a part of an NBA lockout deal. The league is believed to prefer an age-20 minimum, increased from the current age-19 rule implemented in 2005.
Wojnarowski reports that the league could create a joint committee with members of the players' camp to study the issue in the coming year and make a decision that would affect the 2013 draft. That would mean that star freshmen like Anthony Davis, Andre Drummond and Austin Rivers would remain eligible to enter the draft in 2012, joining Harrison Barnes, Perry Jones, Jared Sullinger and John Henson at the top.
Since the age minimum was instituted in 2005, there has not been a discernible decrease in the rate of busts near the top of the draft.
The most punitive measures created by the NBA lockout to tamp down high team payrolls won't come into effect until 2013, according to CBS Sports' Ken Berger.
The scribe reports that the deal approved by players and league officials Saturday morning delays the onset of the more punitive luxury tax schedule, the repeater tax and the restriction on sign-and-trade deals for teams over the tax threshold until after the next two seasons. That means that teams like the Los Angeles Lakers, Dallas Mavericks and Boston Celtics won't face bills any larger than they've taken in the past in 2012 or 2013.
The one major change that will restrict those teams' ability to spend in the immediate is a restriction on the use of the full mid-level exception. Those teams will be forced to use a smaller mid-level exception tailored for luxury tax teams unless they drop to within $1 million of the threshold.
Berger's story has additional details on the deal, and is well worth a read.
Under the NBA lockout deal reached Saturday morning, players with six or fewer years of service in the league can sign contracts with a maximum first-year salary equal to 25 percent of the salary cap, or roughly $14.5 million for the 2011-12 season. But if that player has already made the All-Star or All-NBA team, he can sign a deal that pays him 30 percent in the first year of his second contract, which is also the max for players with more than six seasons of service.
This will affect young players signing their second contracts, usually following their third seasons. (This contracts go into effect after the players' fourth season.) In the immediate, it will come into play for Derrick Rose, Kevin Love and Russell Westbrook, each of whom have finished three seasons and have All-Star appearances on their resumes.
Under the old rules and assuming the salary cap, as reported, remains static at $58 million, those players should be able to sign extensions starting at $17.4 million. By contrast, Kevin Durant last year signed a deal that this year will pay him $14.5 million. Westbrook (a year behind Durant in service) making more than the two-time reigning scoring champ should go over well in Oklahoma City.
UPDATE: Westbrook might actually not be affected by this, as the deal apparently restricts the so-called bonus pool to players who have achieved two All-NBA bids, two All-Star starting nods or an MVP award. Of players up for rookie extensions this summer, only Rose would be affected.
Teams will now have three days to match offer sheets signed by their restricted free agents under the NBA lockout deal tentatively reached early Saturday, reports Yahoo!'s Adrian Wojnarowski.
In the old collective bargaining agreement, teams had one week to match offer sheets. In the meantime, the team with which the player signed an offer sheet had the cap space used in the offer locked up in a cap hold. This created a bit of a hostage situation where the players' original team could string out the process for seven days, disallowing the offering team from making other major moves in the interim.
With the shorter window, more frequent and lucrative offer sheets are expected as teams won't be afraid of losing precious time with cap holds. That will mean even more this season, as free agency will begin on December 9 with the season slated to begin on December 25.
In the last public NBA lockout deal proposal presented by the league, the minimum team salary rose from 75 percent of the salary cap to 85 percent for the 2011-12 season and 90 percent in 2012-13 and beyond. Reports suggest that has remained in place in the final deal reached Saturday morning.
The minimum team payroll in 2010-11 was $45 million; only one team, the Sacramento Kings, flirted with it. (It's widely held that a midseason trade for injured Marquis Daniels got the team over the minimum salary threshold, but the league uses total salary paid as the mechanism to determine whether a team violates the rule. The team was over the threshold before trading Carl Landry for Marcus Thornton in February -- before the Daniels deal -- and would have paid out just more than $45 million on the season before taking on Daniels.)
The Kings and other teams with low payrolls heading into the 2011-12 season, including the Indiana Pacers and L.A. Clippers, are expected to easily exceed the minimum. If they don't, teams are forced to split the deficit among players under contract. It's not known whether the new lockout deal added penalties to teams under the minimum payroll threshold.
As a result of Saturday's NBA lockout deal, the salary cap for the 2011-12 season will remain flat instead of decreasing substantially. That compromise was present in the NBA's last public proposal on November 10. In the new deal, the players' aggregate salary -- which determines the salary cap level -- will drop to 49-51 percent from 57 percent of the league's revenue. That would have dropped the salary cap 12 percent, to roughly $51 million. But the compromise keeps the $58 million cap for the 2011-12 season and possibly the 2012-13 season.
Salaries will, of course, be pro-rated to adjust for the shortened season. The NBA will play a 66-game season, dropping 20 percent of the regular season schedule. As such, actual salary paid out will be about 20 percent less than the cap figures would amount to.
Expect the pro-rated figures to be highly confusing once free agency begins on December 9 as reporters sort out just how rich new contracts are given the shortened season.
A NBA lockout deal has been reached, but team officials can't exactly reach out to their players just yet. ESPN's Ric Bucher reports that communication rules established by the league remain in effect for at least the next few days as a lawsuit settlement is finalized. Team personnel have been forbidden from contacting players since July 1, when the NBA instituted the lockout.
The league has allowed some exceptions, for instance allowing coaches and team employees to attend player weddings when cleared in advance. But team employees have been shut out of the exhibition games played all over the country, and front offices have been unable to keep tabs on players' workout plans and nutrition. (Shawn Kemp famously came back from the 1999 lockout overweight; that worry no doubt weighs on some executives.)
Bucher said the restrictions will be released in the next couple days, and free agency is expected to start December 9.
One of the biggest issues holding up an NBA lockout deal over the past few weeks was whether teams over the luxury tax threshold would be able to use the full mid-level exception to sign free agents and round out their rosters. Zach Lowe of SI.com reports that a compromise was reached, leading to the deal agreed to early Saturday morning.
Under the compromise, teams over the salary cap can use the full mid-level exception -- worth a starting salary of $5 million and a maximum term of four years -- so long as it does not take the team more than $4 million above the luxury tax threshold (which is roughly 20 percent higher than the salary cap). If the mid-level would take the team over the tax line,, the team will not be allowed to re-sign its own free agents using Bird rights.
That will force high-payroll teams knocking on the tax threshold's door to make tough decisions when in the past they could just sign everybody and sort it out later. The team this will most obviously effect immediate is the Dallas Mavericks, who have to sign Tyson Chandler and J.J. Barea, but in doing so will have to use the mini mid-level (starting salary of $3 million, maximum length of three years) instead of the full version.
Among the myriad "minor issues" still to be negotiated as a part of the NBA lockout, the players and owners must decide whether to alter the draft age minimum. In the 2005 deal, the league implemented a requirement that players must be one year removed from high school and 19 years old to be eligible for the draft. It was been widely reported that the NBA sought to boost those requirements to two years out of high school and 20 years old in a new collective bargaining agreement.
But the lockout negotiations have largely dealt with economic and player movement issues, with none of what David Stern has called the "B-list items" able to make or break a deal. If the owners do implement a higher age minimum, they would likely concede another issue to the players in a bit of horse-trading.
CBS' Jeff Goodman reports that a decision on the age minimum could come down on Saturday.
The higher age minimum would end the one-and-done phenomenon in college basketball, and could end up spurring more players to Europe or the D-League, where they can get paid (legally). D-League issues are also being discussed as the tentative deal to end the lockout becomes finalized; previous proposals gave teams the ability to send players to the D-League on a lower salary, but it's highly unlikely players will concede to something like that.
The NBA lockout is over, opening the league for business (soon). With free agency slated to begin on December 9 and the regular season on December 25, that means that trade movement will be compressed, the volume will be turned up and everything will sound like twee.
Except in New Orleans and Orlando, of course, where the two biggest subjects of trade rumors currently play.
Chris Sheridan has reported that the NBA dropped the so-called Carmelo Anthony Rule from its lockout deal push. The rule would have restricted teams from trading for players in the last year of their contracts before free agency and maintaining the players Larry Bird rights. Bird rights allow a team over the salary cap to sign their own free agents to new contracts or extensions.
If the Melo Rule had been implemented, it's less likely that trades for either Howard or Paul -- both scheduled to be free agents in 2012 -- would have been executed. The Magic and Hornets, respectively, would have had trouble finding deals that made the loss of legit MVP contenders agreeable without the ability of teams on the receiving end being assured they could fit the stars under the cap.
But with the death of the Melo Rule (rest in peace), those trades are back on the table. The New York Knicks are said to be heavily interested in both, but with Paul seeming more suitable. Howard's been a target of lust for Los Angeles Lakers' fans, who no doubt see the similarities in the poaching of Shaquille O'Neal in the mid-1990s. The difference between Paul and Howard is that not once has CP3 given an indication that he's ready to leave the Hornets. Howard has not masked his desire to get into a bigger market, much like 'Melo a year ago.
In normal offseasons, we'd bristle at the thought of paying much mind to rumors involved CP3 and Howard, in part out of respect to the fans of New Orleans and Orlando. The lockout has changed the calculus a bit; we are so starved of basketball that any tidbit to debate or consider is like catnip. For that, we apologize.
For more on the Magic, visit Orlando Pinstriped Post. For more on the Hornets, visit At The Hive.
In the deal that ended the 2011 NBA Lockout, it was the league who conceded on several sticking points to get a handshake, reports Chris Sheridan.
Sheridan, who is the editor of SheridanHoops.com and was a longtime scribe for the Associated Press and ESPN.com, reports that owners softened their positions on the maximum length of the mid-level exception (which will now be four years), the use of sign-and-trade deals by luxury tax teams and the ban on trade-and-extend deals for players approaching their final season on a contract (also known as the Carmelo Anthony rule).
We still don't know exactly what happened to the dispute over use of the full mid-level exception for teams over the luxury tax line, which seemed to be one of the bigger sticking points in the final negotiations. The way the escrow mechanism will work is also still unknown.
Wondering why there are no details yet from the deal that eventually ended the NBA lockout after 149 days? That'd be because the league and players are purposefully keeping them under wraps while lawyers from each side work out a settlement to the players' anti-trust lawsuit against owners. At that point, the National Basketball Players Association will be reformed and the collective bargaining agreement will be ratified.
Somewhere in there, the details will spring out. We already know that players agreed to a revenue split centered on 50 percent -- that means that players' aggregate salaries will be 50 percent of the league's basketball-related income. In the old deal, that figure was 57 percent. The actual mechanics of how the split will be determined remains unknown; a 49-51 band has been discussed in the past, which would allow players to earn a bigger aggregate figure if the league's revenue exceeds projections.
The last days of the lockout have been spent fighting over specific salary cap system issues. It remains unclear how those were resolved, though players' union VP Roger Mason told SI.com's Sam Amick that the "owners rectified" the players' specific issues. Those issues included use of the full mid-level exception for teams over the luxury tax threshold and the amount of salary to be withheld in escrow to assure that the aggregate players' salary level is not exceeded.
The NBA lockout is over, and no one is eager to do this again. The next labor stoppage could be determined by the length of the new collective bargaining agreement. As of now, that remains under wraps. We do, however, have some indications based on the previous set of negotiations as to where the endpoint will land.
The league had been pushing for a 10-year deal taking the league up to 2022. The belief is that with growing revenue and the expected windfall from a new national TV deal in 2016, the concessions won in this deal will allow the league to reach profitability soon and carry it through.
But the players are also looking lustily at that new TV deal, and suspect that if the league were currently getting full market value for its ad inventory, owners wouldn't have been able to claim losses in 2011. So the players want the opportunity to reset the revenue split in 2016, when a new TV deal comes in. The chances of the owners ever moving back toward players from the 50-50 revenue split that is apparently a part of this deal are remarkably small, in my opinion. But nevertheless, the players had pushed for an opt-out after six years, or in 2018. The league would be expected to want a mutual opt-out there, just in case the TV deal disappoints.
So the next NBA lockout could be as soon as 2018, 2022 or never. I'll bet on the first date.
With the NBA lockout over as the players and owners reached a tentative agreement early Saturday morning, the focus shifts to the actual season. The first step of that: free agency, with a crunched period expected to start December 9.
It'll take until then to wrap up the myriad legal issues and get ratification of the deal from both sides. At that point, with new league salary rules in place, the long-suffering free agents of 2011 can hit the market. The class is led by David West, Nene, Marc Gasol ands Tyson Chandler. Wings including Marcus Thornton, Thaddeus Young and Jamal Crawford will also be up for grabs.
Back in June, Mike Prada put together our 2011 Free Agent preview. It remains totally relevant, except that players who signed in China during the lockout -- including J.R. Smith, Wilson Chandler and Kenyon Martin -- will not be allowed to leave their teams until the season ends. Most expect Smith at the very least will find a way out of his deal and back onto the NBA market.
Also, don't forget that there will likely be an amnesty clause in this deal, one which allows teams to clear cap space by cutting players. Those players will become free agents; some, like Brandon Roy (if he's cut), will become very popular free agents and much lower price points.
Assuming everything goes according to plan from here, the end of the NBA lockout will mean that a 66-game season will begin on December 25, Christmas Day. The old 2011-12 schedule had three games scheduled for Christmas: Celtics vs. Knicks, Heat vs. Mavericks in an NBA Finals rematch and Bulls vs. Lakers. NBA commissioner David Stern indicated that the triple-header would survive in a new schedule, though no one would be surprised to see the league add another game or two to make it a full day (and night) affair.
How the rest of the 66-game slate will play out remains a mystery. One can assume the league prefers to have every team play every other team twice -- those bumps in Indianapolis from a Lakers' visit are worthy quite a bit. So a home-and-home with every team accounts for 58 games, leaving eight on the table.
That would allow for two additional games against division foes, or one more against division foes and one against teams from another division in the same conference.
The post has been corrected.
As far as folks who were actually involved in the final negotiations that ended the NBA lockout, Roger Mason had the best instant reaction. From his Twitter account:
I Love Christmas! How U?
The NBA lockout negotiations are continuing through the weekend, with Players Association president Derek Fisher back in the fold, and many are once again predicting that the end of the work stoppage is near. The players have decided, though, that they want to see more changes before agreeing to a deal that would allow them to play basketball on Christmas.
Along with Fisher, the players will bring attorney Jeffrey Kessler -- either by phone or in-person, according to Sports Illustrated's Zach Lowe -- and a handful of proposals that would allow them to feel more comfortable about accepting any sort of deal, according to ESPN's Chris Broussard.
Broussard tweeted on Thursday evening that the players want full four-year mid-level exceptions available to them each season, an increase in the "mini-midlevel contract" for teams above the salary cap, sign and trade deals available to all teams, higher qualifying offers for restricted free agents and the ability for maximum contracts to be worth 30 percent of the salary cap -- not 25 percent, and currently planned.
In addition to that, the players would also prefer a 10 percent cap on the escrow system and fewer penalties for teams that continue to operate in the luxury tax, an ask that basically further eliminates the idea of the "hard cap" that has been intermittently discussed.
It seems like the players are expecting quite a bit to change on Friday, according to Broussard's tweets, but the majority of these concessions have been sticking points through the last few negotiating sessions.
The NBA lockout is headed toward its latest doomsday weekend as the Christmas games are expected to be canceled if a settlement can't be reached between the players and owners before Monday morning. The players apparently believe that a deal is close, however, as they have made the risky move of bring Derek Fisher back into the fold at the negotiating table.
Fisher, the president of the Players Association, hadn't been involved in the talks earlier this week to preserve the sanctity of the antitrust lawsuit filed last week. The pending deal has brought him back, however, according to Yahoo! Sports' Adrian Wojnarowski.
His appearance in this week's negotiations - along with that of several other key Players Association officials - figures to run the risk of validating the league's charges that the disbanding of the union was a "sham" negotiating tactic. Nevertheless, the belief that the end of the five-month lockout is within reach this weekend inspired Fisher to make the risky move to join the talks.
One other familiar face will be involved on Friday, too, after sitting the last couple of sessions out. Sports Illustrated's Zach Lowe reports that union lawyer Jeffrey Kessler will be involved in talks, either via phone or in person, after previous sources said otherwise.
NBA lockout talks have restarted for what seems like the 2,000th time as the league tries to save its season in time to play games on Christmas. But the players' side of the negotiating table has some new faces, reports Howard Beck of the New York Times.
Because of legal issues, the L.A. Lakers' Derek Fisher is not participating. Because of personality issues, Jeffrey Kessler has been replaced at the table by Jim Quinn, a former union counsel who helped broker the deal that ended the 1999 lockout. David Stern and Billy Hunter are believed to still be leading the charge, but other lawyers including Jonathan Schiller and David Boies have entered on the players' side.
Beck reported Wednesday that if a deal can be reached this weekend, a 66-game season would start December 25. That would result in the playoffs and NBA Finals being pushed back about a week; the Finals would then end in the third week of June at the latest, with the NBA Draft a week later, free agency beginning a week after that, and 2012 Olympics' preparations beginning almost immediately for a number of the league's players and coaches.
If an NBA lockout deal can be reached this week to preserve the league's traditional Christmas slate, the 2011-12 will include 66 games per team, reports the New York Times' Howard Beck.
NBA commissioner David Stern pitched a 72-game season starting on December 15 if players would accept the owners' proposal a week ago. Instead, players held out over salary cap system issues, dissolved their union and filed anti-trust litigation.
But secret talks were rekindled on Tuesday, according to reports, with the hopes that a deal could save pro basketball in 2011 and also leave the league's ratings bonanza that is Christmas Day in tact. Having a five-game slate on Christmas that doubles as opening day for the league could inject some momentum into the season after the PR disaster that has been the lockout.
This is all still predicated on the two sides being reasonable and making a pact, items that have thus far eluded those involved.
David Stern is quietly surveying a number of owners to see whether there's an appetite to concede limitations on the use of the full mid-level exception by luxury tax teams in a potential NBA lockout deal, reports ESPN's Marc Stein. The league's proposal to make a smaller mid-level exception available to taxpayers is one of the sticking points holding up a new collective bargaining agreement with players.
Multiple outlets, led by Yahoo! Sports and the New York Times, reported on Wednesday that the two sides are again talking about a potential deal. Reaching a handshake agreement by Friday would seem to allow enough time to handle the formalities, a free agency period and an abbreviated training camp before games slated for Christmas Day, December 25.
The NBA's multi-game slate on Christmas typically draws some of the highest ratings of the regular season for the league's network partners TNT, ABC and ESPN.
The latest publicly known NBA proposal included a mini mid-level for teams over the tax threshold starting at $3 million per season with a maximum term of three years. The sides have negotiated the full mid-level, available to all teams over the cap but under the tax line, to a starting salary of $5 million and alternating maximum terms of 3-4 years. (You could not give full four-year mid-level exception contracts in consecutive years, in other words.)
NBA lockout talks have indeed quietly restarted, confirms the New York Times' Howard Beck. The scribe reports that lawyers from the two sides began negotiations on a settlement to an anti-trust lawsuit on Tuesday; that suit was filed a week ago and updated this week as players consolidated two separate filings in the Eighth Circuit of the U.S. Court of Appeals.
Beck reports that the lawsuit must be settled before the players' union can reform to approve any deal to end the lockout. Time is of the essence given that additional hurdle and the ticking clock toward a dropdead date to get a deal in time to preserve the league's precious Christmas schedule.
Yahoo!'s Adrian Wojnarowski was the first to report on the rekindled talks. He also reported that Derek Fisher, who led the National Basketball Players Association before it disclaimed interest in representing players last week, is not involved in the talks.
NBA lockout talks picked back up on Tuesday after an idle 10 days, reports Yahoo!'s Adrian Wojnarowski. Representatives from the players' side and league got together outside the view of the media on Tuesday and were expected to meet again Wednesday with hopes of reaching a deal before NBA commissioner David Stern was forced to kill the traditional Christmas Day slate of games.
Stern has said the league needs 30 days from handshake to tip-off, making Friday the apparent deadline to get a deal and preserve the Christmas schedule. The league has already cancelled games through December 15; there is little chance (if any) that there will be even 70 games per team on the schedule if a deal is reached this week.
On November 14, the players' union's leadership rejected the league's latest offer and, instead of seeking further negotiations before escalating the fight, disclaimed interest in representing players, clearing the way for anti-trust litigation against the league.
Jim Quinn, a former general counsel for the National Basketball Players Association who helped craft the deal to end the 1999 NBA lockout, has talked to both commissioner David Stern and players' lead Billy Hunter in recent days, reports CBS Sports' Ken Berger. Quinn is seen as a dealmaker whose deep relationships with just about everyone involved could help grease the wheels for an agreement.
But Quinn isn't helping yet; negotiations remain idle, which they have been since players rejected the NBA's latest offer a week ago, disbanded its union and filed anti-trust litigation. Neither side has seemed willing to call the other party to restart negotiations with an eye on saving the Christmas Day slate of games, which will be impossible without a deal by the end of Thanksgiving weekend.
Quinn's relationship with Stern goes as far back as Oscar Robertson's anti-trust suit against the NBA, settled in 1976. Quinn worked for the union during Hunter's first few years as its director.
Players have consolidated their two NBA lockout lawsuits in the Eighth Circuit of the U.S. Court of Appeals, the trade association's lawyer David Boies announced on Monday. The move involved withdrawing the players' Ninth Circuit anti-trust and filing an amended lawsuit in the Eighth. The Ninth Circuit (California) had been seen as potentially more useful for players, but Boies cited a slimmer docket in Minnesota, where the Eighth Circuit suit will be heard, as a rationale.
The league has until December 5 to respond to the players' claims. It is pretty clear in what form that response will take; in August, the league sued players and the players' association in an attempt to prevent dissolution of the union, arguing that it was a "sham." There has been little movement on that case, which is being heard in the Second Circuit.
Just after Boies' announcement, the NBA released a short statement from general counsel Rick Buchanan alleging that the players had been illegitimately shopping for a favorable district court judge. After the statement was released, Boies told reporters that the terse response was an indication of why he won't be picking up the phone and calling the owners to negotiate.
In an open letter published by the New York Times, longtime director of the NBA Coaches Association Michael H. Goldberg pleas for the owners and players to re-open NBA lockout negotiations.
"The upcoming NBA season must be saved," Goldberg wrote. "To do otherwise will cause a self-inflicted economic blow to an enterprise that over the years through the hard work of players, team owners and the League Office has become a great global brand, but, like every business operating in today's fragile economic landscape, one that is more susceptible to 'decline and fall.'"
Goldberg has led the association for 35 years, and was previously in a leadership role with the ABA. NBA coaches are not unionized, and there are really no leaguewide restrictions on coaches' pay or contract terms. As such, coaches don't face the same sort of labor battles as players and unionized referees.
Players' lawyers have indicated a desire to restart negotiations with the owners after the union was dissolved last week. Reports suggest owners are in no hurry to engage players after the blow-up.
Officials with the league and players' camp are eager to resume NBA lockout negotiations in hopes of saving the Christmas slate of games, reports CBS Sports' Ken Berger. There are financial incentives to start the season no later than the NBA's big holiday, and Berger reports that the NBA believes it to be not viable to start the season after Christmas, as it did in 1999.
On paper, the two sides are not far apart. The players have gone as far as a 50-50 revenue split, but only with the condition that the NBA concedes on a few key salary cap system issues. The league wouldn't do so in the last set of talks, instead presenting the union with a take-it-or-leave-it offer and a deadline. In response, the union dissolved and players served two separate anti-trust lawsuits.
NBA commissioner David Stern has said that the league needs 30 days from handshake to tip-off, which means that to save the Christmas games, we need a deal by two days after Thanksgiving, or in the next week.
The owners' NBA lockout conference call on Thursday wasn't a robust strategy session after all, reports ESPN's Chris Broussard. The scribe reports that the call lasted roughly 20 minutes and served only to update the owners on the current state of the 140-day-old labor stoppage that has cost hundreds of games and hundreds of millions of dollars to players and teams alike.
There are no bargaining sessions scheduled after players rejected the league's latest offer, which included a 50-50 split of revenue (to which the players had acceded) but salary cap restraints that players felt were too restrictive and would damage player movement. As a result of the breakdown in negotiations, the players' union's leadership opted to dissolve, opening the gates for two anti-trust lawsuits against the league. No action on those lawsuits is expected for months, making the negotiating table the only realistic path back to the hardwood this season.
The Iron Sheik weighed in on the NBA lockout and ... well, he kinda made some sense. While it's unclear whether Mr. Sheik was targeting the owners, players or both, he did take to Twitter to ask that the NBA stop being greedy and please think of the fans.
Yep, this is where we're at with the lockout.
The Sheik has spoken. Time to end this lockout before he threatens to use the Camel Clutch on David Stern.
Once the three active NBA lockout lawsuits are consolidated, in which of three U.S. circuit courts the case ends up in could have a significant impact on whether the league or players receives favorable decisions, according to Marc Edelman of Sports Law Blog.
The NBA filed its preemptive strike seeking to block the players' union's disclaimer of interest in the Second Circuit back in August. The players filed two separate suits earlier this week, one in the Eighth Circuit and one in the Ninth Circuit. According to Edelman, the Eighth and Ninth Circuit courts have consistently held to a strict definition when determining whether a company should be considered to be exempt from anti-trust law. The Second Circuit, on the other hand, has been looser in handing out the designation.
On the matter of determining whether overseas options dilute the NBA's market power -- a result in the affirmative of which would hurt the players' case -- Edelman reports that the Ninth Circuit would seem to favor the league, based on a previous soccer case.
It could be months before a venue is chosen for the consolidated lawsuit.
Say, Comcast Sports New England, which broadcasts Boston Celtics' games, has the inside scoop (note: not an inside scoop) on just how much money players are losing during the NBA lockout.
Kevin Garnett is out $887,499 by missing that one bi-monthly check on Tuesday. Dwight Howard missed $745,224. Amare Stoudemire? Yeah, he's out $759,070. And Gilbert Arenas -- you may want to divert your eyes -- lost out on $802,887 when his check didn't come in the mail.
But I feel as if CSNNE is missing another important point here ...
Now that NBA players have filed multiple antitrust lawsuits against the NBA, commissioner David Stern has asked the owners to participate in a conference call on Thursday to discuss their next steps in the lockout, according to Yahoo! Sports.
The call had been scheduled earlier in the week by the NBA’s labor relations committee.
David Stern has said that he is in a rush to initiate contact with the players’ attorneys following the lawsuits.
The NBA players filed an antitrust complaint against the NBA in Minnesota as well as one in Northern California Tuesday evening. According to players' attorney David Boies, the suits were filed as a result of the owners "overplaying their hand" in negotiations that ended with a 50-50 split on basketball-related revenues. The players had rejected that offer.
You can download a copy of the PDF of the California filing here and you can download a PDF of the antitrust suit filed in Minnesota here.
On the heels of filing an antitrust lawsuit against the National Basketball Association in the state of Minnesota, NBA players have filed a second antitrust lawsuit against the league, this time in northern California.
Newly hired player's attorney David Boies, who represented the National Football League during that sport's lockout, lays the blame at the feet of Commissioner David Stern of the owners, who declined to accept the players' willingness to take a lower percentage of revenue in their latest proposal.
"By overplaying their hand, by pushing the players beyond any line of reasonableness, I think they caused this," Boies told the Associated Press. "You don’t give up hundreds of millions of dollars unless you want to make a deal and that’s what the players were doing
"I think it was mistake to push it as far as they (the owners) did."
Carmelo Anthony, Chauncey Billups, Kevin Durant, Leon Powe and Kawhi Leonard are named plaintiffs in the California suit. Leonard was selected by the Indiana Pacers with the 15th overall pick of the 2011 NBA Draft.
You can download a copy of the PDF of the California filing here.
The NBA players have filed an antitrust complaint against the NBA in Minnesota and have plans to file another complaint in Northern California Tuesday evening.
The first antitrust suit was filed in Minneapolis, a place where NFL players had some measure of success in similar court proceedings this summer during their lockout.
Minnesota Timberwolves forward Anthony Tolliver, Detroit Pistons guard Ben Gordon, free agent forward Caron Butler and Minnesota draft pick Derrick Williams are listed as plaintiffs in the Minnesota case.
Plaintiffs in the Northern California case are expected to include Carmelo Anthony, Chauncey Billups, Kevin Durant, Kawhi Leonard and Leon Powe.
According to attorney David Boies, the players will not seek a preliminary injunction to lift the lockout but instead will use the complaints as an attempt to restore competitive free-market conditions.
The plaintiffs argue that the lockout "constitutes an illegal group boycott, price-fixing agreement, and/or restraint of trade in violation of the Sherman Act" and that the owners' final offer for a new CBA would have "wiped out the competitive market for most NBA players."
Says Boies, "We hope it's not necessary to go to trial."
Update: You can download a PDF of the antitrust suit filed in Minnesota here.
The NBA Players Association's decision to reject the league's most recent proposal to end the NBA lockout has sent the league, owners and players into a "nuclear winter." The deal that was left on the table by the players offered a 50-50 split in basketball related revenue.
Now, 10 NBA team owners have sent a letter to commissioner David Stern encouraging him to offer much less the next time an offer is extended.
Owners for Indiana, Atlanta, Charlotte, Denver, Memphis, Milwaukee, Minnesota, Philadelphia, Portland and Sacramento said in the letter that they feel that a 50-50 revenue split represents a bad deal for the owners.
Each percentage point is said to be worth approximately $40 million annually. In the agreement that expired following the 2010-11 season, the players received 57 percent of basketball related revenue.
The revelation of this letter shows that this is more than just a two-sided fight. Each side has its own factions that demand to be appeased. Just in case you didn't already think things looked bleak.
The NBA Players Association has already announced its intentions to file for a disclaimer of interest and challenge the NBA lockout in court, but that may not be the only lawsuit the group files. Ken Berger of CBS Sports reports that those involved in the process are still pushing for the players to formally decertify as a union.
The two measures are similar, but there are some key differences that were spelled out here. According to Berger, those involved in the decertification process believe it will send a stronger statement that the move is not simply a negotiating tactic.
The agents believe that a statement from far more than the 30 percent of players required to initiate a vote ousting the union leadership will help the union's argument in federal court that the disclaimer of interest was a last resort and not a negotiating tactic or a "sham."
In addition, Berger reports that the players may file separate lawsuits for veterans under contract and for rookies and free agents. This is a similar path to what the NFL Players Association took when it filed for decertification.
Finally, Berger reports that if the players are to win a summary judgment, they could achieve over $2.4 billion in damages. That seems unlikely, but it still has to scare the owners a bit.
In what is mostly a formality at this point, the NBA has informed teams that all games up until December 15 have been cancelled, according to Yahoo! Sports' Adrian Wojnarowski. Team executives got the memo earlier Tuesday.
That would technically mean the NBA lockout has yet to claim any games from the owners' proposed 72-game schedule, which was rejected when the NBA Players Association elected to disclaim interest to challenge the lockout in court. However, it only seems like a matter of time until those games go as well.
David Stern has previously suggested that cancellations will be dictated by the calendar and that the league will need 30 days to launch a season once a deal is reached. With this being November 15, and with the two sides seemingly further apart from an agreement than ever, we can probably expect even more cancellations to be announced in the coming days and weeks.
NBA commissioner David Stern has issued a statement on the NBA Players' Association's decision to file for a "disclaimer of interest" in order to challenge the legality of the NBA lockout in court. Stern expressed disappointment that the NBPA did not accept the league's last proposal and warned that the entire season could be in peril.
"The NBA has negotiated in good faith throughout the collective bargaining process, but -- because our revised bargaining proposal was not to its liking -- the union has decided to make good on [union counsel] Mr. [Jeffrey] Kessler's threat.
"There will ultimately be a new collective bargaining agreement, but the 2011-12 season is now in jeopardy."
The remarks are far less pointed than the ones he made on SportsCenter earlier Monday, but they have a similar effect. Either way, the lockout is in the hands of the courts, and very few people can reasonably guess how long that process will take.
Monday afternoon, the NBA players association announced they have filed a "disclaimer of interest" that will allow them to dissolve the players union and file class-action anti-trust litigation against the NBA. And after a few predictable months of lockout negotiations, Monday's news is the wild card that we've feared all along. So what does it mean?
Well, for one thing, the 12-hour meetings between Bill Hunter's NBA Players Association and David Stern's NBA owners are now a thing of the past. You will see less of Billy Hunter in the coming weeks, and more of the players' star litigators--Jeffery Kessler, and David Boies.
The reason so many observers have called this "the nuclear option" for NBA players is that it grinds any CBA progress to a screeching halt. There is no more gap to bridge; after inching closer and closer over the past few months, "disclaiming interest" and decertifying the players' union means that the players have retreated from the bargaining table completely. Now they'll regroup and attack the NBA with litigation that will take months for courts to process.
In other words, today's news means that hope for a season in 2011-2012 is suddenly far-fetched. Instead, the negotiations will move from hotel conference rooms to court rooms.
Is there a difference between decertification and disclaiming interest? Yes. As Sports Illustrated's Michael McCann explained last week: Decertification is not an immediate event, nor is it instantly reversible. Instead, it normally requires recognition by the National Labor Relations Board, a federal agency that regulates union-management activities. In the alternative, players could seek a disclaimer of interest, which is a similar but swifter and more retractable step and refers to the players' association disclaiming interest in representing players." In other words, the latter option allows players to sue instantly, but is less permanent, and more likely to be looked upon as a bargaining tactic.
Do the players have a case? Possibly. In court, the players could challenge the league's suspicious financial statements, the NBA's fixed salary system, and generally, a compelling anti-trust suit would force NBA owners to risk losing billions in damages--if found liable, they would have to pay any player salaries owed during the lockout--if they allow it to go to trial. The hope for the players is that owners would be compelled to compromise on a fair deal as opposed to risking billions.
What will the owners argue? The owners will contend that there are numerous professional basketball leagues to choose from abroad, undercutting the players' claims of the NBA's monopoly. Likewise, the league has already filed preemptive complaints with the National Labor Relations Board, complaining that disclaiming interest is merely a bargaining tactic meant to stall negotiations. And as recently as this weekend, David Stern threatened to nullify all existing player contracts if the players try to sue the league.
How long would it take to decide? On its own, an anti-trust suit could take more than a year to decide. Coupled with the complaints filed with the National Labor Relations Board, it could take even longer. If the suit gets to court, there's a chance it could threaten next season, too.
The only silver-lining is that as the process plays out, neither side is forbidden from negotiating the framework of a collective bargaining agreement, and depending on how the process plays out, it could compel one or both sides back to the bargaining table to settle their differences. But as far as that process... How it plays out depends on judge assignments, court rulings, and any number of other factors that are impossible to predict on Monday afternoon.
After months of predictable back-and-forth, the owners have stubbornly refused to compromise, and the players have opted to take their chances with chaos rather than caving to the NBA's demands.
When NBA Players Association president Derek Fisher announced the NBPA's intention to file a disclaimer of interest and reject the league's offer, he told reporters that the players will not comment publicly on the state of the NBA lockout anymore. This sounds like something that will be hard to police. For example, just look at all the NBA players who took to Twitter to express their thoughts at the latest developments.
NBA commissioner David Stern went on SportsCenter to respond to the NBA Players Association's decision to reject the league's most recent proposal to end the NBA lockout. Using strong language, Stern said the days of "the nuclear winter of the NBA" were upon us and suggested the NBPA was given bad advice in deciding to file a disclaimer of interest to challenge the league in court.
"Frankly, by this irresponsible action at this late date, [NBPA Executive Director] Billy Hunter has decided to put the season in jeopardy and deprive his union members of an enormous payday," Stern said.
Stern's rhetoric was strong as he said the union simply is using this as a negotiating tactic. He referred to the possibility of the entire season slipping away as a "tragedy" and said Hunter and the players are "hellbent on self-destruction" and making an "irresponsible" decision.
"If i were a player, one of the 450, i would be wondering what it is Billy Hunter just did," he said.
Stern said the league felt the NBPA was preparing to do this for a while, which is why they filed a complaint with the National Labor Relations Board. In an especially ominous quote, Stern said this means there will be "years of litigation." Finally, at the end of the interview, he apologized to fans before pointing the finger back at the NBPA.
"I'm sorry," Stern said. "I wish the union hadn't done this, but it's their choice. Their timing is not very good and their rhetoric is very humorous in terms of the magic trick that will improve their negotiating position."
The NBA Players Association has announced its intention to file a disclaimer of interest, essentially announcing it will decertify and file an anti-trust lawsuit against the league instead of accepting the league's proposed deal and continuing the NBA lockout. The news comes after all 30 player team representatives and a number of other players met on Monday to address the NBA's most recent proposal, which is outlined here.
"We're prepared to file this anti-trust action against the NBA. We think that's the best situation for the players to achieve and get their due process," NBPA head Billy Hunter said, via NBATV.
Hunter said the players have "negotiated in good faith for over two years" and felt "they've given enough." He added that the disclaimer of interest will be filed in the next two days. The move allows the players to file the anti-trust lawsuit questioning the legality of the lockout.
NBPA president Derek Fisher said the decision was unanimous.
"A lot of individual players have a lot of things at stake in their careers and where they stand, so we feel its important to all our players ... that we not only try to get a deal done for today, but also for the body of players who will come into this league for this decade and beyond," Fisher said.
The league had previously imposed a deadline for when its offer would become more punitive. It remains to be seen what happens with that offer.
NBA commissioner David Stern sent a memo directly to NBA players on Sunday night, urging them to accept the owners' most recent proposal and have the 2011-12 season begin. The memo attempted to clear up what Stern believes are misconceptions about the league's latest offer.
Here is the most important paragraph from the memo, which you can find here:
I encourage you also to focus on the numerous compromises that were made to the NBA's initial bargaining positions in these negotiations, including our move away from a "hard" salary cap, the withdrawal of our proposal to "roll back" salaries in existing player contracts, our agreement to continue to allow players to negotiate fully guaranteed contracts, and our agreement to a 50/50 split of BRI. While we understand fully that our proposal does not contain everything that the Players Association wanted in this negotiation, the same is true for the NBA.
The NBA player representatives are meeting on Monday to discuss whether to accept the NBA's offer, which was obtained in full by USA Today. Stern's memo was part of a larger campaign by the league to speak directly to its players. The campaign included a Twitter Q&A and a power-point presentation with key talking points of the offer.
As the NBA lockout reaches a tipping point this week, David Stern and the NBA have been on a public relations push to convince fans it's the players and the agents driving this lockout, not the owners. But one agent doesn't see it that way.
Among various stops with media outlets this weekend, one was with the Associated Press, where Stern lashed out at agents for trying to hijack the negotiating process and promote their own agenda. As he said, "By some combination of mendacity and greed, the agents who are looking out for themselves rather than their clients are trying to scuttle the deal."
Indeed, the long-held NBA conspiracy theory is that the player agents have been fighting a successfully negotiated CBA deal all along, waiting for negotiations to fall apart so that they can go with plan B--decertifying the union and challenging the NBA in court. The latter option has a much higher upside than any CBA the players might negotiate, but would almost certainly cost the entire NBA season, and possibly some of next year. Plus, the players could lose in court.
All of which is to say if what Stern's saying is true, there would be plenty of room for resentment. Of course, there are two sides to any story, and while Stern's very good at articulating the negative perceptions about his opponents in these negotiations, it's his own lack of "good faith" that has dominated these negotiations in the eyes of the agents Stern's attacking.
As NBA agent Mark Bartlestein tells Ken Berger at CBS Sports:
"If the players are going to make the concessions to address over $300 million a year in a shift in revenue from the players to the owners, the one thing the players should get back is flexibility, freedom, freedom of choice and a more vibrant and free-market system, because it's a zero-sum game. Instead, they're ratcheting down the system in the name of competitive balance, and that's completely disingenuous.
"A negotiation is supposed to be about making trades. The biggest part of any negotiation is the dollars. That's the biggest part of this negotiation. The players are giving the owners the dollars. If the owners are concerned about competitive balance, it can absolutely be handled through revenue sharing."
The NBA has said over and over again, as of now, there's still time to save a significant chunk of the 2011-2012 NBA season. But while Stern peddles conspiracy theories instead of concessions, you have to wonder: Are the agents conspiring simply because they can, or because Stern's cabal of hardline owners have left the players with no other choice?
Say what you will about the NBA and its owners' positions during the NBA lockout, but it has unequivocally won the public relations battle between itself and the NBA Players Association. David Stern's side misfired a bit on that front Sunday evening, however, during a question and answer session it held on Twitter.
To be fair, the opportunity for fans to tweet at a Twitter account purportedly being run by Stern and deputy commissioner Adam Silver sounded excellent in theory, but the answers they gave only reminded the public that there are some ridiculous people holding the 2011-12 NBA season hostage.
The NBA lockout is facing a big week, starting Monday when a collection of NBA players meet in New York to ultimately decide whether they should vote on the latest proposal or vote to decertify the union and all but end any hope for a 2011-12 NBA season. The deal they will be looking at is now available for public consumption, too, as USA Today obtained a copy on Sunday evening.
The agreement came with a cover letter, signed by NBA deputy commissioner Adam Silver, that said "We stand ready to engage with you on all of the remaining bargaining issues at your earliest convenience."
There wasn't anything terribly exciting in the leaked deal as most of it had already been divulged by numerous sources reporting on the lockout, but it did eliminate a few rumors -- such as the already debunked D-League clause -- that had everyone up in arms over the weekend.
Among the major topics in the leaked deal were the split of Basketball Related Income (either a straight 50-50 split or a 51-49 "band" agreement), numerous salary cap exceptions and details, a decrease in minimum and rookie salaries by approximately 12 percent and the much-talked about amnesty clause. The NBA attempted to answer questions about the proposal Sunday evening on Twitter as well, but that didn't go as well as planned.
The players are expected to reply to the proposal, in some form or fashion, early in the week. The NBA has earmarked December 15 as a possible new start to what would end up being a 72-game season if the deal is ratified in time.
When 30 player representatives gather with top union officials on Monday, they will be asked to vote on an amended version of the league's NBA lockout deal, reports Sam Amick of SI.com. The league presented the union with its newest proposal on Thursday; if the union does not accept it on Monday, the NBA said it will pull that proposal off of the table and replace it with a harsher version that includes a hard salary cap.
By presenting an amended version of the NBA's proposal, the union could very well be negotiating internally to come up with a deal it can present to the owners as acceptable. If the team reps do approve such a deal, that would put the burden on saving the season back on David Stern, who would have to convince his owners to take the deal.
If a handshake deal is reached this week, Stern has said a 72-game schedule will begin on December 15.
The NBA lockout negotiations ended late this week with yet another proposal on the table for the players to consider. If the players don't accept, it could put in motion a messy decertification process that could potentially wipe out the entire season.
There are quite a few rumors regarding what exactly is included in the latest offer, leading to a public outburst from players and media about how terrible it would be for the players. But not all of the rumors are true.
ESPN's Ric Bucher reported that a "D-League clause" was included in the latest proposal that would have dropped salaries down to $75,000 for any player assigned to the NBA D-League. The league denied that report, however, and SB Nation has confirmed through several sources that Bucher's reported clause is not in the most recent proposal despite being briefly brought up during talks.
The current plan, at least at this point, is for the owners and players to figure out all of the major issues before moving back to discuss less important issues. The relationship between the NBA and its official minor league are currently lumped together with the secondary issues.
One option that has at least been discussed, sources tell SB Nation, would be to allow NBA teams to sign two "development" players at $100,000 salaries -- nearly four times higher than the current D-League maximum -- to allow for a sort of NFL practice squad-type relationship between the NBA and D-League team. It remains to be seen if those two players would count against the 15-man roster.
Ultimately, the D-League portion of the CBA is not going to make or break the deal -- both sides know that. If the players and owners are able to agree on the major issues, the D-League will be discussed and changes will more than likely be implemented, but not to the extent that it would cause the players to make it a sticking point.
The NBA lockout is headed toward what looks to be either a compromise in the next couple of days or a worst-case scenario, at least as far as this season is concerned, as the players continue to mull decertification. Decertification would likely end any hope of a 2011-12 season as the players and owners enter the court room, but it also could have other serious consequences.
The biggest consequence of decertifying the union, if NBA Commissioner isn't bluffing, would be all current NBA contracts then be voided. Stern, who brought this up very early in the talks, mentioned this again in his latest press conference.
"If the union is not in existence, then neither are 4 billion dollars worth of guaranteed contracts that are entered into under condition that there's a union, Stern said. "So if the agents insist on playing with fire, my guess is that they would get themselves burned."
If decertification does happen -- and it could as soon as Monday -- things are bound to get ugly. Unfortunately it might also be the only way for the players to get a fairer deal.
Players could deliver a petition for a vote to decertify the National Basketball Players Assocation as soon as Monday with the signatures of half the league, reports CBS Sports' Ken Berger. The union needs signatures from a third of its membership to order a vote, which would then be decided on a majority ballot. Delivering a petition with half of the union's Hancock could send chills through the NBA and signify the end of the 2011-12 season.
David Stern and the owners have delivered an offer few players seem to like. Stern said Thursday night that if the union doesn't accept the offer on Monday or Tuesday after meeting with team representatives, the league will revert to an offer with a 47-percent revenue split for players and what is essentially a hard cap.
Berger also reports that a number of moderate agents who were not supporting decertification in the past have joined the movement, owing the league's lack of flexibility in negotiations.
New York Knicks owner James Dolan did not attend the nearly 24 hours of NBA lockout negotiations that occurred in his city this week. The New York Post's Marc Berman reports that Dolan stayed away because the lack of a deal is driving him mad.
Knicks owner James Dolan blew off the two-day desperation labor session between the NBA and players' union in Manhattan with one source saying he has been sickened by the failure of his fellow owners to make a deal.
Berman also reports that the Knicks began to prepare for the season to start this week, with coaches and staff setting up the practice facility for training camp that may not come for months or a year.
Player representatives from each NBA team will meet early next week to decide whether to take or leave the NBA's latest proposal. If the union does agree on the deal, the season would begin December 15.
Based on early reports, the league's concessions on sticking points on constraints to the transactions teams over the luxury tax threshold can make were not exactly major in the new NBA lockout deal.
CBS Sports' Ken Berger reports that the owners have increased the size of the mini mid-level from two years at a starting salary of $2.5 million to three years at a starting salary of $3 million. The old mid-level exception could stretch up to five years starting at $5.7 million; the new mid-level available to teams under the tax threshold would be up to four years starting at $5 million. So the difference between the total value of a mid-level exception to a non-tax team ($22 million) vs. a tax team ($9 million) remains large.
The players' union isn't a huge fan of that concession, Berger reports. There also remains the question of how a team is deemed a tax team or not. If a team is under the threshold but using the full MLE would put them over, should they be restricted to using the mini MLE? Or if a team is as little as $1 under the threshold, should it be able to use the full MLE?
Berger also reports that the league has loosened its ban on sign-and-trade deals for tax teams, though it's unclear just how much those pursestrings have been loosened.
During Thursday's press conference discussing the current state of the NBA lockout, commissioner David Stern said that if the players' union accepts the league's current offer after meeting with player representatives early next week, a 72-game regular season could begin on December 15. With that, the playoff and Finals would each be pushed back one week, giving the regular season a bit more space to breathe.
But such a schedule would still be more jam-packed than the suffocating 1998-99 50-game season.
A normal 82-game season starts around the beginning of November and ends in mid-April, encompassing 5-1/2 months. That gives us just about 15 games per month per team. The lockout-shortened '98-99 season crammed 50 regular season games into almost exactly three months, for 16.7 games per month per team.
A 72-game schedule starting December 15 and ending after the third week in April would give us 72 games in 4.25 months, or 17 games per month per team.
If the players take the deal, expect plenty of back-to-backs, a few back-to-back-to-backs and little time for television that is not basketball.
The decertification movement pushed by a number of players and agents is prepared to move forward next week it the union rejects the league's latest NBA lockout offer, reports Yahoo!'s Adrian Wojnarowski. The decertification camp needs roughly 130 signatures to file to the National Labor Relations Board to force a vote of the union within 45 days. If a majority approved decertification, the union would no longer represent the players at the bargaining table, and players would be able to file anti-trust litigation against the owners.
Several agents told Y! Sports they have more than 200 player signatures on a decertification petition to force a vote to dissolve the union. The paperwork could be filed before Monday, even though it doesn't preclude the players from accepting the league's offer.
Reports have also suggested that Billy Hunter, the union's director and someone who didn't seem satisfied with the league's offer in a Thursday press conference, could opt to file a disclaimer of interest, which would open the door for anti-trust litigation without a union vote.
The Boston Celtics' Paul Pierce has led the decertification option push behind the scenes, organizing a set of calls on the subject last week. The Celtics were also oddly the only team without representation at this week's player representatives gathering in New York, despite the fact that Pierce, Kevin Garnett and Rajon Rondo have attended other union meetings.
David Stern said Thursday that if the players' union does not accept the league's NBA lockout proposal after a meeting with team representatives early next week, the owners will follow up on the commissioner's threat to drop their offer to 47 percent of revenue for players and a hard salary cap.
If the union does take the deal by Monday or Tuesday, a 72-game season would begin December 15.
Stern wouldn't quite say that this proposal was the league's last, best offer, but that was a heavy indication through his address to the media following Thursday's talks. He said he is strongly confident that the owners will approve the deal if the union does, but wouldn't characterize his sense of the players' current feeling about it. He also wouldn't give any details on the offer itself, though it's not expected to be much different from the one outlined in a letter to union director Billy Hunter last week.
The players' union will take the league's latest NBA lockout offer back to its player representatives early next week before talks with owners resume, union director Billy Hunter said late Thursday. That means there's no deal over the weekend, and whether there will be one even next week remains in question. Union president Derek Fisher said that the executive board wasn't able to accept the deal on Thursday night despite several concessions from the league.
Hunter also revealed that there remain 30 or more "B issues" like the age minimum and player discipline that must be resolved, though no one has considered those make-or-break conflicts. It remains to be seen exactly what "A issues" remain on the table.
Hunter nor Fisher seemed terribly confident or pessimistic that player reps would authorize acceptance of the NBA's deal or push for additional negotiation. It also remains to be seen what David Stern will say about the half-life of the league's offer.
The NBA lockout talks are still ongoing, despite reports on Thursday afternoon indicating a deal had been made, or was about to be made. But instead of emerging to announce an end to the lockout, those involved in the talk slipped away for the break before getting back to the negotiating table in New York on Thursday evening. And while progress has been made, according to reports, hurdles in the form of system issues still remain.
CBS Sports' Ken Berger reports progress was made on the mid-level exception. But issues remained with the luxury tax threshold, as well.
Also Thursday, a new hurdle emerged in the discussion over when teams would face the new restrictions owners are proposing for teams above the luxury tax threshold. Two of the people briefed on the talks said owners were pushing for teams under the tax at the time of the transaction to be restricted from using the full mid-level -- four-year deals starting at $5 million -- if the signing put the team over the tax. In that case, the team would be restricted to use of the mini mid-level. Union negotiators want the new restrictions to be based on where a team's payroll sits in relation to the tax prior to the use of the exception -- not where it stands afterward.
In addition to the system issue, the two sides are still at odds over revenue sharing, which remains a point of contention in the negotiating. But the NBA and NBPA are still talking some nine hours after they began on Thursday.
NBA lockout talks continue on Thursday with reporters offering varying levels of optimism about the state of negotiations. Veteran league executive Dave Checketts -- a close friend of commissioner David Stern -- sparked a minor conflagration late Thursday afternoon by implying in an ESPN radio interview in Salt Lake City that a deal was done.
Reporters at the scene of talks offered debunking. From Ken Berger of CBS Sports:
Person in the room assures me that no agreement has been reached. They're about to hit the five-hour mark here in New York.
SI.com's Sam Amick shared that the owners made an important but unrevealed concession late Wednesday, but said no deal has yet been forged:
Players' side source in the room says of alleged agreement, "Not at all (true). We have yet to discuss our positions at all."
The New York Times' Howard Beck offered a flat denial of Checketts' talk:
Person involved in NBA talks: "Nothing has changed between last night and today."
If NBA lockout talks this week ultimately prove fruitless, players' union director Billy Hunter is prepared to disclaim interest, opening the door for an anti-trust lawsuit by players against the league, reports NBA.com's David Aldridge.
A disclaimer of interest is different than decertification in that no player petition or vote is required. (The union did poll players on whether it would support a disclaimer during the season; players consented to the move, but union leadership has yet to use it.) To disclaim interest, Hunter would simply inform the NBA by letter that the players' union is dissolved and will operate only as a trade association. A group of players would then file an anti-trust lawsuit, accusing the league of collusion and abuse of monopoly powers.
The two sides could continue to negotiate, but whether they would is a legitimate question: the league pushed back forcefully against any union attempt to sue on anti-trust grounds in a pre-emptive August lawsuit of its own.
Want a shot of NBA lockout optimism, even if commissioner David Stern nor players' union president Derek Fisher would grant none during their press conferences after 12 hours of negotiations stretched into early Thursday? TrueHoop's Henry Abbott has an anecdote to sooth your mind.
As he left the news conference early Thursday morning, after 12 hours of bargaining, Stern stopped in the crowded hallway to converse with union economist Kevin Murphy, who says he is trying to arrange his schedule to be here for the next session to start at noon.
Stern encouraged Murphy to show up, saying, "It will be a good day to be here."
It was late. Stern was tired. The comment was vague. It didn't sound like a real promise of a deal. But it certainly didn't sound like a guy preparing to blow apart the talks with a dramatically lower offer, either.
Vague or not, I'll take it.
The use of the full mid-level exception by teams above the luxury tax threshold remains a sticking point in NBA lockout talks, reports SI.com's Zach Lowe. The owners had offered a mini mid-level exception in its weekend proposal, but the players' union isn't satisfied with the idea and continues to push for open use of the leaguewide mid-level, which will reportedly be set at a starting salary of $5 million with terms up to four years.
The league's mini mid-level proposal is limited to a two-year contract starting at $2.5 million, and tax teams can only use it every other year. This comes in addition to other special penalties the league has cooked up to deter teams from spending well over the salary cap. Lowe reports that progress is being made, though an agreement on the mid-level exception isn't necessarily close.
The league has softened its proposal to take the full mid-level exception from teams that pay the luxury tax and replace it with a miniature mid-level worth half as much, according to one source familiar with the matter.
The two sides will meet again at noon E.T. on Thursday.
Once NBA lockout talks wrapped up early Thursday morning, each side gave brief reports to the press on what had actually occurred during the 12-hour session. Adam Silver, the NBA's deputy commissioner and lead negotiator, continued a thread he's tugged for quite a while now by saying that the economic and salary cap system issues remain separate, essentially that concessions on one part of the equation do not equal progress on the other.
Derek Fisher, the president of the players' union, indicated the exact opposite, saying that because the union has been flexible on the economic issue -- reportedly offering to move down to a 50-50 revenue split, which is the owners' sweet spot -- it has expected compromise from the league on the remaining system issues.
Neither side would claim any progress was made in Wednesday's long session, and in fact commissioner David Stern advised the media not to read into it that the sides would meet again on Thursday. At some point, though, compromise or total and complete caving will have to enter the picture. If this lockout is going to end any time soon, it'll be compromise.
NBA lockout talks will continue as the two sides attempt to work out a deal, commissioner David Stern announced just after 1 a.m. ET on Thursday morning. The league and players' union will reconvene at noon on Thursday. Stern said the "clock is stopped," referring to his weekend ultimatum that insisted without a deal by 5 p.m. on Wednesday, the league's proposal would revert to much more punitive version.
Stern said that no progress had been made on the system issues that remain at stake, but that they would continue to press forward Thursday.
"We're not failing and we're not succeeding," Stern said.
Stern has said in the past that the league would need 30 days from handshake to tip-off for the regular season. The entire November slate has already been cancelled, but it's believed that the league could play close to a full season if a deal is reached soon.
Ten hours into NBA lockout talks on Wednesday comes positive feelings from the reporter corps in NBA lockout, where top officials from the league and players' union try to work out a new collective bargaining agreement. Ken Berger of CBS Sports said that a source briefed on the status of Wednesday's talks is "incredibly optimistic" a deal will get done.
If talks break off without a deal and no further meetings scheduled, everyone believes the worst will come to pass: a complete breakdown of negotiations complete with a dissolution of the players' union, a more painful proposal from the owners and potentially a lost season. But with a deal this week, as many as 78 games per team could conceivably be played.
The two sides have had long meetings before, both with and without federal mediator George Cohen. Cohen is not involved in Wednesday's meeting.
Stay tuned for further news and ramificiations by following our NBA lockout StoryStream.
No one will complain about NBA lockout talks zipping right by David Stern's 5 p.m. ET deadline for a deal including the league's 50-50 revenue split proposal to be done. Stern had laid out that ultimatum after talks failed to produce a deal over the weekend; the players' union successfully lobbied the owners to meet one more time, on Wednesday, before Stern vows to take 50-50 back off the table in favor of a more painful proposal that would surely send this stoppage into outer space.
Small teams including the top negotiators are meeting in New York. They convened at 1 p.m. ET, and are expected to be in for the long haul. If there's no deal by the end of Wednesday, it's expected that the situation will devolve quickly, potentially landing in the courts with a disclaimer of interest filed by union leaders.
The lockout is now 132 days old. We would be in Week 2 of the season if not for the impasse.
The NBA Lockout negotiations have reached a tipping point, and as Wednesday's 5 p.m. deadline looms in the distance, NBA players are ready to decertify the players' union should things go bad.
As Sports Illustrated's Zach Lowe reports on Twitter, "Source says agents, players ready to go on decertification in 24 hrs if things go badly today. Also will watch to see if Hunter disclaims." This isn't to say decertification is a sure thing, but it's certainly prospect that hangs over everything else that's being discussed by both sides this afternoon. Whether the players move to decertify in 24 hours is still speculation, but both the players and owners know that they might.
A move toward decertification would allow the NBA players to file a class action lawsuit against the NBA, a labrynthine legal process that would take months to entangle. In other words, if the players go that route, it will effectively mean canceling the 2011-12 regular season. And if Lowe's source is to be believed, there's a very real possibility that decertification happens if Wednesday's negotiations fail to yield a deal.
If they fail to get a deal, the fight over collective bargaining could turn chaotic quick. Or, both sides could broker a deal Wednesday, and the season will start immediately.
Those are the stakes, and all we can do is sit back and hope for the best. How U?
The NBA lockout is facing yet another deadline Wednesday evening. Unlike the umpteenth other deadlines seen during this impasse, however, it seems as though David Stern has the ability to end it all without drastically altering anything.
That's at least the indication being given to Yahoo! Sports' Adrian Wojnarowski, anyway.
"There can be a few things tweaked along the edges, the periphery and this can be agreed upon," one ownership source told Yahoo! Sports. "I'm confident that would not be an issue if [Stern] did that."
"It will be a very slight budge," one high-ranking management source said.
Seeing as the news is coming from ownership sources and management sources are certainly positive. There are more than a handful of NBA owners hoping to wait until they can get a better deal (including Michael Jordan), but hopefully there are enough thinking along the lines of Wojnarowski's sources and a deal is able to be made -- as his "ownership source" said later in the story.
"But there's not enough of [the hardline owners]. Most are not thrilled with current deal, but would take it. But as time goes on and more losses pile up, a majority will need more than the 50-50 deal."
Considering the players probably won't go any lower on their current concessions, it would make sense to make the slight tweaksto ensure an NBA season rather than risk whatever might happen otherwise.
With David Stern's self-imposed Wednesday deadline for the owners' current proposal to end the NBA lockout approaching, the owners and NBA Players Association are closing in on scheduling an afternoon meeting, according to reports from ESPN's Chris Broussard and the New York Times' Howard Beck.
The meeting comes one day after the NBA players rejected the proposal Stern set forth, but said they would be willing to compromise on the Basketball-Related Income split in return for some concessions on the system. Those concessions include a larger mid-level exception even for luxury-tax paying teams, a less-stingy luxury tax penalty for teams who exceed the threshold consistently and the return of sign-and-trades for tax teams.
In an interview on SportsCenter on Tuesday, Stern said there was no more wiggle room left in the owners' proposal.
"As of Sunday morning at 3 in the morning there was none left," Stern said then.
It remains to be seen if Stern and the owners follow through on that. If the 5 p.m. deadline passes, Stern has threatened that the league would pull its current offer and put forth a worse one.
David Stern does not seem terribly interested in negotiating the NBA lockout deal he left on the table last weekend. The commissioner appeared in an interview with NBA TV's David Aldridge shortly after the players' union indicated its interest in meeting Wednesday to hammer out a deal on the league's economic terms. Aldridge asked if Stern had any more wiggle room on the salary cap system changes that players oppose. Stern's response was careful, but not exactly hope-inspiring.
"As of Sunday morning at 3 in the morning there was none left," Stern said.
Stern went on to say that he would take union director Billy Hunter's call out of respect, but that the league's labor relations committee dictates whether the system changes can be modified. Stern and Hunter negotiated the last two collective bargaining agreements in one-on-one meetings, for what it's worth.
Stern has set a 5 p.m. ET Wednesday for the union to accept the league's offer before it becomes a much tougher version.
That commissioner David Stern and players' union outside counsel Jeffrey Kessler don't get along is no secret. Stern has mentioned Kessler by name several times during NBA lockout media appearances (including on SportsCenter back in early August), and Kessler's name is littered throughout the league's lawsuit seeking to block union decertification. It's personal between them.
If that wasn't evident, an enterprising story from the Washington Post's Amy Shipley should make it so.
"To present [the NBA's deal] in the context of ‘take it or leave it,' in our view, that is not good faith," Kessler, who also represented the NFL players in their labor dispute with the NFL, said in a telephone interview Monday night. "Instead of treating the players like partners, they're treating them like plantation workers."
Stern responded with some more gasoline for the fire Kessler started.
"Kessler's agenda is always to inflame and not to make a deal," Stern said, "even if it means injecting race and thereby insulting his own clients. . . . He has been the single most divisive force in our negotiations and it doesn't surprise me he would rant and not talk about specifics. Kessler's conduct is routinely despicable."
The only positive is that it's Kessler, not Billy Hunter or Derek Fisher. Those are the guys Stern really has to deal with going forward.
No, seriously: Bill Clinton walked through the scrum following the players' union's press conference on the looming NBA lockout deadline. He stopped to talk to fellow Arkansawyer Derek Fisher, the president of the union. He also, according to reporters tweeting from the scene, signed his new book for a few players, including Fisher, Blake Griffin and Ben Gordon. That book's title: Back to Work. For real.
A punchy line from Big Dog and a photo of the meeting after the jump.
David Stern has warned that if players do not accept the owners' current NBA lockout proposal -- which includes a 50-50 revenue split and a few salary cap system constraints -- that on Thursday, the offer will get much, much worse. In a press conference after three dozen players met in New York on Tuesday, union director Billy Hunter essentially called Stern's bluff, saying that he expects the owners to remain willing to cut a deal with a 50-50 revenue split even if there's no resolution on Wednesday.
Stern's deadline, which Hunter called "arbitrary," is at 5 p.m. ET on Wednesday. Hunter told reporters that he plans to call Stern to request a meeting between the two on Wednesday. Hunter and Stern reached the last two collective bargaining deals in one-on-one meetings in 1999 and 2005. (The 1999 deal come midway into a scheduled season. The 2005 deal came hours before a lockout began.)
Derek Fisher, the president of the players' union, told reporters on Tuesday afternoon that after meeting with representatives from 29 of the 30 teams, he will reject David Stern's NBA lockout ultimatum. Stern had offered a 50-50 revenue split and some additional salary cap restraints, giving the union until Wednesday to take it before the league's proposal got worse.
Fisher did say the union remains open to negotiating with the league on system issues that could make a 50-50 revenue split more palatable.
"We're open-minded on potential compromises on the number, but there are things in the system that are not up for negotiation for us to have a season," Fisher said.
The last remaining system issues include a smaller mid-level exception for luxury tax teams, an additional penalty for teams that exceed the tax line multiple times in a short span and a ban on sign-and-trade deals for tax teams. The union feels that these mechanisms will drop players' negotiating power and constrict player movement.
Anthony Tolliver, who represents the Minnesota Timberwolves at the the National Basketball Players Association table, told Jerry Zgoda of the Minneapolis Star-Tribune that, ahead of Tuesday's meeting with all 30 team reps, players are split on whether to take a deal similar to one left on the table by David Stern or to decertify and let the courts hammer it out.
"Pretty much everything is split," he said on his way to the airport after playing in a charity game in Salt Lake City on Monday night. "Half of the people want to decertify. Half the people want to vote on it."
His unofficial polling includes some teammates and other players in the league. He said he hopes to speak to more of his teammates before the 30 team player reps meeting starting at noon Minneapolis time Tuesday afternoon.
A couple players, including the Houston Rockets' Kevin Martin and the L.A. Lakers' Steve Blake, are reportedly pushing for a yes-or-no vote on the deal Stern put on the table, which includes a 50-50 revenue split. Still others are pushing a decertification vote behind the scenes. It's unclear whether the team reps who meet Tuesday in New York City will vote among themselves on whether to take the deal or send this impasse straight into anti-trust litigation.
A set of owners are not happy with the NBA lockout deal that commissioner David Stern has left on the table, reports ESPN's Chris Broussard.
As many as 11 of them participated in a conference call on Monday to grouse or gameplan -- it's unclear -- ahead of Wednesday's deadline for the players' union to accept the deal or face a dramatically worse offer. Regardless, Stern went on SportsCenter Monday evening to reiterate that his offer, if taken by the players, would be approved by the owners. That's not something he would promise without reasonable assurances it were true.
The deal on the table includes a 50-50 split of revenue and a few more salary cap system restrictions. It doesn't appear the union will take this deal, but the players are pushing for one more meeting ahead of Wednesday to attempt to strike an accord. Union president Derek Fisher has indicated that the players, whose most recent revenue split offer was 51 percent for players, could move again if they receive system concessions.
L.A. Lakers star Kobe Bryant isn't quite publicly telling the world he's ready to take the NBA lockout deal on the table, but in a chat with Yahoo!'s Adrian Wojnarowski, the former MVP does say that the owners need to meet the players' union at the table one more time.
"We need for the two sides to get together again before Wednesday, because we're too close to getting a deal done," Bryant told Yahoo! Sports on Monday. "We need to iron out the last system items and save this from spiraling into a nuclear winter."
NBA commissioner David Stern on Saturday laid down a proposal for a 50-50 split of revenue and some additional salary cap system restraints to tamp down spending among the least frugal teams. He said that if the players do not accept the proposal by Wednesday, the NBA will change its offer to a more Draconian version last seen in June, complete with a hard salary cap.
The union has apparently been pushing for one last meeting behind the scenes.
The NBA's ultimatum on their current offer to end the NBA lockout has seemingly accelerated the splinting of the NBA Players Association. There's been noise that several players want to take the deal the owners presented, and now, one relatively prominent player has gone on the record saying so in a big way.
Houston Rockets guard Kevin Martin, one of the better shooting guards in the league, emphatically stated that the players should take the current deal in an interview with Sports Illustrated's Sam Amick.
"If you know for sure [the owners] are not moving, then you take the best deal possible," Martin wrote in a text message to SI.com. "We are risking losing 20 to 25 percent of missed games that we'll never get back, all over 2 percent [of basketball-related income] over an eight- to 10-year period [of the eventual collective bargaining agreement]. And let's be honest: 60 to 70 percent of players won't even be in the league when the next CBA comes around."
Martin's point of view is supported by Los Angeles Lakers guard Steve Blake, who is trying to drum up support for a league vote, according to Yahoo! Sports' Adrian Wojnarowski. However, according to Wojnarowski, there is still a lot of support for rejecting the offer as presented.
The National Basketball Players Association (@TheNBPA) started a Twitter feed about a year ago, using the social media venue to tweet out links to stories about players doing good things and various labor-related issues. As the lockout approached, the tweeting seemed to focus hard on pro-union coverage ... as it should.
The NBA went about fighting the lockout war on Twitter a bit differently. It has kept its very popular @NBA feed out of it, for the most part. Last week, it started up a new lockout-centric feed, @NBA_Labor. (What a funny little handle, when you think about it.) It hasn't taken to linking to pro-league coverage. It has taken to "correcting" players and reporters who "misstate" the league's proposal.
It was only a matter of time before @TheNBPA and @NBA_Labor butted heads.
David Stern has set a Wednesday deadline for the players' union to accept the league's 50-50 revenue split offer that comes with a few more system tweaks in the four-month-old NBA lockout saga. No further talks were scheduled after Saturday's session ended with Stern's ultimatum. But that could change.
Yahoo!'s Adrian Wojnarowski reports that the two sides are working on putting together one more bargaining session before the deadline. It's unclear what, if any, conditions the NBA would put on it, given that Stern has presented what essentially makes up an ultimatum, a take-it-or-leave-it offer. Stern said early Sunday and in a letter to union director Billy Hunter published by the New York Times that if players don't accept the deal on the table, the offer will get demonstrably worse on Thursday.
The two sides are painfully close on the revenue split issue, and the remaining system issues seem relatively minor compared to those that have already been worked out.
During the 2010-11 regular season, players' union director Billy Hunter visited each team to talk to his constituents about the likelihood and ramifications of an NBA lockout. As a part of that tour, Hunter had players vote on whether to authorize the union's leadership to disclaim interest if the lockout got sticky, which would remove the organization's collective bargaining powers and open up the NBA to anti-trust litigation.
At the time of the votes, it was reported that players were voting to authorize decertification. It turns out that those were instead votes for a disclaimer, which is the faster but less frightening (for the league) version of decertification. Law professor Gabe Feldman tells CBS Sports' Ken Berger that by disclaiming interest in the union, Hunter would be forging a dangerous path.
The biggest legal benefit to dissolving the union through a disclaimer would be that, once the union was transformed into a trade association, the players could almost immediately file an anti-trust lawsuit against the league -- which in theory would open the owners to not only the financial losses of a canceled season, but also anti-trust damages. In all likelihood, the players would file their action in the 9th Circuit in California, where more employee-favorable law exists. Since the league already has pre-emptively sued in the employer-friendly 2nd Circuit in New York, a messy and potentially lengthy jurisdictional battle would then unfold.
David Stern has sent a letter to players' union director Billy Hunter outlining what the owners' new NBA lockout proposal will entail if players don't accept the league's current deal, reports Howard Beck of the New York Times. The letter includes a threat to include rollbacks on existing player salaries in a new "reset" proposal. The owners had previously pushed that concept, one that was quite obviously rejected without prejudice by players.
The rollback threat doesn't peg a certain number, though.
In addition, the N.B.A. would roll back existing contracts "in proportion to system changes in order to ensure sufficient market for free agents."
That could mean adjusting the same amount that the revenue split is moving -- from 57 to 47 percent. Previous incarnations of the rollback push called for decreases in committed salary that started at 7.5 percent for 2011-12.
Of course, this push by the league would simply be another proposal, one that the union would surely negotiate back in their direction. It is, for all practical purposes, toothless outside of its existence as a fear-mongering threat.
Top officials from the players' union want to meet with the league before Wednesday's deadline from David Stern to reach a deal on the owners' current proposal before the offer gets worse, reports CBS Sports' Ken Berger. But it's not clear whether that meeting will happen. Berger reports that hardline owners would prefer the doomsday scenario -- which comes with a threatened drop in the players' share of revenue to 47 percent and the reintroduction of the hard salary cap -- and as such may resist negotiatons that could lead to a deal around the current proposal.
While that's an amazingly dark reading, nothing the owners have done since June has rendered it impossible. Stern made the ultimatum late Saturday, after an eight-hour session mediated by George Cohen in which players dropped their proposed revenue split to 51 percent, provided that the owners offered up concessions on salary cap system issues.
The latest NBA lockout proposal presented by owners would allow players to earn an aggregate salary of 49-51 percent of the league's revenue, as described by David Stern after Saturday's negotiations blew up. As Stern explained it, if revenue outpaces projections, any overage would be split 57-43 in players' favor. If revenue did not hit projections, players would take a smaller percentage of revenue. But at no point could the players' share drop below 49 percent or rise above 51 percent.
But there's a critical piece of information missing: where those projections would land.
The league refuses to disclose what projections its using in this proposal, and whether those would change on an annual basis or remain static. That's a huge piece of the puzzle here, especially considering how large a new national TV deal in 2016 looms. Will the NBA's projections account for that, or would we expect 2016-17 revenues to outpace something like a static 4-percent growth projection?
As the public determines its own opinion on the owners' proposal, this sort of information is vital. The players know what's in the deal, but fans and writers are left in the dark. Until we learn otherwise, it might be wise to just assume this is pretty straight 50-50 deal with the outside chance players at some point could get something like 50.3 percent or so.
Matt Bonner, the San Antonio Spurs' sharpshooting forward and a member of the players' union's executive board, told Mike Monroe of the San Antonio Express News that in NBA lockout talks on Saturday, players had been willing to compromise their position on the revenue split if the owners would concede on some key salary cap system issues.
The owners were unwilling to do so, talks fell apart and NBA commissioner David Stern issued an ultimatum.
For Bonner, it was a lost opportunity.
"That's what we were hoping would get a deal and we really thought the approach we took was going to get it done. But when [federal mediator] George [Cohen] came back after taking our offer to the owners, what he came back with was five or six changes in system things, and all but one were what the owners wanted. It was basically their deal."
The salary cap system issues that remain at play include the mini mid-level exception for luxury tax teams, the ability of tax-paying teams to use the sign-and-trade, and escalated penalties for teams over the tax line multiple times in a five-year span.
The executive committee of the players' union will talk Monday to sort out options after David Stern presented an NBA lockout ultimatum on Saturday, reports Mike Monroe of the San Antonio Express-News. Stern told players (and the world) that if the league's offer of what is effectively a 50-50 revenue split with a few specific salary cap system issues isn't accepted by the union by Wednesday, the NBA will revise its proposal to drop to a 47 percent share of revenue for players and a hard salary cap.
The union has no intention of accepting the deal, and president Derek Fisher indicated early Sunday that he has no intention of putting the deal up for a vote by union members. Instead, the players' union may pursue decertification. Union leadership has heretofore resisted that legal move, but some players and agents are pushing for it behind the scenes. A petition of 130 players is the first step.
In Saturday's final NBA lockout proposal from owners, the league consented to allowing teams over the luxury tax threshold to use the mid-level exception. Only it's not the typical mid-level exception: it's a smaller version worth $2.5 million for a maximum of two years, usable only once every two years. So basically, it's an allowance for tax-paying teams to sign a $2.5-million player every two years.
The normal mid-level exception will be set at $5 million, with a three-year maximum length. In the last deal, it had risen to five years starting at $5.8 million. Players and owners have been fighting on whether to limit the types of transactions teams over the tax line can make. In previous collective bargaining agreements, tax teams could do anything a team over the salary cap could do.
David Stern has given players until Wednesday to accept the deal; if they do not do so, he has threatened to change the offer to a lower revenue split with what is effectively a hard salary cap.
David Stern left the owners' NBA lockout offer -- what amounts to a 50-50 revenue split, the creation of a second, smaller mid-level exception for teams over the luxury tax and a restriction for sign-and-trades for teams over the tax line -- on the table until Wednesday. If it is not accepted by the players' union, the league will drop its offer to 47 percent of revenue for players and what amounts to a hard cap.
Reports from Saturday suggested that a majority of players may be willing to accept a 50-50 deal. But union president Derek Fisher told reporters after talks broke down Saturday that he would not be presenting the NBA's offer for a vote. Why? TrueHoop's Henry Abbott explains, with help from union lawyer Jeffrey Kessler:
Kessler explains the reasoning for the mechanism is because no union wants to let employers address workers directly. You don't want your opponents to have direct access to your constituents. The fully informed committee has an obligation to keep bad deals from the rank and file, who have entrusted the process to them. This protects players from accepting an offer that might sound good to them, but would, in the judgment of those who have analyzed it most thoroughly, actually be bad news.
Despite this, expect fans and some players to agitate for a vote before Wednesday. Whether they'll get it is another matter entirely.
Deron Williams, playing ball in Turkey, wasted no time telling the world what he thought of David Stern's NBA lockout ultimatum.
I've been ready to sign a decertification petition since July? Can't believe we are just now going this route! SMH
Well, there's one signature. Reports suggest the decertification drive -- which would result in anti-trust litigation against the league if a majority of players approved it -- has restarted anew since Saturday's breakdown.
Expect to hear more about the drive by some players and agents to decertify the union after David Stern's 50-50 ultimatum ended NBA lockout talks on Saturday. Yahoo!'s Adrian Wojnarowski reports that agents are already canvassing their players to determine whether there are enough votes for decertification.
Stern's ultimatum comes with the backdrop of player agents actively canvassing their clients to determine if there were enough votes to move forward with a decertification vote on the union, agent and player sources told Yahoo! Sports.
Before proceeding, agents and players were waiting on the outcome of the weekend's labor talks. Several agents and players believed support would grow for a vote on dissolving the union without significant progress on a deal.
Some 50 players participated in a call with anti-trust lawyer Len Simon on Thursday, with Boston Celtics star Paul Pierce considered the organizer. Most of the players reportedly to be involved in the call and a smaller one held Tuesday are represented by agents who had previously pushed for decertification.
If the players disclaim interest in or decertify the union, a set of them could file anti-trust litigation against the NBA. That would effectively kill the season, as Stern fiercely fought decertification via a federal lawsuit that seeks to disallow it.
NBA lockout talks ended after eight hours on Saturday with commissioner David Stern announcing that players had until Wednesday to agree to a deal that, in his words, could offer up to 51 percent of revenue. If they do not accept the proposal, the NBA will pull it off the table and offer just a 47 percent share of revenue for players going forward.
The players' union did not respond kindly to the ultimatum. Jeffrey Kessler, the union's outside counsel, told reporters that that league's offer would really offer up to just 50.2 percent of revenue, and forcefully said that the union would not be intimidated by Stern's threat. Derek Fisher, the president of the union, also indicated distaste at Stern's ultimatum.
Players moved down to a 51 percent revenue share from 52.5, but Fisher told reporters that Stern and the owners never responded to that proposal. Players made 57 percent under the last deal.
Stay tuned for more reaction from the latest breakdown.
NBA lockout talks were scheduled to begin at 4 p.m. ET on Saturday. Instead, negotiations didn't start until 5 p.m., thanks to the owners' pre-session meeting -- where bargaining issues and revenue sharing were discussed -- running long. While no reports have surfaced as to the tone of the owners' meeting, the fact that it had been unscheduled until Friday and ran six hours might indicate there is some bargaining going on with the league's caucus.
Three owners joined the evening talks with the league's labor committee, according to reports: the Miami Heat's Micky Arison, the Charlotte Bobcats' Michael Jordan and the Portland Trail Blazers' Paul Allen. All three have been in the news recently. Allen famously delivered a death stare that broke off talks on Oct. 20, the last time federal mediator George Cohen was in the room. (He's back on Saturday.) Arison was fined $500,000 by commissioner David Stern this week after a series of tweets indicating the owner's willingness to sign a deal and start the season. Finally, on Friday it was reported that Jordan is leading a cabal of 10-14 hardliners who don't like the 50-50 revenue split on the table.
Ray Allen is the first player to speak on the record about two decertification calls held this week amid the NBA lockout saga. While reports of the calls late Thursday sounded alarms around the league, Allen, who participated in the smaller Tuesday call, tamped those down in a talk with Gary Washburn of the Boston Globe.
"I don't know what kind of feedback or backlash came from it, but I didn't think there was a need for anybody to panic whatsoever, either on our side as a players' union or as owners," he said. "I thought the call was strictly [to explore options]."
Allen went on to explain that, at least on Tuesday's call, talk about decertification centered around exactly what it would mean for the players and union.
"We have complete faith in our union to get the job done," Allen said. "I don't know what was said [Thursday] on the call, but I do know from the guys that were on the call [last week], nobody was anxious to pull the trigger, like we've got to decertify now. Most of the guys [asked], 'What exactly would we be doing if we decertified?' I don't think anybody was panicking."
Allen also confirmed that his Boston Celtics teammate Paul Pierce was the driving force behind the calls.
Representatives from all 30 teams are meeting Saturday morning ahead of the recommencement of NBA lockout talks later in the day. The exact purpose of Saturday's owners' chat remains unclear, though recent reports of dissension in the ranks -- particularly the hardline push to abandon the 50-50 split for something more punitive to players -- could require a firming up of the league's strategy.
Reports have also suggested that further discussion on revenue sharing -- perhaps to appease those hardline owners -- may be the focus of Saturday's meeting. In fact, a league official says that both bargaining issues and revenue sharing will be discussed at the summit.
Whatever the case, developments on Friday suggest ownership is just as disjointed as the union. While the union fights off action from a splinter group seeking to decertify and send this thing fully into the courts, David Stern has to deal with some owners who want to get back on the court right now (like Micky Arison, fined $500,000 last week) and some, like Michael Jordan, who think 50-50 is too good a deal for players (who made 57 percent in the last deal).
As NBA lockout talks reconvene in New York on Saturday, questions linger. Do the 50 players who reportedly talked about decertification with anti-trust lawyer Len Simon this week have enough support to make a real push to dissolve the union? Does Michael Jordan's cabal of 10-14 hardline owners have the power to convince David Stern to keep pushing for a 50-50 deal and hold tight on system issues still on the table?
On the former, one agent who spoke to CBS Sports' Ken Berger isn't convinced that the decertification camp has enough support. In fact, a majority of players may be ready to take the owners' offer.
"If they put this to a vote today, more than 50 percent of players would be on board with 50-50," an agent who is not clamoring for decertification said. "They think they're going to get 200-plus votes for decertification? Are they out of their minds?"
Regardless of how Saturday's session works out, you do wonder if there will be a groundswell of support within the union for a vote on 50-50.
Officials from the league and players' union will rekindle NBA lockout talks on Saturday, just over a week after commissioner David Stern killed the entire November schedule. Good, right? Not so fast. From ESPN.com's team of Chris Broussard and Henry Abbott:
The NBA ownership group's labor committee will reopen talks with the players' side Saturday afternoon, sources told ESPN The Magazine's Chris Broussard, a meeting one general manager, who has spoken with a few owners, described as "headed straight for disaster." [...]
Sources told ESPN.com's Henry Abbott that in a Thursday evening conference call among owners, Michael Jordan of the Charlotte Bobcats was among a vocal group of owners upset at NBA commissioner David Stern for not driving a harder bargain to this point. Should Stern and the labor committee agree to a deal with the union, it would become official with ratification by simple majorities of owners and players. Both are in doubt.
Some players, of course, are talking about a decertification end-around to ensure that the union doesn't accept a deal worse than what players have already offered. As many as 14 of the 29 NBA owners not employed by Stern -- the New Orleans Hornets are in control of Stern-appointed Jac Sperling -- may be opposed to even a 50-50 deal. This is not a situation conducive to nuanced discourse and deal-making, is it?
Players considering decertification of the union without the consent of the group's leaders talked to anti-trust attorney Len Simon this week, reports Liz Mullen of Sports Business Journal. The players are looking for an alternate path in the NBA lockout, reportedly feeling that the union leadership of Derek Fisher and Billy Hunter has given up too much already.
Reports suggest as many as 50 players and several agents spoke via phone on Thursday, with the Boston Celtics' Paul Pierce named as a noteworthy voice. The most experienced labor lawyer on sports union decertification is Jeffrey Kessler, who works as an outside counsel for the players' union under Fisher and Hunter. Hunter and Fisher have not moved toward decertification, instead hoping to cut a deal at the bargaining table.
In addition to working on sports law cases, Simon is the owner of a San Diego Padres minor league affiliate and teaches law.
George Cohen, the federal mediator who was unsuccessful in helping the league and players' union end the NBA lockout in October, will oversee Saturday's negotiations, reports Ken Berger of CBS Sports. Cohen left the table on October 20 after owners allegedly presented the union with a take-it-or-leave-it revenue split offer. NBA commissioner David Stern was not at that fateful meeting, as he was recovering from the flu at home.
After Cohen departed, the league and union held another set of talks, but the revenue split still couldn't be settled. The players won't move higher than 52 percent, after receiving 57 percent of league revenue in the last deal. The owners are pushing for a 50-50 revenue split.
Under Cohen's watch, the two sides did make progress on a host of salary cap system issues. It's believed that few system issues remain at stake, and that those can be dictated in concert with the revenue split in a bit of chip trading.
Michael Jordan is reportedly leading a charge from hardline owners seeking an NBA lockout deal offering players no more than 50 percent of revenue. (Players received 57 percent in the last deal, and have offered to move as far down as 52 percent.) This is quite a situation, given that Michael Jordan was once an NBA player.
In fact, as a player, he was represented by one of the fiercest player advocates in memory in David Falk. As such, MJ was at the forefront of several labor battles. He said things. They were quoted. They made the news, for Michael Jordan was an important man.
These are some of those news items from Michael Jordan, NBA Player.
Michael Jordan, the most famous basketball player ever and now the proud owner of the Charlotte Bobcats, is leading a group of 10-14 hardline owners who are demanding that the league not negotiate past its current offer of a 50-50 revenue split, reports the New York Times' Howard Beck.
This cabal may not even like 50-50.
According to the person who spoke with the owners, Jordan's faction intends to vote against the 50-50 deal, if negotiations get that far. Saturday's owners meeting was arranged in part to address that concern.
A majority of the 29 owners are believed to support a 50-50 deal, but they are reluctant to move further.
Jordan's team is one of the NBA's toughest markets, and few would disagree that in retrospect it was a mistake for the league to expand back into Charlotte in 2004. Jordan was recently fined $100,000 by commissioner David Stern for comments he made to an Australian newspaper about the need for a hard salary cap.
So the NBA lockout has taken another turn toward the absurd as 50 players -- some All-Stars, some Spencer Haweses -- reportedly had a chit-chat or two about decertification this week. These talks came after reports suggested that union leaders Derek Fisher and Billy Hunter are now at odds. All the while, the NBA has agreed to rekindle talks on Saturday. This is a grand bouillabaise of "are you serious?", and I'll understand if it takes a moment to sort your potatoes from your cabbage.
But friend-of-SB Nation Paul Flannery, WEEI's superlative Celtics and NBA writer, has an interesting observation about where things stand if all of the reports out there are to be believed.
Decertification of the NBA Players Association's union is once again gaining steam heading into this weekend's negotiations to end the NBA lockout. A conference call briefing the players on the possibility of decertification was held earlier this week with veteran Grant Hill playing a "prominent" part in the discussion, according to a report from ESPN's Marc Stein.
Hill, a veteran of the lockout process having gone through the 1999 NBA lockout as well, joined Russell Westbrook, James Posey and J.J. Redick as the new names Stein has unearthed that played a part in the players-only conference calls.
It might be interesting to not that Hill, along with the previously known to be involved Ray Allen, is represented by Jim Tanner. Tanner was not one of the original agents to publicly propose decertification, but he does represent some of the most influential NBA players (including Tim Duncan, who has not yet been identified as one of the members on this call).
As far as the other new participants are concerned, Westbrook and Redick both count Arn Tellem as their agent while Posey is represented by Priority Sports' Mark Bartelstein.
It remains to be seen exactly what the players are planning to do if they actually get enough votes to decertify the union. While it's possible that disbanding the union would give them a bit of leverage, it also doesn't guarantee any solution and has been described as being both risky and messy.
The NBA lockout has had all sort of doomsday scenarios being brought up this week as decertification has once again become the hot topic, but there are some in the media that still have hope a deal could be cut this weekend. One person leading the charge is Newday's Alan Hahn as he predicts the two factions could hammer out a deal for 51 percent of the basketball related income this weekend.
The split of BRI was the reason the two sides quit negotiating last time they met as the players would like to stay at 52 percent while the owners seem hesitant to move up to even 50 percent.
In that regard, it seems a long shot that there's actually a deal to be made this weekend. If the two groups are going to come to an agreement this weekend, however, the 51-49 split is where Hahn believes both sides will have meet.
With that, we will filter out the white noise of the agent-driven Decertification Army and the scandalous reports of Fisher's alleged back-door deals with David Stern and spoil the ending for you:
There will be a 51-49 agreement.
It is a split that Stern said he never had a chance to negotiate when Hunter walked away from the table last Friday after the league re-introduced the 50-50 split.
For the optimists in the crowd, this could be good news. Unfortunately, there are probably better than even odds that the talks go exactly in the opposite direction this weekend.
Dwight Howard and Ray Allen were also involved in two recent calls among a set of 50 players to explore decertification of the players' union as the NBA lockout continues, reports ESPN's Chris Broussard. Broussard confirmed a report by Yahoo!'s Adrian Wojnarowski that Boston Celtics star Paul Pierce and Miami Heat star Dwyane Wade were vocal leaders of the talks.
Howard is represented by Dan Fegan, one of the agents who led a push for decertification in September. Allen, whose agent is Jim Tanner according to DraftExpress' indispensable agent database, is the only player out of the 10 reported to be involved in the talks not represented by one of the seven agents who sent an alarming letter to their clients in October pushing a hard line in lockout talks and warning them not to vote for a settlement presented by union leaders without giving it a full review.
NBA lockout talks are scheduled to reconvene on Saturday. It's unclear what effect the clandestine decertification talks will have on the players' union's bargaining tactics.
Yahoo!'s Adrian Wojnarowski and the New York Times' Howard Beck independently reported late Thursday that as many as 50 players participated in two calls this week to discuss usurping the leadership of the players' union and filing for decertification as the NBA lockout drags on. Wojnarowski reports that Boston Celtics star Paul Pierce, who has popped in to lockout talks a couple times to express support for union leaders Derek Fisher and Billy Hunter, has played a lead role in the decert push.
Paul Pierce played a prominent role on both calls, leading the charge on decertification, sources said. Participants in Thursday's call included Dwyane Wade, Jason Kidd, Blake Griffin, Al Horford, Tyson Chandler, Spencer Hawes and DeAndre Jordan, sources said.
Pierce, Wade and Kidd are the big names given their influence in the league as respected veterans. Pierce's agent is Jeff Schwartz, who was one of the seven agents pushing for decertification and warning players against quickly ratifying an agreement presented by union leadership. The agents for Wade (Henry Thomas of CAA), Kidd (Schwartz), Griffin (Sam Goldfelder of Schwartz's Excel Sports Management), Horford (Arn Tellem), Chandler (Schwartz), Hawes (Greg Lawrence of Tellem's agency) and Jordan (Lawrence) were all a part of that push. As such, it would appear -- without knowing the full list of the players on the calls -- that this new movement is closely associated with the last decertification drive.
Despite denials from union leaders, reports continue to emerge indicating a rift on the players side of the NBA lockout negotiations. The latest report, from Yahoo!'s Adrian Wojnarowski, indicates a faction of players meeting without knowledge of NBPA leaders this week to discuss some of the negotiations that have taken place thus far. And the nuclear option reportedly remains on the table.
There were two conference calls held this week -- Tuesday and Thursday -- without knowledge of NBPA officials, sources tell Y! Calls included several All-Stars. One source on calls told Y!: "We're beyond frustrated with concessions that have already been made." Here was theme: If NBPA drops below 52% on BRI, and/or remaining system issues go league's way, then this will become movement to decertify. Here was theme: If NBPA drops below 52% on BRI, and/or remaining system issues go league's way, then this will become movement to decertify.
We're so far into the game now that decertification, if carried out, would set the process back into the stone age. As we saw with the NFL, decertification is a somewhat messy process, done as a precursor to an anti-trust lawsuit.
But there's another option at play here, as well: the players need any leverage they can get and, perhaps, bluffing with the lawsuit card is an effort to gain some kind of foothold. However, the news that the meetings were conducting with the knowledge of NBPA leaders has to be a bit concerning for the players' side, and leads one to wonder what, exactly, is going on with the union at this point in the process.
NBA lockout talks between the NBA owners and the NBA Players Association will resume on Saturday after a eight-day absence, NBPA vice president Roger Mason confirmed after a union meeting on Thursday. The news comes on the heels of a Boston Herald report that suggested the same thing earlier Thursday.
The owners and players last met on October 28, when momentum for a deal was derailed by an argument over Basketball-Related Income. However, Mason told reporters that the players continue to want to discuss various system issues that seemingly were resolved last week. Those issues appear to now be back on the table.
It remains unclear which owners and players will be present at the discussions. The union held its own meeting on Thursday to help address reports of discontent among their ranks, especially those that involve union president Derek Fisher and NBPA head Billy Hunter. Mason said the players remain unified on all core issues.
Charlie Villanueva tweeted on Wednesday that the owners' 50-50 revenue split proposal is actually more like 46 or 47 percent of revenue for players, apparently referring to the fact that some $500 million in league revenue is cut off of the top to create the actual "basketball-related income" level.
The NBA's new (verified) lockout-focused Twitter account retorted by noting that owners and players have agreed to that revenue that comes off of the top. For some reason, in its reply to Villanueva (which was retweeted by the massive @NBA feed), the @NBA_Labor account included Thunder center Nazr Mohammed. That proved to be a mistake.
On Wednesday, representatives from the league and players' union will be the same room for apparently the first time since NBA lockout talks ended (again) on Friday. But this time, it'll be in a courtroom as oral arguments begin in the NBA's federal lawsuit against the National Basketball Players Association.
The suit seeks to block decertification as an option for the players' union. Decertification would allow players to file an anti-trust suit against the league and seek an injunction lifting the lockout, as NFL players did in the spring during their own labor battle. The NBA argues that any decertification by the players' union would be a sham, and that decertification threats have represented bad faith tactics.
In an interestingly threatening note, the NBA also seeks the court's approval to void all existing player contracts if the National Labor Relations Board does not deem the union's potential decertification a sham.
The union has not actually pushed for decertification, despite the concerns of the NBA and a push by major agents last month.
The National Basketball Players Association is not having a great week. After FOXSports.com's Jason Whitlock published a piece alleging that players' union president Derek Fisher had made a side deal on a 50-50 revenue split with NBA commissioner David Stern, Yahoo!'s Adrian Wojnarowski reported on Tuesday that, essentially, NBPA director Billy Hunter is trying to slime Fisher.
Fisher had sent a letter to the union membership on Monday forcefully pushing back against Whitlock's report; Whitlock responded by doubling down. Fisher and Hunter each put out statements late Tuesday, with Hunter pushing back against all of the allegations and commending Fisher for his work. According to ESPN's Marc Stein, Fisher later released a statement demanding retractions from Whitlock and FOXSports.com.
ESPN also reports that union leadership -- Fisher, Hunter and the executive board of player representatives -- plans to meet Thursday in New York to talk strategy and, one would assume, address all of this alleged subterfuge.
No news is bad news, as far as NBA fans are concerned. Not only are there no new talks scheduled between the owners and the player's association, but whenever talks do resume, they won't have the benefit of being facilitated by federal mediator George Cohen. From Sports Illustrated's Sam Amick:
The two sides, according to one of the sources, spoke separately with federal mediator George Cohen about a possible reunion meeting this week, but the session will not take place. Cohen, to review, was the point man for three straight days of marathon negotiating sessions in mid-October that did not lead to resolution.
Howard Beck of the New York Times tweeted similar news. Cohen served as a mediator for three days of talks last month, but with the NBA's owners and Player's Association refusing to budge from the disagreement over how Basketball Related Income should be split, he stepped aside and released a statement saying there was "no useful purpose" in his continued participation.
It's unclear if he approached the two sides to take their temperature or if it was the other way around, but either way, the current stalemate remains, well, stale.
NBA lockout talks are dead right now, but when they reconvene, federal mediator George Cohen could return to the table, reports Yahoo!'s Adrian Wojnarowski. Cohen facilitated three days of meetings in October before a reportedly ultimatum on a 50-50 revenue split from San Antonio Spurs owner Peter Holt cut talks off on Oct. 20. Cohen issued a statement saying that he did not feel as if his presence would help at the time.
The two sides did rekindle talks a few days later, but those too broke down, and for the same reason. While the lockout deal is reported to be up to 95 percent complete, the major, driving issue -- the split of revenues -- remains in question. Each side has said it will not move from its current position on the split. The players' union has topped out at 52.5 percent, while the league is stuck at 50 percent.
FOXSports.com columnist Jason Whitlock has reported that there is unrest in within the players' union as the NBA lockout drags on, but not from where you'd think. Whitlock reports that National Basketball Players Association director Billy Hunter confronted NBPA president Derek Fisher before Friday's fruitless lockout talks over concerns that Fisher had negotiated a side deal with NBA commissioner David Stern to deliver a 50-50 revenue split.
No other reporter who has been covering lockout talks in New York has substantiated the report. Fisher sent one of his famous letters to the union membership discrediting Whitlock's report. SI.com procured the letter. In part, it reads:
[B]efore these reports go any further, let me say on the record to each of you, my loyalty has and always will be with the players. Anyone that questions that or doubts that does not know me, my history, and what I stand for. And quite frankly, how dare anyone call that into question. The Players Association is united and any reports to the contrary are false. There have been no side agreements, no side negotiations or anything close.
Miami Heat franchise owner Micky Arison has been fined $500,000 by league commissioner David Stern for since-deleted tweets critical of some owners' NBA lockout positions posted Friday, reports Yahoo!'s Adrian Wojnarowski.
Arison, considered by most a dove in the lockout talks, and someone eager to get back in session, responded to and retweeted a few fans who were critical of the league's hard line in labor negotiations. In response to one tweet that chided owners for being greedy, Arison responded that the fan was "barking at the wrong owner."
The revealing tweets were a change of pace, considering that Arison, who also runs Carnival Cruise Lines, usually just uses his Twitter feed to chat about Guy Fieri and cheeseburgers.
Arison is at least the fourth team owner fined for lockout comments this summer. The Wolves and Blazers were reportedly fined for comments made by team executives. Bobcats owner Michael Jordan was fined earlier this offseason after he spoke with an Australian newspaper about the need for a hard cap.
See update at bottom of post.
Henry Abbott of TrueHoop has an appropriately and predictably skeptical snipe at the owners who, in the course of NBA lockout negotiations, have managed to both convince everyone that they are collectively broke and have negotiated in new rules that allow them to spend more money.
No, really.
David Aldridge of NBA.com has been as hard on owners throughout the NBA lockout as anyone; in fact, you'd be hard-pressed to find a duo more willing to report criticial on the league's stance than Aldridge and Steve Aschburner, no matter where their byline appears. It is in that context that Aldridge's column on where the lockout negotiations stand is a bit of a heart-stopper.
The players aren't going to get 52, or 51, or 50.5, or 50.000001, and if they hold out for those numbers, they're not going to have a season. You'd have to be crazy not to see that now, so it's this for the players: take the deal this week or next, or lose the season. If they are willing to die on principle, they wouldn't be the first. But they will die, in the metaphorical sense.
Aldridge reports that even last week, when so much of the civilized world believed a deal was in hand, the owners were really only offering 47 percent of league revenue to players if they accepted the negotiated system changes. If the players wanted 50 percent of revenue, they'd need stronger cap restrictions. If they wanted 51 percent or 52.5 percent (the union's best offer), they'd need a genie in a bottle.
This is bad.
This is not the Joe Johnson lockout, but that may be how future generations of NBA observers refer to it. J.J. famously signed a $123-million contract no one thought he was worth a year ago; it remains and shall always be considered Arn Tellem's greatest achievement.
Part of the reason that J.J.'s contract is so massive is because it lasts six years and because, under the now-expired collective bargaining agreement, players who sign Bird rights contract are eligible for 10.5 percent annual raises. Howard Beck of the New York Times reports that players and owners agreed, in the course of NBA lockout talks last week, to drop both maximum contract lengths and annual raises. So how would those new rules have affected Johnson's massive deal?
Before lighting the month of November on fire, officials from the league and players' union did reach an agreement last week on luxury tax reform last week during NBA lockout negotiations. Howard Beck of the New York Times reports that players agreed to boost the penalties for teams with payrolls well over the salary cap. The old system included just a dollar-for-dollar penalty over the luxury tax threshold, which proved to be a deterrent for only about half of the league in any given season.
Beck reports that the new luxury tax -- once the league restarts operations, either soon, in a few months or next year -- will charge teams over the threshold a 150 percent tax up to $5 million over the threshold. From there on, the tax would be 175 percent up to $10 million above the line, 225 percent up to $15 million over the line and 300 percent above that. Beck calculates that the L.A. Lakers, who paid $20 million in luxury tax last season thanks to a $90 million payroll, would have paid $42.5 million in tax under this system.
Miami Heat owner Micky Arison hopped onto Twitter on Friday evening after the NBA and NBPA broke off talks to end the lockout just hours earlier to share his thoughts on what just transpired. After days of optimism, the talks came grinding to a halt, all over the same revenue issues as before. So we're back to square one, with no deal, more cancellations and the same hard-line stances on the most important issue of all.
Arison's comments were cryptic, but may not have been wholly enlightening. Reading between the lines, though, one has to wonder if there's friction on the owners' side, or if Arison is saving face. Either way, Arison's public statements on Twitter were interesting, and at least make for some fun fodder.
David Stern announced the cancellation of the remainder of the league's November schedule and ruled out any possibility of an 82-game season after NBA lockouts broke down for the fourth time in four weeks on Friday. Stern alleged that players' union executive director Billy Hunter walked out of the talks as the two sides made no progress on the split of basketball-related income players will earn in the new deal.
Stern's press conference, part of which was carried live on ESPN's SportsCenter, hit familiar points, as the commissioner maintained that the league hasn't been profitable and that owners can go no further than a 50-50 split of revenue. Players earned 57 percent of revenue in the last collective bargaining agreement.
There are no further meeting scheduled. The season was originally scheduled to commence on Tuesday. Instead, representatives from the league and players' union will meet in federal court on Wednesday.
Derek Fisher said Friday that NBA lockout talks broke down after the owners, led by commissioner David Stern, essentially presented a "take it or leave it" proposal to split basketball-related income 50-50. Fisher told reporters covering the lockout meetings that he cannot sell a 50-50 split and owner-requested changes to the salary cap system to his players.
The talks have now broken up three times in October over the owners' unwillingness to move beyond a 50-50 revenue split. Fisher said that the players are down to 52.5 percent; the previous collective bargaining agreement allotted 57 percent of basketball-related income, about $3.8 billion last season, to players in the aggregate.
The two sides are about $100 million per season apart. The league has already cancelled 100 regular season games, and reports suggest Stern will cancel an additional 102 games -- all scheduled contests through November 28 -- later Friday.
Stern is scheduled to speak to reporters Friday evening.
NBA lockout talks broke down on Friday for the fourth time in four weeks. ESPN's Chris Broussard reports that, as a result, NBA commissioner David Stern will announce the cancellation of additional games late Friday. It hasn't been reported how many games the league will lose, and whether a quick restart of talks over the weekend could save those games and the ones cancelled by Stern weeks ago.
In early October, Stern cancelled the first two weeks of the regular season, claiming 100 games. But as optimism rose in recent days, Stern indicated that the league would preserve as many games as possible once a deal was reached. Reports that all 82 games could be played in a season starting Dec. 1 crept out.
On the bright side, given Stern's previous statements that the league needs 30 days from handshake to basketball, the league and players' union have until Tuesday to get a deal and, in theory, keep an 82-game schedule.
ESPN's Brian Windhorst reports that Friday's breakdown in the NBA lockout talks came as officials from the players' union would not drop below 52 percent of the league's revenue in negotiations. It's not clear whether owners were willing to drop below their proposed 50 percent mark. The union came in having gone as low as 52.5 percent.
Over the past two days, the two sides had been negotiating system issues, such as the luxury tax and salary cap exceptions. The negotiators purposefully took the revenue split off of the table because it lead to the most fiery, destructive breakdown in talks on Oct. 20, as the owners reportedly gave the union an ultimatum, take-it-or-leave-it offer for a 50-50 split. David Stern told the media late Thursday that everything would be negotiable in Friday's talks.
Windhorst also reports that more cancellations of regular season games will come on Friday. Stay tuned.
NBA lockout talks have broken up again, reports ESPN's Chris Broussard. The scribe reports that owners and players remain a couple percentage points apart on the split of league revenue. The owners have proposed a 50-50 of the NBA's basketball-related income, which amounted to $3.8 billion last season. The players, who received 57 percent in the last deal, has stuck at 52.5 percent.
The distance between the league and union coming into Friday's talks amounted to roughly $100 million per season.
The two sides met for 22 hours on Wednesday and Thursday, and both NBA commissioner David Stern and union director Billy Hunter expressed optimism late Thursday. Numerous reporters also quoted sources who were hopeful a deal could be closed in on Friday and completed within a few days. The two sides only negotiated so-called "system issues" on Wednesday and Thursday, including luxury tax reform, salary cap exceptions and trade rules.
We'll keep you updated as information becomes available.
E-mails directing team employees to prepare for the end of the NBA lockout reported by Deadspin on Friday are not new occurrences, a league source tells SBNation.com. Similar e-mails preparing staff for the commencement of normal league operations have gone out during each major set of talks since August.
Top officials from the NBA and its players' union met for 22 hours on Wednesday and Thursday, with David Stern and union director Billy Hunter expressing optimism that a deal could be completed Friday or soon thereafter. Reports have surfaced indicating that the league has reached out to arena operators in an effort to maintain flexibility on late April 2012 dates, with the idea being that the regular season would be stretched until the end of that month if the lockout ends this weekend and an 82-game schedule is preserved.
Deadspin reported on Friday that employees of the New Jersey Nets and Philadelphia 76ers were gearing up to return to normal operations as soon as Monday.
Employees of the New Jersey Nets and Philadelphia 76ers have been told to prepare for the NBA lockout to be lifted soon, with "business as usual" in effect as soon as Monday, reports Barry Petchesky of Deadspin.
The New Jersey Nets ticket sales office, idle for most of the fall, is holding a series of hastily called meetings today under the theme "Be Ready." One staffer tells us that a department-wide email has been circulated, instructing employees that "it's time to get back to work." The short-staffed 76ers' team office has been told that Monday will be "all hands on deck," as per orders from the league.
Top officials from the NBA and players' union are meeting in New York City, ironing out pretty major issues left unresolved through Thursday's talks. Both NBA commissioner David Stern and union director Billy Hunter seemed encouraged that a deal could be reached as early as Friday in a chat with reporters after Thursday's session. The sides met for 15 hours on Wednesday and early Thursday and another seven hours on Thursday.
UPDATE: This type of e-mail to team employees is not new.
An amnesty clause approved as a part of an NBA lockout deal would not only wipe out players from the salary cap books, but it could be saved for two years, Marc Stein reported Friday. That has major ramificiations on how the amnesty clause will be used, and should lubricate the trade market heavily. Ben Golliber of Blazer's Edge notes that it may ensure that Brandon Roy remains with the Portland Trail Blazers next season.
Essentially, it would allow the Blazers to have another test-run year to see whether he can be a productive contributor over the course of a season and whether he can continue to turn games in the postseason. While Roy's 2011-2012 salary is set to be $15 million, far more than he would currently bear on the open market, the financial damage in overpaying for one season is far less than the risk associated with not amnesty'ing him under the old system and being forced to keep him through 2014-2015.
An amnesty clause approved in an NBA lockout deal might not be one that teams have to use immediately, reports ESPN.com's Marc Stein. Stein reports that San Antonio Spurs owner Peter Holt -- the chair of the league's labor committee -- is pushing to allow teams to hang on to their amnesty clause for at least two years. Steins says that the amnesty clause approved in 2005 had a two-week deadline.
That could be huge in terms of player movement, and would add a massive wrinkle to trade talks. If teams could save their amnesty clause, they may be more willing to acquire hefty contracts to land prized assets. As a direct result, teams like the Orlando Magic with multiple disastrous contracts could be able to rebuild more quickly, using their own amnesty clause on one player (like Hedo Turkoglu) and dealing another (like Gilbert Arenas) with an asset (like Ryan Anderson, Jameer Nelson or [gulp] Dwight Howard).
Of course, the biggest way that the new amnesty clause is different than the Michael Finley rule of 2005 is that cutting a player under the clause won't just give teams luxury tax savings: it will allow teams to shave salary cap space itself. This is going to have a major impact on the league's next four or five seasons.
Owners have moved away from a steeply punitive luxury tax system in the latest rounds of NBA lockout talks, reports SI.com's Zach Lowe. The league had been pushing for a graduated luxury tax in which the penalty increased as teams' payrolls got further from the salary cap. The old luxury tax system, in place for the past decade, was a simple dollar-for-dollar penalty above a threshold that ended up being roughly 20 percent higher than the league-set salary cap.
A few teams have seen fit to exceed the luxury tax threshold annually under the old rule; the Dallas Mavericks paid the tax in each season during which it was in effect, and the New York Knicks joined them every year until 2010-11, after GM Donnie Walsh cleared the decks for the 2010 free agent class.
Owners wanted a new system to make teams like the Mavericks, Knicks and L.A. Lakers -- who went $20 million over the tax line in each of the past two seasons -- think twice before adding players when they have already crossed the tax threshold. The players' union has reportedly agreed to strengthen the tax penalties somewhat, but wasn't willing to go as far as owners wanted to. We'll see where exactly the negotations end up.
This is separate but parallel to attempts by the league to regulate the types of moves teams over the tax line can make, which would essentially create two different salary caps in the NBA.
With the NBA lockout "on the cusp" of being solved, Yahoo!'s Adrian Wojnarowski reports that the biggest remaining issues on the salary cap system end of the negotiating spectrum is not with luxury tax reform itself, but with limitations on the use of the popular mid-level and bi-annual salary cap exceptions.
The exceptions were created in 1999 as a way to allow teams to add a couple of players above the minimum salary, even if those teams were over the cap. (In fact, teams could only use those exceptions if they were over the cap or less than the value of the specific exception in question under the cap.) The mid-level, in recent years, grew to as much as $32 million over five years. The bi-annual exception -- available for use by teams every other season -- is worth close to $4 million over two years.
Woj reports that owners still want to place limitations on the use of the mid-level and bi-annual exceptions for teams over the luxury tax line. There may be other issues with new regulations for teams above the tax, such as restrictions on sign-and-trades. But Woj indicates that the nature of the new tax -- which is expected to be more punitive than the dollar-for-dollar system used in the past -- is not a major issue in negotiations at this point.
The sides reconvene at 10:30 a.m. ET.
The NBA lockout talks ended early on Thursday night, but the two sides will meet again on Friday as they work to end the impasse between the owners and players associated in the three-month long mess. It sounds like the first thing addressed on the agenda Friday will be the revenue split, a point of contention throughout much of the talks.
It wasn't talked about during the open press availability, but former ESPN writer Chris Sheridan reports that the split of basketball related income will lead Friday's talks for better or worse.
Billy Hunter told the world the sides in the NBA lockout are "within striking distance of a deal," and he told SheridanHoops.com even more: "The BRI split is the very first thing we are going to try to tackle in the morning."
The BRI split wasn't even mentioned on Thursday as the Players Association economist wasn't in the meetings, but he was expected to return Friday as the two sides look to end the lockout and salvage some sort of 82-game season.
If a deal to end the NBA lockout deal is reached within the next few days, as is widely hoped and seen as plausible at this point, commissioner David Stern has said that the league would like to save as many games as possible, leaving open the potential for November games already cancelled to be added back in. To do that completely within the old regular season schedule would produce some nasty road trips. But the league may have another idea.
According to Howard Beck of the New York Times, the NBA has begun to ask arena officials to hold open dates in late April, with the assumption that the league would schedule regular season games beyond the traditional mid-April cutoff and push back the playoffs.
Arenas already keep a certain number of late April, May and early June dates open for postseason play (though there are always quiet battles for dates between the NBA and other major event circuits, like WWE). But every NBA arena would need to keep at least a few dates in late April open to shift the regular season there, and the playoff commitment would likely extend at least a week later, assuming that the league can't condense the first three rounds of the postseason by more than a week.
Since the start of the NBA lockout, commissioner David Stern and the owners have made no bones about their negative view of union lawyer Jeffrey Kessler, who has worked myriad collective bargaining effort for the National Basketball Players Association as well as the NFL's players' association. In its federal lawsuit seeking to block decertification, the NBA mentioned Kessler by name five times. NBPA executive director Billy Hunter was not mentioned once.
Kessler has not been at this week's fruitful lockout talks due to an urgent assignment in Russia. TrueHoop's ace Henry Abbott has talked to league sources who say Portland Trail Blazers owner Paul Allen wasn't brought in to the talks a week ago to make funny faces at the union, but to observe how impossible it is to knock Kessler off of his position.
Much was made of Portland owner Paul Allen's appearance in last week's mediated session. The suggestion was that he was there to send a message that owners were holding a hard line.
NBA sources, however, say it was nothing of the sort. In fact, they say, he was there at the invitation of the NBA's negotiators to watch Kessler. Allen was one of several owners who thought Stern and Silver had made players an overly generous offer of 50 percent of basketball-related income. The league's lead negotiators essentially replied: go see for yourself. You think you can get Kessler to go for 47 percent? Good luck to you.
Since Kessler left the room, the negotiations have seemingly gone smoother. The union has surely conceded some points, as the league definitely has. That leaves a burning questions for fans who want basketball and won't be affected one iota if the players take 50 percent or 51 or 52: Kessler isn't going to be back on Friday, is he?
After just seven and a half hours on Thursday, the NBA lockout meetings came to a close in New York, but it wasn't due to either side breaking off negotiations. Instead, after a long day on Wednesday, the two sides will regroup and get back at it on Friday, and both seem to be hopefully a deal is in the works. While the BRI split has yet to be discussed, all signs are pointing towards progress being made on the rest of the system issues.
Billy Hunter took on a different tone to close his press conference, perhaps hinting at some of the more positive aspects of the negotiations.
Billy Hunter's press conference signoff: "Commissioner Stern's back there smiling. I guess that's a good indication."
And there was this from Adrian Wojnarowksi.
David Stern standing in back of union's news conference, trading laughs with Hunter at podium. That's a first.
It does seem as though the NBA and players' union are both in good spirits after the marathon talks this week in New York. Whether it will result in a deal in the next few days remains to be seen, but these are the most encouraging signs we've seen during the drawn-out labor struggle yet.
The sign-and-trade, that old bastion of salary cap flouting that has allowed nominal stars win fatter contracts and high-spending teams to add stacks on stacks on stacks onto their payroll, has survived the latest round of NBA lockout talks, reports ESPN shark Marc Stein. Owners had sought to kill the sign-and-trade in order to help level out team payrolls, but have apparently conceded that request.
Stein also reports that still up in the air is whether teams over the luxury tax will be allowed to use the sign-and-trade. The players' union has expressed wide concern about the league creating a luxury tax line that effectively acts like a hard salary cap; putting restrictions on the types of moves that can be made at the tax line would fit that concern.
Sign-and-trade contracts are typically used in two situations: when a team near or over the salary cap wants to acquire a free agent and has an asset the free agent's incumbent team is interested in (see: David Lee to the Golden State Warriors) or when a free agent is leaving for a team with cap space but wants to sign a Birds right deal with its longer allowable terms and higher allowable annual raises (see: LeBron James and Chris Bosh to the Miami Heat).
Keeping the sign-and-trade around will help facilitate a high level of player movement. But its cost is payroll parity. The negotiation on the luxury tax clause will be an important one.
There is no deal to end the NBA lockout yet and nobody's quite sure how much progress is being made in the latest rounds of talks. While the sentiment from New York is that the talks are productive, we've seen the story before, and all it takes is on setback for everything to collapse. But it's still encouraging.
Even more encouraging, perhaps, is this nugget from Adrian Wojnarowski.
Signs of labor optimism: Team execs cancelling scouting trips, preparing for free agency. Agents quietly reaching out to teams on players.
As the negotiations have progressed, there's been little movement outside the room. If team executives truly are preparing for free agency and agents are springing to life, perhaps it means a deal could be coming. Or this could all be standard preparations for a season being made just in case everything works out in the near future. It's always good to be prepared!
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The sharp and stylish Sam Amick of SI.com has a kind, necessary note warning fans against getting too excited over all of the optimism glowing like a spotlight from the NBA lockout meetings in New York City this week. He reminds us that this isn't the first time that the league and players' union have made progress when attacking the stalemate with small groups of only the top negotiators. We all know what has happened on prior occasions.
[W]hat happens when hard-line owners like Cleveland's Dan Gilbert and Portland's Paul Allen re-enter the conversation Thursday afternoon? Or when the stars such as Boston's Kevin Garnett or the Lakers' Kobe Bryant weigh in on the fact that the 53-percent-BRI-line-in-the-sand has long since been crossed by the union? Stern himself got it right near the end of his early-morning media briefing, offering a bottom-line assessment that fans would be wise to remember.
"There's no deal on anything unless there's a deal on everything," he said.
Paul Allen's Death Stare can still ruin everything, you guys.
Mark Medina of the Los Angeles Times is a top-notch beat writer; he covers the L.A. Lakers extraordinarily well. But this passage responding to reports the Lakers' fat new TV deal emboldened revenue sharing hardliners strikes me as ... problematic.
As NBA lockout talks continue on Thursday, little has leaked about Wednesday's 15-hour session between top officials from the league and players' union. But Zach Lowe of SI.com reports that, just as was the case last week, luxury tax reform remains the greatest hurdle to clear when it comes to reaching agreement on salary cap system issues.
Lowe reports that while specifics of the owners' most current proposal are unknown, a source indicates that one facet that the union despises remains on the table.
Sources close to the talks indicated last Thursday that the league had softened the tax ratios, but that the multiplying penalties for routine payers remained. A source close to the talks tells me that remains true today-that the league has stood by the multiplied penalties for teams that pay the tax three or more times during a five-year span.
This type of regulation would serve to keep certain teams from becoming habitual taxpayers. One can't help but think of the New York Knicks and Dallas Mavericks when considering the proposal. The Mavericks have paid the tax in every season since it was established more than a decade ago; the Knicks have only avoided it once in the past decade, in 2010-11.
It'll be interesting to see whether the union remains steadfast against any multiplier effect, or will accept a dampened multiplier rule.
Kevin Murphy, a Univeristy of Chicago professor, MacArthur fellow and National Basketball Players Association economist, did a rare interview with NBA.com's fabulous Steve Aschburner, and it's a doozy. Murphy, who has been heralded as one of the smartest economists in the United States, began working for the players' union in the run-up to the 2005 collective bargaining negotiations. The NBA escaped a lockout that time around as David Stern agreed to a deal containing relatively minor concessions from the players. The league hasn't been so swift to settle this time around.
Perhaps the most head-smacking part of Murphy's conversation with Aschburner revolves around the incentive for owning an NBA team, considering that the league is losing money. Six teams have changed hands in the past two seasons, making observers skeptical that the league is in as bad a position as it claims to be.
Here's Murphy on the tax benefits of franchise ownership, even when the team's losing money.
[H]istorically, you've seen franchises appreciate in value and that appreciation has more than outstripped any cash-flow losses that you've had. And if you're in the right tax position, it's actually pretty good because you've got a tax loss annually on your operating and you've got a capital gain at the end that you accumulate untaxed until you sell it and then pay at a lower rate. So you get a deferred tax treatment on the gains and an immediate tax treatment on the losses, that's not a bad deal.
He goes on to give an example to flesh it out. The entire piece is a must-read.
Optimism has captured the hearts and souls of many a basketball fan during the NBA lockout before being cruelly pulled away like Lucy all too often pulled the football out from in front of Charlie Brown's foot. Once again, however, the negotiations have opened up room for optimism.
Wednesday's meetings apparently went well as the owners and players met for more than 15 hours before agreeing to resume talks at 2 p.m. Thursday afternoon. If Yahoo! Sports' Adrian Wojnarowski's source are right, and they usually are, it sounds as though Thursday might be the day to get a real deal done.
"Clearly, things happened [in recent days] to get this from a ‘sad, sad day for the NBA' and ‘you were just lied to,' to a current tenor where all signs point to the real possibility of a deal," one source briefed on the talks late Wednesday told Yahoo! Sports.
Another of Wojnarowski's sources said that "they need [Thursday] to punch it over end line," lending credence to the idea that the two sides are close enough that just a couple of details need to be agreed upon before a deal is reached.
Now all basketball fans to need to hope for is anything but another epic disaster and further delays to the NBA season.
David Stern is solely responsible for the current NBA lockout. No one else.
The two sides are forced to hold relatively firm to what percentage of the pie they are getting because the pie is not growing at a meaningful rate. Stern, for 26 years the league's commissioner, has never been able to lead growth, and no one should have any confidence that he will do so in the future.
This is not to say that under Stern's leadership, the NBA has not grown gross revenues substantially. The league has and Stern was handsomely rewarded for this top-line growth with an enormous contract of at least $10 million, or roughly 5 percent of the total difference now between the players and the league. But unfortunately, the growth under Stern has been incredibly misleading for a couple of different reasons
First, the league's growth was largely built around aggressive and successful marketing by sporting goods manufacturers, Nike in particular. Nike developed the marketing messaging that drove league growth as Stern took over, and the company spent significantly to amplify the message. The company's goal was to sell product, namely shoes. To do so, the marketing messaging revolved around players. Hence the focus on marketing brands like Jordan, Bird and Magic. This brought new life to the business of the NBA, and increased television and ticketing revenues, but it undercut the brands that David Stern represents as commissioner -- the teams.
As such, the team brands were never built properly. With a few exceptions -- the L.A. Lakers, New York Knicks and Boston Celtics -- the team brands have suffered. Just look at the Philadelphia 76ers.
The upshot of that is that most games are meaningless from a marketing standpoint. While the season is long and most games do not have the urgency of playoff implications, many other sports are able to generate interest under the same circumstances having created loyal followings to the teams. The league's short-term strategy of focusing on individual players continues today, with LeBron James, Dwyane Wade and Chris Bosh being heavily marketed instead of the Miami Heat. Baseball has a Big Three, too: A-Rod, Mark Teixeira and Derek Jeter all play on the same team; but it is presented in every bit of league marketing as the New York Yankees.
Second, Stern compounded the problem of declining team brands by adding more brands through expansion. The NBA already had under-marketed brands in many markets when it decided to take short-term cash by selling franchises into markets like Vancouver and a post-millennial Charlotte.
Third, Stern has executed poorly with emerging opportunities, some that are natural fits for the league he runs. Many examples stand out, such as the failure to deliver a quality digital offering or TV network; Stern ultimately turned over control of those valuable distribution channels to Turner. While fantasy sports has taken off like Dr. J coming in for a tomahawk dunk, not so fantasy basketball. Likewise, despite the international appeal of basketball as compared to American football and baseball, it does not appear the NBA has figured out how to capitalize on the opportunity beyond a few games in London and China. Instead, it appears that Stern has instead focused on vanity projects like the NBA Store in NYC. Notice that the massively popular NFL doesn't have a brick-and-mortar store, but does run its own robust NFL Network and digital offerings.
All of this should not be surprising, as Stern has faced very little pressure to deliver -- the majority of Stern's constituents bought into NBA at very low price points and have seen their assets appreciate grandly. Moreover, Stern has strong public relations skills, enabling him to manage his theoretical bosses. The lack of pressure has changed recently with owners losing money. No matter how wealthy someone is, no business owner wants to lose money. Probably more impactful, many in the old guard are selling to highly leveraged buyers, which will likely create an impetus for leadership change so they can get an appropriate return on their investment. But this is in the long term. In the short term, with heavy positioning from Stern himself, owners are focusing on re-cutting the pie, when the real answer is to grow the pie. Unfortunately, the only recipe Stern knows is PR.
After a quarter of a century, it appears the answer for the NBA is to replace the lawyer in charge with someone with the marketing and business acumen to grow the asset value of the teams, and thereby the league. By better marketing the teams and the league, the NBA can ensure that its pie keeps getting bigger, like those of the NFL and MLB. That could happen as the ownership ranks change, but it's already too late to prevent another blow to the league in the form of a season shortened by a lockout. For fans, it is a pie in the face.
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Tyler Goldman is CEO of BUZZMEDIA, digital's fastest growing entertainment publisher with a worldwide audience of 112 million monthly users. BUZZMEDIA publishes many of the web's most well known entertainment and music properties like Celebuzz, The Superficial, Stereogum, Buzznet and HypeMachine. Prior to BUZZ, Tyler was involved in founding Broadband Sports and Movielink, was a venture capital attorney at Wilson, Sonsini and a sports attorney at Steinberg & Moorad. He attended law and business school at Northwestern after Dartmouth College. Tyler lives in Los Angeles but still has season tickets to the Warriors and hopes his sports editorials will not detrimentally impact the future location of his seats.
The NBA lockout talks have continued off and on with quite a bit of rhetoric from the two sides and seemingly not a lot of real movement toward a new Collective Bargaining Agreement. That is seemingly on pace to change sometime Thursday, however, as Billy Hunter set high expectations for the two sides' second meeting in as many days.
Hunter, the National Basketball Players Association executive director, was a key figure in the last lockout and has been just as important in the current state of affairs so he should know what he's talking about. And, if his quote from early Thursday morning isn't being taken out of context, it seems as if Hunter could be bringing everyone good news sometime soon.
"I think depending on how much progress we make (Thursday), we'll be in a better position to be more explanatory and definitive about the specifics of the deal," Hunter told reporters following Wednesday's marathon meeting according to CBS Sports' Ken Berger.
"Specifics of the deal," for those that needed the explanation, promotes the idea that a deal would actually be in place following a decent day of negotiating session on Thursday. And that, as Martha Stewart might say, would be a good thing.
The NBA lockout has already forced the outright cancellation of the first two weeks of the NBA regular season after previously counting training camps and preseason games as its first casualties. Commissioner David Stern said that there's still a possibility of an 82-game schedule if the collective bargaining agreement is solved soon, however.
Stern was a part of a small negotiating committee that met into the early hours of Thursday morning in hopes of saving the NBA season -- or at least the cancellation of more games -- and while applying a tourniquet that shouldn't have been required, he also gave some hope for those that prefer watching a basketball season in its entirety.
"Whether that gets to be 82 games or not is dependent upon so many things that have to be checked,'' Stern told reporters after the marathon negotiating session. "We just think we've got to do it soon."
Alright, so an 82-game schedule will be difficult to pull off -- the season likely won't start until four weeks after a deal has been reached -- but at least it still remains a possibility.
NBA lockout talks reconvened on Wednesday in New York City, and representatives from the league and players' union had their longest bargaining session yet, stretching 15 hours, into the wee morning on Thursday. Afterward, in comments to the exhausted media, each side agreed that progress had been made on salary cap issues.
"We were able to work through a number of different issues today regarding our system," union president Derek Fisher said. "We can't say that major progress was made in any way, but some progress was made on system issues. Obviously enough for us to come back."
The two small groups will return to the bargaining table on Thursday. NBA commissioner David Stern left open the possibility of getting all 82 games in if a deal is agreed to by this weekend. That would take some real acrobatics, given that everyone projects the earliest regular season game from the day a handshake deal is reached is about 30 days out.
NBA lockout talks resumed on Wednesday, and CBS Sports' Ken Berger offers the best news we've had in months: a source says that owners and players are "inching closer to a deal."Owners dropped their precondition on the players accepting a 50-50 revenue split before negotiating the league's proposed "system changes," setting up Wednesday's session. But that doesn't mean the league was necessarily willing to move off of 50-50, especially considering that the owners made the same demand two weeks ago. (They came off it of it then, too.)
This could be a mirage, but that willingness to negotiate again could signal a willingness to move on the major issues. Perhaps the quickly approaching practical deadline to reach a deal before all of November is lost can jolt the sides into compromise. Or perhaps thicker heads can continue to prevail. We should know more by the end of this week, as the two sides seem incapable of meeting for more than three days in a row.
Back on October 3, NBA lockout talks broke down for the first of three times this month. The reason: the owners were unwilling to negotiate salary cap system issues unless the players accepted a 50-50 revenue split, which represents a 17 percent pay cut in the aggregate. Players tried to schedule additional bargaining sessions with the league, reported Ken Berger on October 7, but the league used 50-50 as an ultimatum.
The players didn't cave. The two sides met anyway. Talks broke down over system issues, namely the luxury tax.
Last Thursday -- just two weeks after the first 50-50 ultimatum flapdoodle -- the league pulled the same exact stunt with the exact same 50-50 split.
When a few top officials from the league and players' union rekindle NBA lockout talks on Wednesday, it will not happen under the precondition that players accept the owners' 50-50 revenue split proposal, reports Chris Sheridan.
Talks broke down last Thursday when owners, led by San Antonio Spurs boss Peter Holt, told representatives from the players' union that no further negotiations on changes to the salary cap system would be held until the players accepted the league's proposed 50-50 split of revenue. Players balked at the ultimatum, talks broke off and federal mediator George Cohen bolted for the exits.
Accepting a 50-50 split would represent a drawdown in total player salary of about $280 million compared to last season. The NBA has claimed its teams lost $300 million last season. The union has contended that half of those losses stem from depreciation and interest payments on debt -- losses that are fine to report to the IRS but that have no place in the discussion when asking for severe employee concessions.
It's unclear if the two sides will get anywhere, but having them in the same room is better than not.
We in Sacramento know that you can find a way to blame everything on Kobe Bryant, so it's no surprise that the following narrative has now sprung up. ESPN's Brian Windhorst writes about the infamous letter to David Stern penned by eight small-market owners in 2006 asking for wholesale changes to the league's economic system. Those 2006 concerns are now driving the NBA lockout, with all owners seeking substantial cutbacks in player salary and a number of owners pushing hard for serious revenue sharing.
But the actual nudge toward this reality was, according to one of Windhorst's anonymous sources, the massive L.A. Lakers' TV deal signed last year.
"That Lakers' TV deal scared the hell out of everybody," one league official said. "Everyone thought there is no way to compete with that. Then everyone started thinking that it wasn't fair that they didn't have to share it with the teams they're playing against."
The Lakers' deal with Time Warner Cable, which goes into effect in 2012, is worth $150-200 million per season. The Sacramento Kings, by comparison, make $14 million a season from local TV revenue.
While the structural issues existed before Jerry Buss acquired his newest vault of gold, the Lakers' new TV deal apparently only exacerbated them. In other words, Lakers TV made the income disparity in the NBA real.
President Barack Obama made an appearance Tuesday evening on The Tonight Show with Jay Leno where he talked about foreign policy, Occupy Wall Street and the NBA lockout among other things. While all of it was rather interesting as there aren't many opportunities to watch the President of the United States on a late-night talk show, the President's talk of the NBA negotiations stood out in the video of the interview.
Obama, a noted basketball enthusiast, has previously went on record saying the NBA lockout has him heartbroken. He reiterated that fact on Tuesday night while explaining the NBA should solve it's lockout just like the NFL did.
The NBA was expected to cancel another round of games on Tuesday, but the day came and went without any word regarding further changes to the (hopefully) upcoming season's schedule. The reason for that, apparently, was due to the fact that the NBA lockout negotiations will continue in New York on Wednesday.
The talks won't include the large groups that were in attendance last week when negotiations for the next Collective Bargaining Agreement, but rather just the key negotiators as they look to get everything back on track. Newsday's Alan Hahn was the first to report the details.
A person with knowledge of the situation told Newsday that the sides will get together in Manhattan to resume talks that broke down last Thursday after three days of mediation. It is not known if the NBA has dropped its precondition that the union agree to a 50-50 split of league revenue, which was what union executive director Billy Hunter said led to the owners abruptly ending what had been viewed as constructive talks presided over by federal mediator George Cohen.
If either side has decided to resume negotiating the split regarding Basketball Related Income, this meeting could mean something ... but, as basketball fans are surely well-versed, it doesn't pay to get anyone's hopes up until something definitive happens.
NBA owners are meeting Tuesday to discuss the league's revenue sharing program, reports Henry Abbott of ESPN/TrueHoop. Revenue sharing reform is on what league officials have described as a "separate but parallel track" from NBA lockout talks. As such, the players' union is not directly involved in negotiating a more robust revenue sharing program, but reforms to that system inform and are informed by the ongoing battle over a new collective bargaining agreement between the players and owners.
Lockout talks stalled again Thursday, as owners were unwilling to negotiate so-called "system issues" without the union first agreeing to a 50-50 split of revenue. In the previous agreement, players earned 57 percent of the league's basketball-related income.
Players have pushed for stronger revenue sharing, something also sought by a swath of hardline small market owners who blame the league's imbalance on big-spending teams in larger markets. Union director Billy Hunter has frequently called into question the owners' unity, citing differences of opinion on the need and fairness of robust revenue sharing.
A report from the New York Times last week suggested that in the revenue sharing reforms proposed, the L.A. Lakers and New York Knicks would pay in $50 million and $30 million respectively, and small market teams would take up to $15 million in shared revenue annually.
Representatives from both sides of the NBA lockout spoke on Monday, reports ESPN's Chris Broussard. It's unclear what exactly the discussion entailed and how long it lasted, and no new formal negotiations have been announced. But the league and players' union are in fact communicating.
Billy Hunter, the director of the players' union, said Monday on Bill Simmons' podcast that the union will meet with the league to resume negotiations provided that owners become willing to negotiate without players accepting the proposed 50-50 revenue split as a precondition. That ultimatum reportedly led to the dissolution of talks on Thursday, and has put another two weeks of regular season action in jeopardy.
The NBA and players' union negotiated for three straight days last week, a record high during this lockout. In comparison, the NFL and its players' union negotiated for 16 straight days about a month before its lockout even began.
The NBA lockout will claim two more weeks of the regular season on Tuesday as commissioner David Stern will cancel an additional 102 games, report Frank Isola and Mitch Lawrence of the New York Daily News. If the report is accurate, Stern will have cancelled 202 games -- or 16 percent of the regular season, plus the entire preseason -- as a result of locking out players while the sides fight over a new collective bargaining agreement.
Talks broke off for the third time in three weeks on Thursday, as federal mediator George Cohen was unable to break a stalemate on the revenue split players would earn under a new deal. Players had earned 57 percent of league revenue over the last decade. The league refused to negotiate the rest of the collective bargaining agreement last Thursday unless the union conceded to a 50-50 split of revenue. The players have gone as low as 52.5 percent.
New York Knicks owner James Dolan would like the NBA Lockout to be over and done with, according to Knicks guard and vice president of the Players Association Roger Mason Jr.
"You can look at it and say the majority of owners don't want a deal," Mason told The Post yesterday from his Los Angeles home. "But there are owners eager to get a deal done. At this moment they are overshadowed by a contingent of owners who are trying to get everything they want in a new CBA."
Mason then said that Dolan was among the owners "who's ready to get back to work."
As much as a prolonged lockout that reworks their arrangement with the players could reap long-term benefits for the NBA owners, they're going to suffer greatly in the short-term. It's understandible that some of the owners might not be too happy with watching their home arena sit empty of what would have been game nights.
NBA commissioner David Stern is expected to cancel more games in the 2011-2012 NBA season this week.
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The 30 hours of ultimately doomed NBA lockout negotiations held last week under the wathcful eye of federal mediator George ohen weren't completely fruitless, reports Chris Sheridan. The league and players' union did reach agreements on a number of smaller issues at play in the stoppage.
Sheridan reports that league officials agreed to shrink the restricted free agency window from seven days down to 3-4 days at the behest of the players. Under the old system, once restricted free agents signed offer sheets with non-incumbent teams, the players' previous team had up to seven days to match the offer and maintain the players' rights. This can create a hazard for teams looking to sign restricted free agents, as their cap space is tied up until the other team makes a decision. (Teams rarely match or decline offers before the seven-day window is close to ending; one notable exception is Josh Smith in 2009, as the Atlanta Hawks matched the Memphis Grizzlies' offer almost immediately.)
The other tweak nearly agreed upon would loosen up trade rules. Under the old system, teams over the salary cap had to send out contracts worth roughly the same annually as those coming in -- the window there is 125 percent plus $100,000. The union has pushed to expand that wiggle room to up to 225 percent; the league has agreed to open it up a bit, but only to 150 percent. One assumes a deal point can be found between.
But of these specific tweaks will open up the league to more player movement in theory. Hurray for trade deadline day!
The NBA won't open its book to the public in making its lockout case. But an anonymous (for now) usher at the Rose Garden, where the Portland Trail Blazers play their home games, has. Via Blazer's Edge, an usher reveals how much money he stands to lose from each game cancelled by the NBA. The most interesting note is that more than half of his Rose Garden income derives from Blazers games. That might be more than in more cosmopolitan cities, but it's pretty eye-opening.
The NBA lockout negotiations have not been ending acrimoniously as every meeting seems to end with only dooms day in sight. The most recent meetings seemed to end even worse than the rest, but talks will "probably" resume at some point next week regardless.
Howard Beck of the New York Times brings the optimistic approach regarding the next round of negotiations.
Yet on Friday, people on both sides of the divide, speaking off the record, predicted there would be a phone call or two over the weekend and probably another meeting next week. That has been the pattern all month: every dramatic breakdown followed by a brief silence and then a surprising resumption of talks.
Beck also reported that there were actually things agreed upon during the 30 hours of meeting last week, at least for the time being, included the much-talked about "amnesty clause."
¶ There will be a one-time "amnesty" provision that will allow each team to waive a player (with pay) without his salary counting against the salary cap.
¶ There will be a "stretch" exception, available every year, allowing teams to waive players and stretch out their remaining salary over a number of seasons, thus reducing the annual salary-cap hit.
¶ The midlevel exception will be set around $5 million, a decrease of $800,000, but more than double what the owners were seeking.
Obviously this is not the time to get anyone's hopes up, but at least it's better than nothing?
In the latest bit of information that proves the NBA lockout is not on course for a happy ending, the NBA is allowing team's arenas to open dates that were previously held for scheduled regular season games. This means that, if the NBA does begin anytime soon, the schedule will have to be revamped as concerts and rodeos will take place of the previously scheduled basketball games.
Kevin Ding of the Orange County Register was the first to report on the new deal struck between the NBA and its team's playing facilities.
According to a statement from the NBA: "With the cancellation of the first two weeks of the season, the NBA schedule would have to be reworked and certain dates - including Dec. 13 for a Lakers game at Staples Center - would not be part of any revised schedule."
Actually, it's two additional NBA games already on the move, because the league did the same thing to accommodate another Jay-Z and Kanye show at Chicago's United Center on Nov. 30, when the Bulls are currently scheduled to play the San Antonio Spurs.
This could simply mean that the NBA has a contingency plan -- SB Nation's own Jon Bois recently looked at various possibilities -- in place that includes a revamped schedule with different dates being used that don't include the above games. It would have seemed quite a bit easier to keep that part of the schedule reserved, however ... at least until the next round of cancellations wipes out those games anyway.
More wonderful nuggets of the exploding animosity between owners and the players union are coming forth by the second after Thursday night's failed mediated negotiating session, but perhaps none more explosive than this, if it is indeed true:
This sort of thing sounds a little too much like spin to take the source at face value, but I believe the intention was there. It's not that they want the NBPA to feel more pain, it's that the owners think with more pain, the players will back down more.
Derek Fisher had a few things to get off his chest after Adam Silver and the NBA side had their turn at the podium on Thursday. Fisher just let it all out as he opened his comments by calling out the owners, blasting the lies that had been told and railed against negotiations he called a sham.
Fisher opened with a purpose, telling reporters:
"I want to make it clear: You guys were lied to earlier."
"They're interested in telling you one side of the story that is not true."
"There were comments coming out of (NBA news conference) that were simply not true..."
Just minutes earlier, Silver told reporters the players had refused to come down from a 52.5 percent revenue split, citing it as the downfall of the latest round of talks.
Fisher: 50-50 was a move that was made Oct. 4 "Obviously they have no intention of moving from 50."
"We made several moves on the tax...Brought it down...They're dead set on running the table."
The press conference was basically a large venting session, but that didn't make it any less fun. Fisher showed plenty of fire while going after the owners and accusing them of being less than honest, both at the negotiating table and to the public.
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There was no negotiating the 50-50 BRI split, according to NBPA union executive Billy Hunter, and that's why the talks broke down on Thursday. Hunter told reporters the union was presented an ultimatum by the owners, and even with a mediator present, the 50-50 split was non-negotiable.
Hunter says he looked at mediator's notes, and they said Holt and Silver described 50-50 as "take it or leave it."
Hunter had his theories on the split, and explained why the union was reluctant to take it during the mediation sessions this week.
Billy Hunter saying again that this whole process was "pre-ordained" to break the union. Says owners gave union "ultimatum" on 50-50 split.
Hunter says players won't accept the 50-50 split until players know what the system -- lux tax, exceptions -- lools like.
If Hunter is to be believed, the union was essentially flying blind, without a clue what the so-called 50-50 split meant in terms of the complete structure of the deal. It appears the long hours with the mediator and marathon meeting sessions were for naught as the BRI split was, once again, the sticking point that killed any momentum in the talks.
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Because of course Dan Gilbert was the one leading the NBA owners into battle. Of course he was.
[Billy] Hunter says Cavs owner Dan Gilbert kept telling him to "trust him" that they would come up with system agreement if union agreed to 50-50
Hunter's response: "Why should I trust you?" At this point, Gilbert slid a sheet of paper across the table without saying the word. On it, written in Comic Sans, were the words, "Just do it."
In related news, the lockout talks broke down. Imagine that.
Federal mediator George Cohen said there was "no useful purpose" to continue NBA lockout talks on Thursday after officials from the league and players' union again reached an impasse on the revenue split issue. In a statement released as NBA deputy commissioner Adam Silver and San Antonio Spurs owner Peter Holt explained why owners and players broke off the talks, Cohen said that mediated negotiations held from Tuesday through Thursday were productive, there was no point to keeping the sides in a room.
"As a follow up to the NBA's and NBA Players Association agreeing to my invitation to conduct negotiations under the auspices of the FMCS, three days of mediation have taken place," Cohen wrote. "During this period, a wide variety of issues were addressed in a professional, thoughtful manner, consistent with what one would expect to take place in a constructive collective bargaining setting.
"Regrettably, however, the parties have not achieved an overall agreement, nor have they been able to resolve the strongly held, competing positions that separated them on core issues.
"In these circumstances, after carefully reviewing all of the events that have transpired, it is the considered judgment of myself and Deputy Director Scot Beckenbaugh, who has been engaged with me throughout this process, that no useful purpose would be served by requesting the parties to continue the mediation process at this time. For our part, the Agency has advised the parties that we will be willing and prepared to continue to facilitate any future discussions upon their mutual request."
NBA deputy commissioner Adam Silver, in announcing that NBA lockout talks had broken off on Thursday, said that once the owners moved their revenue split proposal to 50-50, the players' union moved to a 52.5 percent share and would not go further. Players were mandated 57 percent of NBA revenue over the past decade, and prior to Thursday had offered to drop to 53 percent. The owners themselves were at 53 percent on Wednesday -- though commissioner David Stern had said in the past he could sell his owners on 50 percent.
Silver did not announce further cancellations on Thursday, but those are due to come with the league and union not planning to meet again anytime soon. The regular season was slated to begin on November 1, but Stern cancelled the first two weeks of the season 10 days ago. One hundred games were lost in that round of cancellations.
The 2.5 percent of NBA revenue that separates the owners and union at this point amounts to roughly $100 million per season.
NBA lockout talks broke off for the third time in three weeks on Thursday as federal mediator George Cohen apparently could not get officials from the league and players' union to make major concessions on the key hurdles holding up the 2010-11 season. Yahoo!'s Adrian Wojnarowski was the first to report that talks had broken off after 7 p.m. on Thursday with no further meetings scheduled.
Woj also reported that a failure to reach an agreement on a revenue split is what did the latest talks in. Before Cohen got the groups together on Tuesday, each side wanted 53 percent of revenue in a new deal, with the other side taking 47 percent. (Players had received 57 percent of revenue in the recently expired deal.) The league had reportedly moved to a 50-50 offer by the end of Wednesday's session, but apparently the union would not meet them there.
The first two weeks of the regular season -- some 100 games -- had already been cancelled by NBA commissioner David Stern. More cancellations are expected.
The NBA's new revenue sharing plan -- being negotiated by owners on a parallel track to the ongoing NBA lockout talks with the players' union -- could net small-market teams up to $15 million per year, reports the New York Times' Howard Beck, citing a source who has seen the plan. Large-market teams would be funding the program, with the high-revenue L.A. Lakers in for an estimated $50 million per year and the New York Knicks expected to contribute up to $30 million.
The NBA has a modest revenue sharing plan already, with a total of up to $60 million shared between teams. NBA commissioner David Stern had said that he expects owners to approve a plan to triple that level of revenue sharing.
NBA owners discussed the revenue sharing plan at a meeting Thursday morning before league officials and top representatives of the players' union reunited with federal mediator George Cohen for additional lockout talks late Thursday. The first two weeks of the regular season have already been cancelled.
The NBA lockout talks continue to progress ever so slowly, but there is one new idea that has reportedly crept into discussion that could be a tempting compromise for both owners and the NBA Players Association. Yahoo! Sports' Adrian Wojnarowski is reporting that the owners have floated the idea of a "bonus pool" where young players on rookie contracts would receive performance incentives if they achieve certain honors.
The owners also are proposing a "bonus pool" of money for high-achieving young players with performance-based incentives. Under the proposal, players would be rewarded for winning Rookie of the Year and making All-Star teams and other accomplishments.
This idea stems from the NBPA's desire to see players who are superstars on rookie contracts, such as Derrick Rose and Blake Griffin, get quicker access to extensions. Currently, new deals can only go into effect after the fourth year of their careers.
In addition, Wojnarowski reports the two sides are close to agreeing on a new mid-level exception starting at $5 million with annual raises for up to three years. The owners wanted the length to be dropped to three years, and the players agreed.
As the NBA convenes in New York City for owners' meetings and continued meetings with the NBA Players Association and federal mediator George Cohen, there's one man missing: NBA commissioner David Stern. The NBA's deputy commissioner, Adam Silver, announced on Thursday that Stern was not present at the NBA owners meetings and will miss the labor talks, as well.
Stern has the flu, according to Silver, and has spent the day at home. Lest we mistake his absence for a sign that talks will stall today, Silver assured the assembled media that Stern has been checking in on progress with text messages and e-mails. What's more, Silver has been the lead negotiator for the NBA all along, so Stern's absence doesn't necessarily change things in a practical sense.
David Stern may be the man who's ultimately responsible for signing off on any deal, but that doesn't mean the two sides can't make plenty of progress without him. And hey, look! It seems like they may have finally figured out a mid-level exception. Maybe this flu is a blessing...
NBA deputy commissioner Adam Silver spoke to reporters briefly after meetings between the league's owners wrapped up Thursday and just before NBA lockout talks reconvened in New York. Silver, the league's lead lockout negotiator, took the podium because his boss David Stern is out with the flu. In response to a question about reports of the potential for an 82-game schedule despite Stern's previous cancellation of the first two weeks of the regular season, Silver hedged and said he was unsure if that was possible.
While it was vague and less than noncommittal, that he didn't dismiss the suggestion outright represents a different line than what the league has been offering since Stern announced the cancellations last week.
K.C. Johnson of the Chicago Tribune reported Thursday that a league source indicated that if a deal is reached this week, an 82-game schedule could still be made a reality. However, with the London Olympics beginning on July 28, the NBA would be in a massive time-crunch to get the season tipped off.
As part of their plan for more competitive balance within the league, NBA owners have proposed an amnesty clause mechanism during their talks with the National Basketball Player's Association towards a new collective bargaining agreement, Ken Berger of CBSSports.com reports.
According to Berger, the proposed amnesty clause would allow teams to waive a player and have up to 75 percent of his contract removed from the team's salary cap and luxury tax, with the remaining balance prorated against the cap over the remaining number of years on the contract. Players would still receive 100 percent of their guaranteed contracts, but the league would move to an NFL-style salary cap management tool as they adjust to the new system..
A third day of mediation between the NBA and NBPA with George S. Cohen of the Federal Mediation and Conciliation Services is expected to commence in New York City on Thursday afternoon following the league's board of governors meetings on Wednesday night and Thursday morning.
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The NBA lockout talks seem to be moving in a positive direction since federal mediator George Cohen entered the discussion on Tuesday. Apparently Mark Cuban, owner of the Dallas Mavericks, has also stepped up this week as the league and its players look to halt the canceling of more regular season games.
The biggest issue, at least the one that is talked about the most, has been the distribution of Basketball Related Income as the owners are hoping to drastically drop the amount of revenue the players get from 57 percent to 47 percent this season. Fortunately, it seems Cuban is helping to bridge that gap.
In fact, a source briefed on the talks told NBA.com's David Aldridge that there won't be a problem on the split. Dallas owner Mark Cuban reportedly was helpful in moving the owners and the players -- each of whom had wanted 53 percent of BRI (the old split favored the players 57/43) -- toward the middle.
The latest talks are that the two sides could agree to a split closer to 50-50, though nobody really knows what will happen until a new Collective Bargaining Agreement is signed.
Long NBA lockout talks on Tuesday and Wednesday have led to tangible progress on at least one major issue, as Yahoo!'s Adrian Wojnarowski reports that owners and the players' union have gotten closer on the revenue split.
As long expected, the two sides have moved closer to a "50-50 split, give or take a point with ranges based on revenue performance," one source said.
The two sides had been stuck on 53-47 offers, with the league and union respectively desiring the bigger share. In the recently expired collective bargaining agreement, players took 57 percent of basketball-related income, some $2.1 billion last season. The 53 percent share the union had been offering in talks represented salary concessions of $140 million for next season, in addition to a virtual concession of escrow funds amounting to 8 percent that teams keep on hand to balance the split at the end of the seaosn.
Woj went on to quote anonymous executives who were hesitant to characterize the revenue split movement as a "breakthrough." Owners will discuss revenue sharing on Thursday before talks reconvene in the afternoon.
You think you miss NBA basketball? Think about how much the mayors of cities like Salt Lake City and Sacramento, who count on NBA games to bring much-needed revenue into town, feel about the lockout?
Salt Lake City Mayor Ralph Becker, Sacramento Mayor (and former NBA star) Kevin Johnson an 12 other mayors from NBA cities have signed an open letter to the NBA and the players, hoping to persuade the two sides to resolve the labor-deal impasse and get the 2011-12 season going.
We are proud to call our cities home to NBA franchises. As basketball fans, we know winning and losing is part of the game. Rest assured; everyone loses if there is no season.
The mayors don't know what impact, if any, their letter will have. However it's once again a nice reminder that the millionaires at the middle of this debate aren't the only ones missing out on money right now.
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Federal mediator George Cohen announced Wednesday evening that NBA lockout talks would continue on Thursday at the conclusion of owners' meetings in New York City. The two sides met with Cohen for 16 hours on Tuesday and early Wednesday, and again for nearly nine hours on Wednesday. Tuesday marked the first negotiating session between the league and players' union since NBA commissioner David Stern cancelled the first two weeks of the regular season on Oct. 10.
Cohen offered no insight on the state of negotiations, and reiterated that he has asked league and union officials to stay mum. Cohen has no authority in his role as mediator, but both sides have heretofore acceded to his wishes.
The NBA has not cancelled additional games as threatened by Stern in comments to the media late last week. Stern had said that without a deal by the end of Tuesday, he could cancel games through Christmas.
NBA commissioner David Stern left a mediation meeting with players with attend a NBA Planning committee Wednesday, according to Adrian Wojnarowski.
NBA spokesman says David Stern left hotel to meet with NBA's Planning Committee meeting, but Adam Silver continues to meet with NBPA.
Stern left with Celtics owner Wyc Grousbeck for NBA Board of Governors Planning Committee meeting, which centers on revenue sharing.
Silver, deputy commissioner, and Spurs owner Peter Holt are still meeting with mediator and union officials.
What does it mean? Possibly nothing. With other notables still in the mediation, it's not as if the owners walked away from it. Still...Stern had to know his action would be noticed.
Expect the mediation to continue and expect Stern to be back at the table sooner or later.
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The band will get back together on Wednesday at 10 a.m. ET to continue NBA lockout talks that stretched for 16 hours on Tuesday and early Wednesday. David Stern, Billy Hunter and the bargaining committees for each side will again meet with federal mediator George Cohen, who began work on the lockout on Monday.
After meeting with each side separately on Monday, Cohen led a bargaining session more than twice as long as any that came before it. The league and players' union have been unable to make progress despite heavy negotiating over the past month, and it appears that Tuesday was no exception, as not one reporter passed on leaked info that pointed to real progress on the major issues that vex the sides.
It seems unlikely that the Wednesday talks will go around the clock; NBA owners are in New York for league meetings, some of which have been rescheduled to allow for lockout talks early Wednesday.
NBA lockout talks spanned 16 hours on Tuesday and early Wednesday, with federal mediator George Cohen keeping negotiators from the league and players' union in a conference room from 10 a.m. ET until 2 a.m. But reports out of New York suggest no major progress was made during the session, which has been cast as a "building blocks" meeting for a Wednesday session.
From Ken Berger of CBS Sports:
At one point late into the night, it was decided that the two sides needed to come back later Wednesday -- a session that is expected to decide whether the change of format and removal of emotion will yield movement in each side's position. A person with knowledge of the talks described Tuesday's session as laying the "building blocks" for Wednesday.
NBA owners had been scheduled to meet among themselves to review revenue sharing plans and lockout deal points, but the league's labor committee will instead reconvene with Cohen and players' union reps at 10 a.m. ET on Wednesday. Yahoo!'s Adrian Wojnarowski reports that any progress made Tuesday came only on small items.
Asked if the sides had closed any gaps between them, a source in the meeting told Y! Sports: "On small stuff. Hard to see where this is going."
The city of Memphis will consider suing the NBA and the Grizzlies to recoup losses caused by the ongoing NBA lockout, according to Lauren Lee of MyFoxMemphis. Memphis' city council approved a resolution on Tuesday that allows city staff to explore paths to reimbursement, including litigation, should the city be forced to pick up the tab for up to $18 million in bond payments usually covered by revenue generated at FedEx Forum by Grizzlies home games.
The league has cancelled all of the preseason and the first two weeks of the regular season while negotiating off and on with the players' union over salary concessions and salary cap changes. NBA commissioner David Stern has warned he will cancel all games through Christmas if a deal is not soon reached. As Memphis' city council approved the resolution allowing for a lawsuit on Tuesday, league and players' union officials were stretching toward their ninth hour on negotiations under the guidance of federal mediator George Cohen.
The FedEx Forum in Memphis, like many NBA arenas, is owned by the public. Reports have suggested that over the past decade, the public has funded $1.75 billion of the $2 billion in construction costs sunk into NBA arenas.
The NBA has already canceled the first two weeks of the season, but there are still multiple reports out there that the league is looking into contingency plans for a revised schedule if and when this season can be saved. There is even talk of a potential full 82-game slate.
This would be great news for fans, but as the Los Angeles Times points out, extending the schedule comes with its own set of problems.
Finding a place to play, however, might be more difficult.
"I've heard talk that the players and owners would look to add games past the drop-dead date of the NBA Finals, June 21 — I know they are tinkering with that," said Lee Zeidman, general manager of Staples Center, home to the Lakers and Clippers.
"It can never happen here."
See, in addition to basketball games, arenas host other events like concerts, other sporting events, etc. As Ziedman explained, "We're challenged to fill in any dates during the season with the Kings, Disney on Ice, the Pac-12 [basketball] tournament, concerts and the Grammys." You get the picture.
The bottom line: If the the owners and the players want to revive the hope of a full 82-game schedule, they better get a deal done fast. But this type of conflict makes it seem more likely that the hope of a full season is nothing more than a dream.
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For the latest news and analysis on the NBA labor negotiations, follow our comprehensive NBA lockout StoryStream and complete coverage on SB Nation NBA.
Top officials from the league and players' union met with federal mediator George Cohen on Monday, and NBA lockout talks will resume Tuesday with Cohen in the room. Talks broke off a week ago after the two sides failed to reach a deal by NBA commissioner David Stern's deadline to preserve an 82-game season. Stern later went on an extensive media tour to frame the debate as union director Billy Hunter met with players and dig his part to fire up the rhetoric.
Cohen previously served as general counsel for the players' union in the 1990s, and served as a mediator in the 2004 NHL lockout and 2011 NFL lockout. (Cohen's run with the NFL ended when the players' union decertified; federal mediation is not available in those cases.)
Stern indicated on Monday that if a deal is reached soon, the NBA could start its regular season within 30 days. The first two weeks of the regular season -- some 100 games -- have been cancelled, but reports have suggested that an 82-game schedule could kick off December 1 with condensed rest. That remains unconfirmed.
Derek Fisher is a saint in Forum blue and gold. That's the thrust of Richard Sandomir's New York Times profile of the players' union president as the NBA lockout winds through its fourth month. But NBA deputy commissioner Adam Silver scores the victory with this expert trolling of his boss.
"In the well over 30 bargaining sessions, I cannot remember a single incident where [Fisher] raised his voice," Silver said. "And, just a reminder - David Stern is in the room."
Officials from the league and players' union will meet separately with federal mediator George Cohen on Monday in the latest attempt to break the NBA lockout stalemate. The top negotiators from each side are slated to meet with Cohen in a bargaining session setting on Tuesday, as well.
National Basketball Players Association head Billy Hunter said in a Friday press conference that the union had wanted to meet with Cohen all week, but that the league refused to cancel or postpone owners' meetings scheduled for Wednesday and Thursday. According to report, owners will discuss revenue sharing on Wednesday and negotiating positions with regards to the lockout on Thursday.
Cohen was involved in the 2004 NHL lockout (which lasted more than a year and cost an entire season) and the recent NFL lockout. The NFL and its players' union actually went into mediation before the owners locked out players; the stoppage dragged on for more than four months and resulted in one cancelled preseason game. Before its first meeting with a mediator, the NBA will have cancelled its entire preseason and 100 regular season games.
After a half-dozen broadcast interviews starring commissioner David Stern, players' union director Billy Hunter took to the spotlight, speaking to reporters after 30 players met to discuss NBA lockout strategy in Los Angeles on Friday. Hunter came out as aggressive as you'd imagine, trying to fight back against Stern's push to make players look greedy. In the process, Hunter got a bit silly, suggesting that the league could lose teams like the Sacramento Kings to "forced contraction" if the lockout continues much longer.
From ESPN.com's Dave McMenamin and J.A. Adande:
"If everybody begins to dig into their respective positions, then I think the league will be decimated. It took us five years to recover from the 1998 lockout and there's probability that we may never recover [from this lockout]," Hunter told ESPN before Friday's sit-down with players. "I think there will be some teams that won't survive. Particularly if the season gets shut down, there will be teams that will not be around next year."
Of course, contraction of even one team would mean the loss of 15 union jobs and about $60 million in player salary. That's equivalent to about 1.5 percent of basketball-related income. It's a meaningless statement from Hunter.
The two sides are scheduled to meet with mediator George Cohen on Monday, with a full bargaining session on Tuesday. NBA owners will then meet on Wednesday and Thursday. No one expects a deal to come together next week. Stern has warned he'll kill all games through Christmas if there's no deal by the end of Tuesday.
JaVale McGee was one of a couple dozen players who met at the Beverly Hilton in Los Angeles to talk about the NBA lockout. According to reporters tweeting from the scene, McGee left early, complained about the light attendance and said there were definitely some players at the soiree who were ready to cave.
Minutes later, McGee took to Twitter to deny he said anyone was ready to cave, and blamed the media of spinning his words.
One of the reporters at the scene, Mark Medina of the Los Angeles Times, quickly posted audio of McGee saying that some players were ready to fold.
The SUMMER OF JAVALE continues ...
NBA commissioner David Stern said this morning on national radio that he wishes there were less media coverage of the NBA lockout. In other news, here is a list of radio shows and video interviews Stern has given since Thursday or is scheduled to give on Friday, via TrueHoop.
WFAN with Mike Francesca
NBA.com/NBA TV with David Aldridge
ESPN Radio with Mike Skinnygirlieman and Mike 100percentmanlyman
Dan Patrick
Jim Rome
Mad Dog on Sirius/XM
No word on whether his appearance on Ryan Seacrest's show will come through.
David Stern says that if the NBA lockout isn't solved by Tuesday's meeting with federal mediator George Cohen in Washington D.C., it could last much, much longer. Stern gave an extended interview to Mike Francesca on New York's WFAN radio station this afternoon, and after discussing the negotiations in depth, he was asked point blank whether the NBA would be playing basketball on Christmas Day.
His answer? "It's time to make a deal. If we don't make it Tuesday, my gut ... is that we won't be playing on Christmas Day." The NBA Players Association will meet with Stern and the owners on Tuesday in Washington D.C., when federal mediator George Cohen will attempt to broker a deal between the two sides, salvaging the majority of the NBA season.
If that doesn't happen, though, here's Stern himself admitting that the NBA could miss not just weeks, but months of the regular season. It's a grim outlook, and perhaps overly dramatic--Stern's made periodic, grave proclamations throughout this process--but the words pack a punch, especially since these are his first public comments since the bargaining broke down earlier this week. For now, Christmas Day aside, it sure sounds like the NBA needs a miracle.
George Cohen, a nation of desperate basketball fans turns its lonely eyes to you.
The federal mediator that is scheduled to meet with the NBA and its Players Association next week certainly has his work cut out if there's going to be an end to the NBA lockout anytime soon. Fortunately George Cohen already has a decent amount of experience in the field, having previously done the same type of work during the NFL lockout.
Cohen, appointed by President Obama as the Director of the Federal Mediation & Conciliation Service, experience includes previously working with the NFL lockout, the MLB players during their 1995 labor dispute, Major League Soccer and even the Federal Aviation Administration in an agreement with air traffic controllers.
Cohen also issued a statement to USA Today, detailing his part in the process.
"For a number of months I have participated in separate, informal, off-the-record discussions with the principals representing the NBA and the NBPA concerning the status of their collective bargaining negotiations," Cohen said.
"It is evident that the ongoing dispute will result in a serious impact, not only upon the parties directly involved, but also, of major concern, on interstate commerce - i.e., the employers and working men and women who provide services related to the basketball games, and, more generally, on the economy of every city in which those games are scheduled to be played. In these circumstances, the Agency has invited, and the parties have agreed, to convene further negotiations under my auspices."
There aren't any promises that Cohen will be able to bring the two sides closer together, but it can't hurt having a neutral person in the room considering the lack of progress as of late.
ESPN is dealing with the NBA lockout by replacing huge games with, uh, Temple football. What's NBA TV been up to, what with the lack of training camp coverage and preseason games to check in on? The indispensible Twitter feed @tvsportsratings presents a telling tally.
Since start of lockout, NBA TV has aired [The Fish That Saved Pittsburgh] 16 times, One on One (Robby Benson) 14 times & Teen Wolf 8 times.
So basically, Bill Simmons has taken over programming down in Atlanta. Cool.
Billy Hunter, the director of the National Basketball Players' Association, announced on New York's WFAN on Wednesday afternoon that officials from the league and players' union will meet with a federal mediator to attempt to inject life back into NBA lockout talks. The meeting will go down on Monday, Hunter said.
The talks broke off on Monday as the sides failed to reach a deal on system issues such as luxury tax modifications and salary cap reforms. The sides also remain at odds on the share of league revenue players will be paid each season. The old collective bargaining agreement allotted players 57 percent; the union's best offer has moved to 53 percent, while the owners have proposed a 47 percent share for players.
The NFL and its players' union met with a mediator before Roger Goodell locked out players last winter. Despite several mediation sessions, the NFL lockout ran until July.
President Barack Obama is a known sports aficionado, a fact that was known before he entered the White House and reinforced by his going on ESPN to make his annual NCAA March Madness picks and setting up pick-up games with his constituents.
The most powerful man in the United States of America reminded everyone of his love of basketball once again on Tuesday as he spoke of being heartbroken regarding the affects of the NBA lockout.
"I have to say that backstage I had a chance to see Dwight Howard and Dwight's a great friend," President Obama said at a fundraiser in Orlando. "I told him I'm a little heartbroken that the NBA season's getting delayed so I'm hoping those guys are back on the court soon."
The NBA lockout is a pretty confusing thing right now aside from the end result being that regular season games have begun to be canceled. With buzz words like BRI and bloggissists being floated around and Roger Mason Jr. touting free basketballs and Ronny Turiafs on Twitter, however, it isn't hard to see how some might be confused regarding what a lockout actually entails.
Thankfully, the good folks at Funny or Die have brought us a video featuring Dallas Mavericks players Tyson Chandler and Shawn Marion along with the always-great Kevin Love to show us just what a lockout isn't: a middle school lock-in.
Some might say that Ben Gordon is in part a portion of the reasoning for the NBA lockout. The Detroit Pistons guard signed a five-year, $58 million contract a couple of years ago, after all, and then followed that up with a couple of sub-par seasons -- at least in proportion to his salary.
The Pistons guard would still like to prove that he's worthy of that contract though. Unfortunately for the fans, however, Gordon doesn't see that being able to happen anytime soon.
"I think there will be more games missed," Gordon told the Detroit Free Press. "I expect it might be a year or two. I realized that when I was listening to both sides during the negotiations. I think there will be a lot of games missed and more money is going to go down the drain. I'm preparing for the worst, but hoping for the best."
The fact that Gordon mentioned a year "or two" is probably the most discouraging part of his quotes to the newspaper -- and that's discounting his memories of the experience he had as a member of the negotiating meetings last month.
"It just seemed scripted, and they were going through the motions," Gordon told the Free Press. "Sitting there in front of them you could tell they weren't focused on getting a deal. I still don't know the purpose of those meetings."
It's difficult to disagree with Gordon's sentiments considering the meetings apparently didn't accomplish anything, but it's still not fun to read the first-hand account.
Sam Amick of SI.com reports that top the players' union has rescheduled its meeting in Los Angeles for Friday, when top officials and the rank-and-file will discuss NBA lockout strategy. The meeting had initially been scheduled for Monday, but last-minute talks to save the season's November 1 start were called at the, well, last minute, requiring union director Billy Hunter and president Derek Fisher to remain in New York.
Those talks were without fruit, as NBA commissioner David Stern cancelled the first two weeks of the regular season late Monday. The decision cost the NBA 100 games, and will lead to players missing their first paycheck of the season.
Amick notes that those missing paychecks may not hurt too much, as players have recently received the 8 percent of their 2010-11 salaries held by the league's escrow system. Another $26 million will be disbursed to players in coming weeks; that's the payout from owners due to gross NBA salaries coming in under the 57 percent threshold that players are due.
Zach Lowe of SI.com has the scoop on how the league's luxury tax proposal, presented in the most recent set of NBA lockout talks, would have worked. The players' union rejected the proposal as a de facto hard salary cap, which the owners have previously taken off the table.
Lowe reports that the tax would have come in at 175 percent for payroll in excess of the threshold, which would be set at a place similar to what it was last season ($70 million, or $11 million higher than the soft cap). For every $5 million over the threshold teams went, the penalty for that excess would raise another 50 cents on every dollar. So if the threshold was set at $70 million and a team amassed $80 million in salary, the luxury tax bill would be $20 million ($5 million taxed at 175 percent, $5 million taxed at 225 percent). This would go on as high as it needed to. Lowe calculates that under this system, the L.A. Lakers would have paid $53 million in luxury tax last season as opposed to the $23 million they actually put out.
Under the proposed system, teams like the Lakers would certainly be less willing to use items like the mid-level exception and veteran's minimum on players that get the team into these higher tax brackets. It would certainly serve its purpose to shrink the payroll gap, which may not help competitive balance but can't hurt.
The NBA Lockout is real. Commissioner David Stern confirmed as much on Monday when he announced that the first two weeks of the NBA season have been canceled.
In the words of Sactown Royalty's Tom Ziller: "Say goodbye to opening night ... and the night after opening night ... and the next few nights after that ... and maybe all of the nights."
Below we present a sampling of reaction from around SB Nation NBA's team hubs. It's organized to reflect the Kübler-Ross model for dealing with the five stages of grief.
Denial: At Posting and Tosting, Seth has semi-convinced himself that he's relieved by the official announcement of the lockout. Please help him.
In a way, I'm just relieved to not be dreading the first bad news anymore. At times, the wait for word from the negotiation table has felt like a long, sloppy basketball game feels. The kind you know well, where you've almost accepted a loss, and would happily just run out the clock if there wasn't the slimmest, flimsiest shave of a chance of a winning end, and even a win would make you kind of queasy.
Anger: At Silver Screen and Roll, bluexfalcon is mad:
Damn [REDACTED] Owners! Those [REDACTED] of [REDACTED] [REDACTED]. Get a [REDACTED] deal done, meet halfway or at the [REDACTED] middle-ish. NO. MORE. [REDACTED] GAMES. CANCELLED.
Bargaining: At Bullets Forever, Mike Prada explains why the Wizards *need* to be playing.
To me, 2011/12 was supposed to be the year where Wall began to climb to superstardom. Now, the year has been wiped away, and sometimes, it's hard not to write a ton about Wall.
Depression: John Raffo has a harrowing tale of how the Clips Nation team is handling the news. SPOILER: It's not going well.
Then-- what was that? A sound... coming from the basement. Steve was jittery and wanted to clear out but I slapped him, hard, and he settled down. We found the door to the basement and went down the stairs. Lawler's Law was in the corner, curled up in a ball, weeping. Through the sobbing and stammering, he told us the news. It was what we all feared, the worst of the worst: The "Ca-ca-ca-cancellation of ga-ga-games." Now Steve was sobbing too, a complete mess. I threw Law over my shoulder, carried him upstairs, and called the paramedics.
Acceptance: At Blazersedge, Dave has a plan to get through the lockout.
The only reasonable response I can see is simply to ignore the powers that be, let them have their little fight, and enjoy doing what we do in the meantime. ... First, it's probably time to catch up on some movies, stream a TV series that you missed once upon a time, take a hike, enjoy eating out, say hello to your family, or take your pick of other favorite activities. ... Second, get your NBA fix in places like this. There are tons of non-lockout topics that smart basketball fans can chew over together. ... That's one thing they can't take away from us. The discussion may involve their sport but in the end this isn't their place or their conversation, it's ours.Follow SB Nation NBA for breaking news and analysis on the lockout -- however long it lasts.
Of all the reasons to cancel part of a season, the NBA lockout features perhaps the most mind-numbing, as league commissioner David Stern and players' union director Billy Hunter cited so-called "system issues" as the major hurdle not cleared by Monday, leading to the deletion of 100 games from the NBA schedule.
The system issues include the luxury tax system and controls on how the Bird rights exception can be used. All are important issues, but don't directly impact the revenue levels of players or teams in the aggregate. A harder cap via a more punitive luxury tax and restrictions on Bird rights usage would even out team payrolls, keeping high-revenue teams from spending much more than their competitors, but also requiring those competitors to share player payroll expenses more evenly.
The length of the deal was another bizarre sticking point, according to Stern. The league wanted a 10-year deal while the union pushed for six years in order to have an opportunity to re-negotiate should new national TV contracts come in as large as expected. There may have been some common ground reached on this issue, but the idea that any serious time was spent on it as the league approached a doomsday scenario is awe-striking.
David Stern's decision to cancel the first two weeks of the season as the NBA lockout could not be solved by Monday has cost the league a full 100 games, averaging out to about seven per team. That's 8 percent of the regular season; the commissioner said that those games will not be made up if an agreement is reached in the coming weeks, ensuring a shortened season.
Among the games lost is what would have been a thrilling opening night doubleheader on TNT: the NBA champion Dallas Mavericks against MVP Derrick Rose and the Eastern finalist Chicago Bulls, followed by the L.A. Lakers vs. the Oklahoma City Thunder. Two great matchups filled with great players, gone.
ESPN will lose its November 2 doubleheader featuring the ratings-gold Miami Heat and the rebooted New York Knicks, followed by those Lakers and the Golden State Warriors in what would have been Mark Jackson's debut as a head coach. Jackson spent the last several years as an ESPN and ABC commentator.
The NBA lockout has cost the league the first two weeks of the regular season, as commissioner David Stern followed through with his threat to cancel games as a deal couldn't be reached by the end of a seven-hour bargaining session on Monday.
Most teams will lose six to eight games. The NBA had been scheduled to tip off on November 1. Stern emphasized that these games had been cancelled, not postponed, meaning that for the second time in 13 years, the NBA will play a season shortened by an owner lockout.
Even worse, these cancellations will likely beget more cancellations, as the NBA and players' union has shown it can only negotiate when up against a deadline. The NBA lost 32 games in 1998-99, only cutting a deal with the union as Stern threatened to cancel the entire season in January 1999.
Stay tuned to SBNation.com for coverage of the aftermath.
NBA lockout talks continue, as officials from the league and players' union rekindled negotiations late Sunday and again Monday in advance of David Stern's deadline to preserve an 82-game season. Stern had warned last Tuesday that without a deal in place by Monday, the first two weeks of the regular season would be lost.
Yahoo!'s Adrian Wojnarowski reports that there's another path.
Stern could call for "postponement" of 1st two weeks of regular season - not a cancellation - if progress warrants more talks, source says.
That would force the NBA, if it finds a deal in "overtime," to squash about eight games per team into the four-month regular season. It's less likely that the league would attempt to make it up on the back-end and delay the playoffs, pushing the NBA Finals in late June.
Whatever the case, progress solid enough to postpone and not cancel games will be welcome respite to fans eager to see the players back on the court.
David Aldridge of NBA.com reports that, according to sources briefed on ongoing NBA lockout talks, the league and players' union are near a deal ... on changes to the mid-level exception. Needless to say, the mid-level is the cucumber slice in the grand salad of lockout trouble as the two sides work to hammer out a deal on Monday, lest NBA commissioner David Stern cancel the first two weeks of the regular season.
Mid-level exceptions allow teams over the salary cap to sign players to deals with a starting salary of up to $5.7 million. The deal must be three years long and can be as long as five years, with at least two seasons fully guaranteed. In practice, the mid-level is typically used to overpay middling veterans; rare is the mid-level exception player who earns out his deal.
But progress is progress. We'll see how far player concessions on the mid-level get us to a deal.
Why, it's ESPN.com! The exceptionally brief headline -- pointed out by Zach Lowe -- goes to an exceptionally righteous column by Jeff MacGregor.
Derek Fisher has asked NBA players to tweet something about "LET US PLAY" and "#StandUnited" as the players' union brass meets with the league brass to try to end the lockout before real live regular season games are cancelled. The Lakers' Derrick Caracter got the memo, but has a warmer, more concillatory version. Via Kevin Ding:
Let's play.
That's the solution: agree to a 50-50 revenue split, but force every team to sign a team owner to the mid-level exception. Let's play.
Lest you think the NBA lockout continues solely because the league and players' union can't agree on a revenue split, think again. Zach Lowe of SI.com reports that luxury tax reforms remain a sticking point, as the union has bristled at the league's concept of a graduating super tax that could charge top-spending teams as much as $4 for every dollar they are over the threshold.
Lowe reported last week that the sides were discussing other concepts, including one that would disallow teams over the tax threshold to use their mid-level exception in subsequent seasons. Teams typically find themselves over the tax line by using their salary cap exceptions to add players (the L.A. Lakers do this consistently), executing sign-and-trade deals to add free agents and by trading expiring contracts for players with guaranteed, longer-term contracts.
The two sides apparently did not reach a deal on this matter during a 5-1/2 hour meeting on Sunday during which the revenue split was not discussed.
According to multiple reports, the NBA lockout talks held Sunday in New York City revolved around system issues and didn't broach the controversial and potentially season-killing revenue split between players and teams. Yahoo's Adrian Wojnarowski and Marc Spears were among those reporting that the officials who met for 5-1/2 hours late Sunday focused on salary cap structure and other items -- not the all-important split.
The revenue split determines a max aggregate salary level of the league's players. It had been 57 percent over the last nine seasons, meaning that each season, players would be paid exactly 57 percent of the league's basketball-related income. The league currently wants to drop that to 50 percent. The players' union has held steady at 53 percent. This is seen as the make-or-break issue in these talks, though there was a fair amount of consternation over a league-proposed hard team salary cap a few weeks ago.
The two sides will meet Monday at 2 p.m. ET. One assumes that the revenue split will be on the table. NBA commissioner David Stern has said that without a deal in place on Monday, the first two weeks of the regular season will be cancelled.
Top officials from the league and players' union met for 5-1/2 hours on Sunday night in New York City in last-ditch NBA lockout talks. NBA commissioner David Stern has set a Monday deadline for a deal to be reached before he cancels the first two weeks of the regular season. The result of Sunday's meeting: the two sides will meet again on Monday, at 2 p.m. ET per Yahoo!'s Adrian Wojnarowski.
That Monday meeting, now considered a last chance to preserve an 82-game schedule, has caused the postponement of a players' union meeting scheduled for Los Angeles on Monday. Billy Hunter, the director of the National Basketball Players Association, was set to leave for that meeting on Sunday before league officials took a 50-50 revenue split off the table as a condition for meeting. (It's still believed that the owners would like a 50-50 split.)
NBPA president Derek Fisher told reporters staking out Sunday's meeting that the sides were "not necessarily closer" at the end of the meeting vs. when they entered, at which point the union had pushed for a deal allowing players to earn a total of 53 percent of league income. The two sides made great progress in their last meeting on Tuesday, but talks stopped at that point with players bristling over the league's apparent "take or leave it" 50-50 offer.
Stay tuned to SBNation.com for lockout coverage on Monday.
The NBA lockout is at a rather dire stage because commissioner David Stern announced last week that regular season games will be cancelled Monday if the owners and players aren't able to reach an agreement on a new Collective Bargaining Agreement. The two sides are meeting Sunday evening to further discuss with the players planning further discussions on Monday afternoon in Los Angeles.
"In his latest letter to NBA players, union prez Derek Fisher urges all players to attend Monday afternoon meeting in LA if at all possible," ESPN's Marc Stein tweeted on Sunday night. The letter also contained information saying Fisher and Chris Paul will tweet same "LET US PLAY" mantra seen from NFL players during the NFL lockout earlier this year.
There isn't any further information known regarding the big meeting, but there is a chance that the NBPA is looking to give its members an opportunity to vote on whichever "best offer" the NBA gives it tonight. Sports Illustrated's Sam Amick proposed that option earlier in the week and it seems to make sense, regardless of the outcome.
There will assuredly be more news related to Sunday evening's meeting -- and possibly Monday's -- as soon as it concludes.
Ken Berger of CBS Sports reports that Sunday's last-ditch NBA lockout talks came about because the league dropped its insistence on a 50-50 split of revenues in a new collective bargaining agreement. The players' union had requested a Monday morning late this past week, but the NBA says it replied that while it would be willing to negotiate items other than the split, it would not be moving from its 50-50 offer. That condition has now been removed, which could mean that the league is willing to go to 51-49 or points beyond to salvage the season.
NBA commissioner David Stern had set a Monday deadline to preserve an 82-game schedule. It's unclear whether the top officials from the league and union will meet again Monday, or if Sunday's session -- which will reportedly include Stern, deputy commissioner Adam Silver, union president Derek Fisher, union director Billy Hunter and select staff -- is the last chance to crank out a deal.
Top officials from the league and players' union will be in last-minute NBA lockout talks on Sunday, reports the New York Times' Howard Beck. Negotiations came to a screaming halt on Tuesday as players walked out when the league asserted it would not move from its position on a 50 percent split of basketball-related income. (Players had received 57 percent in each of the past nine seasons, and haven't been below 53 percent in decades.)
As late as early Sunday, the sides were determined not to meet, as the union bristled at the league's insistence on holding to a 50-50 split and making it non-negotiable going forward. Beck reports that it's unclear which side softened. But the important thing is that the two sides are meeting.
NBA commissioner David Stern said on Tuesday that without a deal by Monday, the first two weeks of the regular season will be cancelled. That would cost players $200 million, and teams roughly that amount, as well.
Commissioner David Stern said that if there isn't a deal to end the NBA lockout by Monday, the first two weeks of the regular season will be cancelled. You might have expected the sides to be burning the midnight oil to get a deal done, given the sheer amount of money at stake to everyone.
Instead, the sides aren't even meeting.
No reports of plans to talk or meet on Sunday surfaced on Saturday, as the Jewish population celebrated Yom Kippur. Players' union director Billy Hunter is on his way to Los Angeles to meet with players on Monday, while other members of the National Basketball Players Association left New York after talks broke off on Tuesday. The union held a regional meeting in Miami on Saturday without Hunter, gathering the large group of stars who had arrived in south Florida for a major charity exhibition game hosted by LeBron James and Dwyane Wade.
The math does not support a continued lockout: both sides would be better off accepting the other side's deal than missing games. When this realization hits the league and union remains to be seen.
As you'd expect, late Friday NBA lockout flarfnoogle has produced additional whizzamarole. Union sources told numerous reporters late Friday that the league had refused a players' request to meet on or by Monday to get this stoppage done. The reason: the players' union told the media that the NBA had demanded that as a condition for the meeting, players had to accept a 50-50 split. So, no meeting. (Or at least the threat of no meeting.)
But NBA deputy commissioner Adam Silver has a different way of telling it, and he did so on the record with the New York Times' Howard Beck:
What we told the union was that we were not prepared to negotiate over the B.R.I. split beyond the 50-50 concept that had already been discussed," Silver said, referring to the N.B.A.'s acronym for basketball-related income.
Silver added, however, that the league was "prepared to continue negotiating over the many other issues that remain open" - such as the salary-cap system, the luxury tax and the length of contracts.
If either side is intractable on the revenue split -- the union is at 53-47 -- then there really is no reason to negotiate. But given the relatively small gap in between the two sides and the stakes, with Monday signifying the last day to get a deal done that will preserve an 82-game schedule, there is really no reason for either side to be intractable.
Stay tuned. I see more whizzamarole on the way.
Monday's deadline to end the NBA lockout before regular season games are lost could not come quietly. Anonymous officials from both the league and the players' union joined to crank the burner back up to "super boil" late Friday, as multiple reporters cited anonymous sources who said that the union refused to agree to a last-ditch Monday meeting that was conditioned on players accepting a 50-50 split of basketball-related income.
The league reportedly offered that 50-50 split toward the end of Tuesday's crucial negotiating session, coming off their previous concept that effectively gave players -- who had 57 percent of league revenue under the last collective bargaining agreement -- 47 percent of future revenue. The union is stuck on a deal that averages out to 53 percent of revenue going to players.
If the reports are true and the league set a negotiating point before agreeing to a meeting, players are right to be angry. But union director Billy Hunter is apparently flying to Los Angeles for a meeting with players, and isn't planning to be in New York on Monday. That can only anger the league further, as it is likely meant to do.
In the end, it's likely the sides will talk before Monday. They are painfully close to a deal, and a churlish end to negotiations at this point seems ridiculous. Will sanity prevail?
It remains radio silence as far as the NBA lockout goes: since NBA commissioner David Stern set Monday as the deadline to get a deal without the cancellation of regular season games, the two sides have not scheduled additional meetings, reports Yahoo!'s Adrian Wojnarowski. With Friday gone and Saturday dedicated to Yom Kippur, Sunday and Monday remain the final days of negotiation to get a deal in the hopper by Stern's deadline.
Wojnarowski reports that there are no current plans to talk Sunday, but it'd be expected that someone will bone up and make the call to set a date. Ken Berger of CBS Sports reported on Thursday that officials from the league and players' union had been talking over the past couple days, but apparently not in a negotiating sense. It's unclear whether Stern and union director Billy Hunter have been engaging in secret negotiations behind the scenes, but that isn't believed to be the case.
As the NBA lockout winds toward a Monday deadline to save the 82-game schedule, Zach Lowe of SI.com reports on some of the ideas that the league and players' union have come up with to get around the sticky idea of a super luxury tax.
In abandoning the hard team salary cap as a negotiating point, the league offered up some ideas to harden the existing soft cap. One was a graduated luxury tax that would extract charges of up to 400 percent of overage from teams who amassed player payrolls much higher than the cap level. The union balked at this, surmising that the graduated tax levels would essentially amount to a hard cap.
Lowe said a resultant idea was to punish teams like the Dallas Mavericks and L.A. Lakers by restricting future flexibility.
[I]f Team X spent $90 million on player salary in one season, or was set to exceed certain tax level in the following season (the timing is unclear at this point), that team would not have access to the mid-level exception during the summer free-agency period. Or perhaps it'd face stricter limitations on Bird Rights than the rest of the league, making it harder for the team to retain outgoing free agents.
To use a concrete example, in July 2010, the Lakers were about $25 million over the salary cap and $14 million over the luxury tax threshold before using their mid-level exception to sign Steve Blake ($4 million per year). The year prior, the Lakers were over the tax line before signing Ron Artest with the mid-level and re-signing Lamar Odom using a Bird rights exception. Such a rule as one Lowe describes would limit the Lakers' ability to stack payroll on payroll on payroll using the items that make the current salary cap a soft one.
It's an interesting idea, though you wonder how the cyclical nature of the NBA -- where teams get up in a position to spend large for the piece that will put them over the top for a few years, then drop off as stars age -- would affect the program's usefulness.
The NBA lockout has not been solved yet, as anyone that is a fan of basketball surely already knew. The latest word out of the NBPA camp, though, makes it seem as if the talks aren't going to get as ugly as first thought possible as they will apparently avoid the mess that may have been caused by decertification of the Players' union.
Seven of the top basketball agents had been vocal supporters of overthrowing the union and dealing directly with NBA Commissioner David Stern and Co., even if it had to happen in the realm of the courts, but a conference call on Wednesday apparently quelled those plans.
ESPN's Chris Broussard has the quick rundown of the call.
Those agents -- Arn Tellum, Bill Duffy, Dan Fegan, Jeff Schwartz, Leon Rose, Henry Thomas and Mark Bartelstein -- had been strong behind-the-scenes advocates of decertification for the Players Association but, according to the source, now believe that the time to do so has passed.
This is actually good news for those hoping for a quick(er) end to the lockout as decertification would have had to go through the court system and, as the NFL showed, it wasn't exactly a surefire plan to begin with anyway.
Ken Berger of CBS Sports continued his exceptional NBA lockout coverage on Wednesday by revealing some numbers that, per a front office executive with an unnamed team, purport to show what players would lose if NBA commissioner David Stern goes through with his threat to cancel the first two weeks of the regular season if a deal isn't reached by Monday.
The aggregate comes out to about $200 million in lost salary for players.
To figure out how much farther each side will go, you have to quantify how much they would lose by canceling the first two weeks of the regular season. For the players, it's $200 million -- $140.6 million for the 301 players under contract, plus an estimated $53.7 million for the 129 free agents, $4.4 million for the 30 first-round picks and $1.2 million for the 30 second-round picks, based on calculations provided by a front office executive.
Berger uses this plank to launch into his belief of how a deal will eventually come down in the 11th hour with the deal point on players' share of salary coming in between 51 and 52 percent.
Robert Sarver has become something of a figurehead for the owners during the NBA lockout. No one will soon forget the "mid-level exception in a designer handbag" quip. But how exactly are Sarver's antics playing back in Phoenix, where the Suns have an impeccable history? Seth Pollack of SB Nation Arizona digs in.
It's not just that Robert Sarver as a mid-market owner (who's real estate and business interests have suffered with the Wall Street created financial meltdown) is trying to reform the NBA and create more competitive balance, he is also building a reputation for himself that can only hurt the Suns.
How many free agents given relatively equal options are going to want to come play for a guy who's turned himself into the "greediest" owner trying to take money out of the players' pockets?
The Sports Pickle sets the ray to LOLtown. I can confirm that you are, in fact, still being charged for League Pass.
Rip Hamilton has threatened to leave longtime agent Leon Rose if the representative doesn't pull off of his push for decertificaton as a next step for the players' union in the NBA lockout, reports EPSN's Chris Broussard. Hamilton was Rose's first major NBA client; Rose, who has deep ties with William "Worldwide Wes" Wesley, now also represents LeBron James, Chris Paul and Carmelo Anthony, among others.
But it's Hamilton's long relationship with Rose, not his stardom, that makes this noteworthy. Rose is one of seven agents from six top agencies who sent a letter to players on Monday essentially counseling those clients to stick to their guns on givebacks in lockout bargaining and to demand enough time to fully review the collective bargaining agreement before voting on it. Rose is also one of the agents reportedly clamoring for decertification of the union, something the union leadership has heretofore resisted.
NBA lockout talks broke off on Tuesday. Commissioner David Stern has set a Monday deadline for a deal to save the first two weeks of the season.
UPDATE: Hamilton tweeted that the report is "100% UNTRUE."
With the NBA lockout dragging on for another week, some reporters are optimistic that both sides will settle their differences in time for most of the season to be saved. Charles Barkley disagrees.
On Tuesday, he appeared on NBATV to talk about the NBA lockout, and per usual, Barkley minced no words. "I've said all along," he began. "I don't think they're gonna play this year. I think the owners, uh... It's two things to me. I think the owners are saying, 'you know what? We're gonna do like hockey. We're gonna have to burn down the house and start over, come in with a cap, and make this thing competitive for all the teams.'
"I think that's what the owners have said from the beginning," he continued. "They're not gonna budge this time. They're gonna hold our feet to the fire, and they're gonna get what they want, or we're not gonna play at all this year. I've said that from the beginning."
As for the players role in all this, Barkley thinks they've made a mistake by underestimating the owners' resolve. "I think in the back of the players mind, they're trying to play hardball, and in the back of their mind they think, 'Oh, we'll start the season in January.'"
In other words, once the lockout begins costing them games, the owners may not soften their position the way they did during the 1998 NBA lockout. "I don't think you can compare 1998 to 2011," Barkley explained. "Number one we've been in a recession for the last two or three years, some of these teams are really hurting. Player salaries have continued to go up, and they're gonna continue to go up. I think the players made a major mistake thinking, 'Oh, they'll only cancel the first couple months of the season, and we'll do like we did in 1998, and play in January.'
As he continued, "Those owners feel like, 'We'll lose less money not playin at all.' And I think that's been their strategy from the beginning." Again, if you were looking for optimism, Barkley's not the man.
You can watch the full interview on NBA TV here. As it concludes, Rick Kamla says, "Well Charles, wish we had more time to talk..."
"Lemme break something to ya," Barkley interjects. "We got a lotta damn time to talk."
Yikes.
NBA lockout talks have ended for the foreseeable future, and players' union president Derek Fisher and director Billy Hunter sent a letter to players to explain why. According to tweets from Yahoo!'s Adrian Wojnarowski, the letter asserts that the union will not back down from its current proposal, which reportedly would cap player salaries at 53 percent of the established definition of basketball-related income.
Union letter: "Reducing our share of BRI by 7 points to 50% -- a level we have not received since the early 1990's -- is not a fair split."
Woj also reports that the letter states that negotiations are "far from over," despite the union apparently ending talks on Tuesday after the league offered a "concept" that would cap player salaries at 51 percent.
Basketball-related income, as currently defined, does not include about $500 million of revenue that owners take off the top. The NBA, according to reports, had sought to increase that pool to $850 million in some proposals made on Tuesday, with the remaining revenue being split 50-50. If you include the $500 million not included in basketball-related income, the union has actually proposed a deal that would cap players' salaries at 46.8 percent, based on last season's numbers.
At the conclusion of Tuesday's negotiations between the NBA's owners and players' union, David Stern told the media during a press conference that he had approached the union about a 50-50 split of revenue, which the players had rejected. It was an informal offer, Stern said, but a potential framework for a deal, and a sign that the owners were willing to budge from previous demands to end the lockout.
While an offer may have been made, sources tell SI.com's Chris Mannix that it wasn't quite a 50-50 split, and that officials within the union resent Stern's decision to discuss it with the media:
While admitting a private offer was made -- an offer NBPA executive director Billy Hunter did not acknowledge during a news conference -- union sources dispute the NBA's numbers. According to multiple sources, the offer was for a guarantee of 49 percent of the BRI with a max of 51 percent. Still, union representatives took the offer back to the group. A short time later, they countered with a proposal for a guarantee of 51 percent of the BRI with a cap at 53 percent. That offer, sources said, was rejected.
Union officials were furious that Stern publicly disclosed the offer. Some believe it was put out to drive a wedge between the union, which thus far has been largely represented by veteran players making mid-seven- or eight-figure salaries. And in some ways, it had that effect. Three role players told SI.com via text message that, while needing further details, a 50-50 split sounded fair.
Attempting to find common ground and seeding dissension are two completely different things -- and yet Stern has apparently managed to do both at the same time.
While decertification may look like an increasing possibility in the wake of NBA lockout talks breaking off on Tuesday, Yahoo!'s Adrian Wojnarowski cites two agencies who think that, right now, the supporters of the move don't have the votes necessary to dissolve the players' union.
Several high-powered agents have pushed for decertification of the union throughout the lockout, with calls for the move intensifying as the league's stoppage has careened toward the regular season. Those agents need just 30 percent of players to sign a petition to get decertification up for a union vote, but then need a simple majority to officially dissolve the union. Doing so would clear the way for antitrust litigation. The league has threatened to void all player contracts if the union successfully decertifies.
The agents told Woj that right now, they don't have the 50 percent needed. In fact, on Monday, NBA.com's David Aldridge reported that LeBron James and other stars who attended weekend lockout sessions told union leadership that they did not support decertification right now.
We'll see if the mood changes and whether agents decide to push further.
David Stern and Billy Hunter continue to preach doomsday scenarios to the media (and Amar'e Stoudemire is tweeting the same), but there's reason for hope given the amount of progress that's already been made, say two plugged-in NBA reporters. First, Ken Berger of CBS Sports:
So while Hunter and Stern remained publicly entrenched in the economic positions of their most recent formal proposals -- with the players asking for 53 percent and the league offering effectively 47, the reality is this: the gap has closed to 2 percentage points of BRI, the difference between the midpoint of the two offers.
With each percentage point of BRI worth about $40 million, the two sides -- who were at one time $8 billion apart over 10 years -- are now a mere $80 million apart on an annual basis. So you can see what the two sides saw Tuesday -- the road to a deal that both sides eventually can find a way to live with that is better than the alternative of missing a substantial portion of the regular season.
Now, Chris Sheridan:
Moreover, the 50-50 concept (Stern made sure everyone understood the distinction that the owners are officially offering 47 percent, but conceptually are willing to go to 50-50. They also made it known that owners last weekend backed off their demand for rollbacks or givebacks from players' current contracts) does not constitute the owners' final offer.
"It demonstrates the potential for more movement on our part," Silver said.
So if you read between the lines and cut through the bullshit, the end game became clear.
There is a deal to be done at 51/49 or 52/48, and there are five days to get there.
To me, that's a layup.
Makes sense, right? Let's hope the players and owners see it the same way.
As a response to a continuing NBA lockout that has cost the league's entire preseason and will soon take regular season games off of the schedule as well, the players' union will fund and open at least three workout centers across the country. Billy Hunter, the director of the National Basketball Players Association, said that the union will open workout centers in Los Angeles, Las Vegas and Houston, and possibly in Miami.
A huge number of players have been working out in L.A. and Las Vegas with various paid trainers throughout the summer. Teams including the Indiana Pacers, Philadelphia 76ers and L.A. Clippers have held player-organized workouts, too. Exhibition games have been popular, with the Goodman League in Washington, D.C., getting plenty of attention. But seeking to offer free, reliable options for players, the union will provide workout spots.
Whether that plan keys in the sentiment that Hunter and the union think the lockout will last deep into the winter -- you'll notice Boston, Chicago and Detroit aren't on that list of locatons -- is unknown. That one of the workout centers won't be located on Maui is a positive, at least.
In the wake of NBA lockout talks that broke off on Tuesday, commissioner David Stern told the media that he is cancelling the remainder of the preseason schedule and that if a deal isn't reached by Monday, he will cancel the first two weeks of the regular season. The NBA and players' union have no further meetings scheduled.
Stern claimed that the owners offered players a 50-50 split of revenue, and pulled proposals to roll back existing player contracts and institute a hard cap off of the table, but that the union rejected the offer. Earlier, National Basketball Players Association director Billy Hunter said that the league's proposal actually removed $350 million in revenue from the equation before splitting the kitty down the middle, effectively creating a 53 percent share for owners under the previous definition of basketball-related income.
The NBA had already cancelled preseason games through October 15. It's widely accepted that the league needs about a month to get regular season games going after a handshake deal is reached.
The NBA lockout talks on Tuesday resulted in almost no progress, so with the threat of regular-season games being canceled, even NBA Players Association head Billy Hunter admitted it is time for the players to explore all their options. Hunter said Tuesday that the NBPA would have to now "give some thought" to decertification, according to Adrian Wojnarowski of Yahoo! Sports.
Decertification would make the lockout a legal battle. It is something the NFL Players Association did during the NFL lockout, and whether it worked depends on who you ask. Hunter's admission, however, is significant because decertification is the path preferred by many high-profile agents. Those agents reportedly want to push Hunter out because of his previous disinclination for decertifying and because they feel Hunter has given too much back to the owners in negotiations already.
It remains to be seen if Hunter's admission is a sign that he is coming around to the agents' line of thinking or whether it displays he is powerless.
According to Billy Hunter, the director of the National Basketball Players Association, the final offer that owners presented at Tuesday's NBA lockout talks essentially called for the league to net 53 percent of total revenue, with players dropping from 57 percent under the last collective bargaining agreement to 47 percent in the new one. The union rejected this offer, talks broke and no further sessions are scheduled.
Hunter and players' union president Derek Fisher said that their side was willing to go down to 53 percent of revenue. How the NBA framed its own offer will be debated going forward, as Hunter revealed that the league's proposal would have removed $350 million currently counted as "basketball-related income" from the equation, and splitting the remainder 50-50 with players. But that effectively gives the players just 47 percent of what has been defined as "basketball-related income" for some 13 years.
David Stern is scheduled to address the media Tuesday evening.
NBA lockout talks lasted for four hours on Tuesday in New York City before players' union president Derek Fisher, flanked by a number of NBA stars, told the media that the owners did not present a plan that players could approve. Fisher said further that the union expects the NBA to cancel the rest of the preseason soon and eventually delay the start of the regular season, slated to tip off on November 1.
Perhaps the most important news: the players' union and league are not expecting to meet on Wednesday to continue talks.
Fisher said that the league's offer was not "fair and amenable" to the players, and that the union finds itself where it expected to be all along: facing a shortened or cancelled season. Fisher also revealed that the players' union moved its proposed revenue split to 53-47, while the league moved to 47-53. In other words, each side wants 53 percent of league revenue in a new deal.
Amar'e Stoudemire was one of a number of All-Stars who attended NBA lockout talks on Tuesday in New York City. The Knicks big man left just after 4 p.m. ET, about three hours into the negotiating session, and briefly talked to reporters, relaying that progress was being made but that he wasn't sure there was enough momentum to end the stoppage soon and prevent the delay of the season.
Amar'e Stoudemire leaves, but meetings still ongoing: "So far, we're making progress, which is great."... On season starting on time: "I still have a neutral feeling. We're not sure."
On Monday, NBA commissioner David Stern said that if the Tuesday session was "very short," it would be a bad sign for negotiations. At three hours plus, it's safe to say that by that standard the league has avoided a bad outcome on the surface. Now we wait to see what actually happened -- and is still to happen -- inside the room.
The NBA's lawsuit against the players' union seeking to prevent decertification during lockout negotiations will have its oral arguments at the U.S. Second Circuit court on November 2, reports CBS Sports' Ken Berger. That is, of course, unless NBA owners end the lockout before then. The regular season is scheduled to begin November 1. Without a deal, that opening night is expected to be pushed out or cancelled.
Sam Amick of SI.com had reported earlier on Tuesday that officials from both the league and players' union had met with the federal judge assigned the NBA's suit as a prelude to crucial lockout talks in New York. Derek Fisher, the union's president, has called Tuesday a "very big day," though most expect talks to continue through the week.
If the stoppage gets to November 2, there could be larger problems for the league: player agents have indicated their interest in getting more involved in the talks, and have threatened to push for decertification against the will of union leadership.
The NBA's most important day of collective bargaining is well underway, and with the lockout threatening the regular season, superstars like Kobe Bryant, Kevin Garnett, Amare Stoudemire, and Paul Pierce have all been spotted.
So far during the bargaining process, stars have come and gone, but the attendance today is the surest sign yet that the players are aware of the stakes surrounding Tuesday's bargaining session. As Jeff Zillgitt reports for USA Today, there are too many players to count at what's been called a "very huge" labor meeting. And it has to be considered a good thing for the players' union.
It's one thing for NBA owners to make threats and demands in the face of Derek Fisher, Billy Hunter, and the rest of the players union, but saying it to the most recognizable faces in the game requires a whole different level of commitment to the cause. In other words, if owners are serious about sabotaging the season in the name of protecting their profits, then they can say it to Kobe's face.
Before crucial NBA lockout talks kicked off on Tuesday afternoon in New York City, Sam Amick of SI.com reports that officials from both the league and players' union met with the federal judge taking up the NBA's lawsuit seeking to remove decertification from the table.
The NBA sued the union in early August as negotiations remained stalled. The thrust of the league's lawsuit was to get the courts to rule that decertification by the union -- long seen as a last resort for players -- would be considered a sham. The lawsuit also requested that if the courts and National Labor Relations Board ruled that an NBPA decertification was legal, the NBA had the legal right to void all existing player contracts.
It's unclear why the judge summoned NBA and players' union officials on Tuesday. The NLRB still has not ruled on either the union's or the league's unfair labor practice complaints. The union alleged that the NBA never negotiated in good faith and planned to drag the lockout into the season to gain leverage as players began to miss paychecks. The NBA's own complaint, filed in August, had the same intention of the federal suit.
As we count down to arguably the most important meeting in the NBA lockout talks thus far, one potential solution has sort of presented itself. ESPN's Henry Abbott proposed an interesting idea that could allow the NBA to have a full season that starts late: what if the NBA season simply ended later?
Abbott posed the question to David Stern, and he did not rule it out.
"As we said to the players, everything is negotiable," Stern said after the sides met in small groups Monday in New York for about five hours. Yet, Stern added, "we haven't ever discussed this; it would be really great if we could start the season on time."
Stern did say later that it was a difficult option to pursue, citing arena booking and TV scheduling issues. However, another issue is that the qualifying for the 2012 London Olympics begins in early July, and many NBA players would certainly be playing for their countries. That gives the NBA only a couple weeks to add on to the season. The playoffs normally end in mid-June.
Derek Fisher, the point guard for the Los Angeles Lakers and -- more importantly -- the president of the National Basketball Players Association, has sent a third letter to the members of the players' union, this one coming on the eve of crucial NBA lockout talks on Tuesday that could make or break the season. Fisher sent his letter as an apparent response to a letter sent Monday by prominent agents warning players to carefully review any deal that Fisher and Billy Hunter bring to the union.
The Associated Press published Fisher's letter in full.
One issue I need to again be very clear on...nothing can be accepted without a vote by the players. If and when there is a proposal that we feel is in the best interests of us as players, each of you WILL have the opportunity to vote in person. It's in the union bylaws, it's not up for negotiation. You will have the opportunity to see the full proposal before you agree, you will be able to challenge it, question it, anything you feel appropriate in order to know that this is the best deal for you and your fellow players.
The letter goes on to claim solidarity within the union.
The bargaining session between the NBA and players' union is scheduled to begin at noon ET.
As the doomsday clock ticks its way to basketball armageddon, Tuesday's NBA lockout talks now seem to have the potential for spectacular implosion. Agents have begun agitating for a fair deal for players, and have become (almost) openly hostile toward union leadership. Yahoo!'s Adrian Wojnarowski quotes one anonymous player agent who said that NBA commissioner David Stern fears having to answer to agents rather than Billy Hunter, the director of the National Basketball Players Association.
"Stern doesn't want to deal with us; he wants Billy and his lawyers in there. Maybe if Stern's faced with revealing financial records, legal costs and paying possibly billions in damages, maybe he'll have more incentive to make a deal than sitting across the room from Hunter, eat turkey sandwiches and taking a percentage point at a time away from the players."
CBS Sports' Ken Berger reports that agents have a new nickname for Hunter.
Billy "Giveback" Hunter, one agent referred to him as on the phone early Tuesday -- and it got worse from there, much more mean-spirited and unfair and too angry, honestly, to publish any more. There is real anger here among the agents, some of whom are advising their clients not to vote for a deal that gives back one dollar of the players' 57 percent of revenues -- even as the National Basketball Players Association is believed to have offered 53 percent and maybe lower.
Berger warns that if the owners don't bring a deal substantially closer to the status quo than what has heretofore been offered, agents will go through with their plan to force a union vote on decertification and the eventual replacement of Hunter. Fun times.
Just in case you thought that the NBA lockout would get easy as the league and players' union dig in to attempt to negotiate a deal before commissioner David Stern cancels regular season games, agents have thrown some wrenches into the ordeal. After six agencies signed a letter to players warning them to carefully consider any deal that comes out of this week's talks, Yahoo!'s Adrian Wojnarowski tweeted some fear-inducing quotes from an anonymous prominent agent.
"We're not just walking off the cliff with (Billy Hunter). We're ready to take the next step and decertify. We're not going to let the league set up [Tuesday]'s meeting as a way to trap us into a bad deal."
A brief reminder since it's been a while since decertification was a hot topic: those in favor of the move need 30 percent of the union's membership to sign a petition requesting a union vote on whether to decertify, then it comes up for a majority vote. If passed, the union would dissolve, and a group of players would file anti-trust litigation against the NBA. The league has threatened -- in a federal lawsuit, mind you -- to void all existing player contracts if the union successfully decertifies.
The agents who support decertification are the very same agents who wrote the letter to players warning of a potential deal this week. Sam Amick of SI.com clarified ESPN's report on the letter, saying that the language indicates that players should not accept a deal that provides less revenue than the 52 percent that the union has already negotiated down to.
You know the NBA lockout is reaching a climactic period when a number of prominent agents send a letter of their clients warning them not to quickly ratify the first deal they can vote on. ESPN's Ric Bucher reports that six agencies, including CAA and Wasserman Media Group, have done just that on Monday. The letter warns that in 1999, the NBA gave players just 24 hours to review the proposed collective bargaining agreement and demanded in-person votes. Less than half of the players' union showed up to vote.
The letter also disparages the still unreached deal by outlining predicted salary rollbacks and a shift in the revenue split. Team owners have reportedly requested rollbacks on already-signed contracts in addition to a cut in the share of league revenue players earn.
Bucher reports that the agents on board include Leon Rose, Henry Thomas, Bill Duffy, Arn Tellem, Jeff Schwartz, Dan Fegan and Mark Bartelstein.
Top-level negotiators for the league and players' union met on Monday to rekindle NBA lockout talks after taking Sunday off. Based on comments NBA commissioner David Stern made to the media afterward, Tuesday's meeting between each side's full bargaining committee could determine whether we have an 82-game season.
According to Ken Berger, Stern said Monday's session "set the table" for Tuesday, where both sides will be expected to be ready to negotiate all matters. The league and union met Friday and Saturday, the latter a seven-hour affair where the revenue split -- seen as the most important and contentious issue -- wasn't even discussed.
It's widely accepted that without at least a handshake deal this week, the NBA will delay the scheduled November 1 start of the regular season. The league has already cancelled preseason games through October 15, and will soon be forced to cancel or delay the remainder of the exhibition schedule. Training camps were supposed to open on Monday.
Via J.A. Adande, Sports Media Watch points out that Washington Post columnist Thomas Boswell pretty much perfectly predicted today's NBA lockout ... 13 years ago.
David Stern, Billy Hunter and the top-level negotiators from the league and players' union will meet again on Monday to work on breaking the NBA lockout, reports Ken Berger of CBS Sports. The sides met Friday and Saturday, but will not formally get together on Sunday. Berger reports that full bargaining committees will assemble on Tuesday, with hopes of picking up momentum towards a deal.
Berger also reports that Stern will not announce anything further preseason cancellations on Monday, but could do so at any point afterwards. The NBA has already cancelled preseason games through October 15, and delayed the start of training camps, which were supposed to open Monday.
The two sides met for seven hours on Saturday, tackling only salary cap structure issues as there's an impasse on the players' share of revenue. The league's proposal averages 46 percent of total revenue for the players, while the union has gone as low as 53 percent.
NBA lockout talks ended after seven hours on Saturday, and will pick back up after at least a day off. Ken Berger of CBS Sports reports that NBA commissioner David Stern said that the league and players' union are "closer than they were before," but National Basketball Players Association director Billy Hunter cautioned that the two sides are still "miles and miles apart."
The talks centered around the salary cap structure and its associated rules on Saturday, as opposed to the more contentious and impactful revenue split, which dictates how much money the players earn in the aggregate each season. NBPA president Derek Fisher pitched the separation of the matters in an attempt to gain some progress where the two sides could.
Stern told reporters that the sides won't meet on Sunday. The league and players' union met on four of the past six days, with Saturday's session being the longest. It's anticipated that if a deal isn't close by the middle of next week, the league may have to consider cancelling what's left of the preseason and delaying the start of the regular season. Camps were supposed to open on Monday, but a week ago Stern announced a postponement of that and the cancellation of 43 exhibition games.
NBA lockout talks continued on Saturday in New York City, without the stars (sorry, Baron Davis) and without the alleged heat of Friday's Dwyane Wade-David Stern showdown. The lack of battles might in part be due to the fact that, according to Ken Berger's sources, the league and union representatives focused on Saturday on non-economic issues at play in collective bargaining agreement.
It's unclear if that includes salary cap structure, which with the players' share of revenue remains among the most contentious and important items on the table. Otherwise, there are any number of small items to negotiate, including the age minimum, drug testing and off-court obligations. It's hard to imagine a six-hour (and counting) negotiating session would focus on just those items, so some slice of salary cap structure is likely to be involved.
That said, everything is economic: the cap structure debate informs and interacts with the revenue split issue. If progress is made in one, progress is made in the other ... in theory.
The second day of NBA lockout talks are underway with "enormous consequences" looming, according to Commissioner David Stern, if the two sides aren't able to move closer to an agreement. Luckily, according to the first reports out of Saturday's discussions, Cleveland Cavaliers point guard Baron Davis makes it seem as if the talks are progressing.
"We're working, we're working," Davis said while leaving Saturday afternoon, according to Newsday's Alan Hahn. "Both sides are willing and able."
In all honesty, those quotes don't mean much, but at least his reason for stepping out in the middle of the negotiating session doesn't sound like it was done because something negative -- say Commissioner Stern poking his finger at him -- had happened inside the bargaining room. In fact, Davis told NBA.com's David Aldridge that Friday's report of the dust-up between Dwyane Wade and Stern was actually "blown a little out of proportion."
Luckily, Davis also addressed his business-super-casual-like-if-casual-meant-what-you-wear-when-chopping-wood attire: "I'm funny looking, so that helps ease the tension."
So see, you guys, there's a reason for his looking out of place. This probably deserves a bump up in the NBA lockout power rankings.
Typically, high-powered negotiating sessions are populated with men in fancy suits, dressed to the nines for the occasion. The NBA lockout negotiations, however, are not your typical negotiations -- both sides are fighting tooth and nail, and billions of dollars hang in the balance. Nevertheless, one would expect the players to be somewhat dressed up.
What say you, Baron Davis?
Chris Broussard reports that at Friday's NBA lockout talks, Dwyane Wade "yelled at David Stern while making pointed remarks." But pointed remarks about what??? Give your best guess.
Very little of concrete value came out of the NBA lockout debriefings that the players' union and league gave late Friday after the day's talks wrapped up. One was that the sides will meet again at 10 a.m. Saturday. (That's good news.) The other is that the revenue sharing program being hammered out by owners will be quadrupled by 2014. From NBA.com's David Aldridge:
Stern also disclosed for first time that [the revenue] sharing plan will quadruple from current $60M/year in [year] 3 of new plan after tripling in [years] 1-2.
The NBA's current revenue sharing system is basically nonexistent, so it remains to be seen whether increasing it from $60 million to $240 million will make a huge difference. The NFL essentially shares about $4 billion thanks to fully national television deals. But as teams like the L.A. Lakers (who signed a TV deal worth about four times more than any other team) and the New York Knicks (who raised ticket prices 49 percent and will still sell out) make so much more than small-market competitors, it's bound to help make the playing field a bit less tilted at the very least.
Once again: in the absence of good news, we'll take the absence of bad news. That's what commissioner David Stern reports after NBA lockout talks broke up on Friday after a five-hour session, telling reporters that there was "no bad news" in the negotiations. Stern's deputy Adam Silver said the sides would continue to negotiate through and beyond the weekend to get a deal done, and the commissioner said that there have been no threats to cancel the season in the absence of immediate progress. He emphatically pushed back against a question as to whether the season would be zero games or 82 games.
Friday marked the third day of negotiations this week, with more promised starting at 10 a.m. ET on Saturday. The sides met briefly on Tuesday and Wednesday before breaking for Rosh Hashanah; the players' union brought in a number of star players for Friday's talks, and the league's full labor committee plus Mickey Arison of the Miami Heat represented owners. It's widely considered that this next week will determine whether the season begins on time on November 1.
NBA lockout talks have ended Friday evening after five hours of negotiations between players and owners. Derek Fisher led a press conference held by the National Basketball Players Association after the conclusion of talks, and said no new proposals were made and the meeting did get contentious at times. (No word on whether the presence of both Cleveland Cavaliers owner Dan Gilbert and No. 1 enemy LeBron James had anything to do with that.)
Fisher also said that he couldn't predict whether a deal would get done this weekend, but did say that no threats were made that the lack of a deal would kill the season. ESPN reported on Thursday that NBA commissioner David Stern had threatened to cancel the season completely if a deal wasn't reached by mid-week.
The regular season is scheduled to tip off on November 1. It's generally accepted that the league needs a handshake deal this week to start the season on time.
It's Friday night and it's time for some good feelings, you guys. Yahoo!'s Adrian Wojnarowski has talked to an official who has been briefed on how NBA lockout talks have gone Friday in New York City. These two tweets provide your daily dose of optimism:
From official who's talked w/ people in room: More than one previously hardline owner, including Dan Gilbert, has come wanting to make deal. Nevertheless, there's still no concrete information on whether the owners and players have made real progress. Yet, the vibe isn't bad.
Vague good news is better than vague bad news. While reports have varied recently as to whether guys like Robert Sarver were really willing to concede a season to get a preferable deal, Gilbert has always been seen as a staunch hawk on the issues driving the lockout. Having him amenable to compromise and -- joy of joy, basketball! -- would be a great thing, indeed.
Theo Ratliff, one of the members of the National Basketball Players Association's executive board, left Friday's NBA lockout talks in New York City just after 6 p.m. ET, and told the assembled reporters -- including Ken Berger and David Aldridge, who tweeted it out first -- that the meeting was still going and that the sides would also hole up together on Saturday.
Each side actually met independently until 2 p.m. ET on Friday, and may have split apart into their respective caucuses during talks. David Stern, the NBA's commissioner, had indicated previously that both sets of top-level negotiators had cleared their weekend schedules to work on a deal as the November 1 scheduled start of the regular season approaches.
Big names on both sides of the aisle are in attendance, as the full league labor committee, including Jerry Buss of the Los Angeles Lakers and James Dolan of the New York Knicks, participated and star players like LeBron James, Dwyane Wade, Kevin Durant and Carmelo Anthony made it in.
As players and owners meet in New York City in an attempt to settle the NBA lockout in advance of the scheduled November 1 start date for the regular season, bookmakers remain unconvinced a deal will get done. Bodog released odds for the full season being cancelled at 5/4, higher than the line for no games being missed, which is at 8/5.
Bodog has puts the odds of 33 or more games being lost at 3/1, and 31 games or fewer being missed at 4/1.
In 1998-99, of course, the league played 50 games after a deal was reached at the last minute in early January 1999. Commissioner David Stern had set a date in January as a deadline to save the season, and the league condensed a 50-game season into less than three months, complete with back-to-back-to-backs. It's unclear the league would consider playing a regular season smaller than 50 games, though it seems unlikely.
The stars are making their ways to New York City for the latest round of NBA lockout talks, reports Sam Amick of SI.com. Amick reports that LeBron James, Dwyane Wade, Kevin Durant and Carmelo Anthony are expected to take part in Friday's critical session between players and owners in the Big Apple, joining the National Basketball Players Association's executive committee, which is made up of far less notable players, with the exception of NBPA VP Chris Paul.
Kobe Bryant, returning to the United States from a European tour with Nike, is not expected to be back in time for Friday's session, Amick reports. The sides are, however, expected to bargain through the weekend.
In addition to a heavier set of players, reports suggest 15 team owners will join David Stern, Adam Silver and the league's leadership in New York. Traditionally, the two sides have made progress when meeting in smaller teams with less than a dozen people in the room. When the groups get larger, the talks collapse. Let's hope that changes this time around.
Leave it to the team owners to spend the NBA lockout coming up with rules that are woefully misnamed. Scott Schroeder passed on a report from Marc Stein that a whole slew of collective bargaining agreement changes are on the table this weekend, along with those big-ticket items like "will we have a season?" and "who gets most of the money the league makes?" One was the "Melo Rule."
The NBA lockout talks have been going on for 91 days as of Friday morning and, for the most part, it has seemed the only things the owners and NBA Players Association have talked about revolve around the "blood issue" of a hard cap and the split of BRI, short for Basketball Related Income. Fortunately, though, it seems that there have also been other factors being bandied about inside the negotiating room.
The two sides have put numerous other concessions on the table, according to ESPN's Marc Stein, with the proposed "Supertax" being the issue that would essentially replace the current hard cap that the players are so set against. The other issues would limit the length of guaranteed contracts, changes to the current system of Larry Bird Rights and the previously mentioned salary rollbacks and amnesty clause that was included in the last Collective Bargaining Agreement.
Below, a list of issues that Stein has learned should be discussed this weekend as the two sides meet in what seems to be an almost make-or-break negotiating session.
- The institution of a sliding "Supertax" that would charge teams $2 in luxury tax for every dollar over $70 million in payroll, $3 for every dollar over $75 million in payroll and $4 for every dollar for teams with payrolls above $80 million
- A provision to allow each team to release one player via the so-called "amnesty" clause and gain both salary-cap and luxury-tax relief when that player's cap number is removed from the books
- Shortening guaranteed contracts to a maximum of three or four seasons
- Limiting Larry Bird rights -- which enable teams to exceed the salary cap to re-sign their own free agents -- to one player per team per season
- Reducing the annual mid-level exception, which was valued at $5.8 million last season, to roughly $3 million annually and limiting mid-level contracts to a maximum of two or three seasons in length as opposed to the current maximum of five seasons
- A new "Carmelo Rule" that would prevent teams -- as the New York Knicks did in February with Anthony -- from using a Bird exception to sign or extend a player acquired by trade unless they are acquired before July 1 of the final season of the player's contract
- The abolition of sign-and-trades and the bi-annual exception worth $2 million
- Significant reductions in maximum salaries and annual raises and a 5 percent rollbacks on current contracts
It's worth noting that the proposed "Carmelo Rule" wouldn't have actually applied to the Anthony trade this past season between the Knicks and Denver Nuggets (hat tip to SB Nation's Tom Ziller for pointing that out). Anthony was still under contract for an extra season, thanks to his player option, meaning that his three-year extension upon signing in New York would have been allowed under the current rules.
It would be nice if the talks also extend to things not involving money this weekend. Regardless, the sooner the deal is done, the better -- especially if it saves the entirety of the NBA's regular season.
As the NBA lockout edges closer to the regular season, the financial advantage of the league's national TV contracts begins to come into play. But Sean Deveney of Sporting News reminds us of his July report that puts David Stern's reported threat to cancel the season if a deal isn't reached soon into context.
Deveney reported in July and again on Thursday that NBA only keeps its revenue from ABC/ESPN and TNT -- some $930 million -- so long as games are actually played in 2011-12. If the entire season is missed, the league would have to pay back that revenue to the networks plus interest. Assuming the reports are accurate, that creates a real incentive for the NBA to save the season, even if it means playing fewer than 82 games.
In fact, to get really cynical, it'd be in the NBA's best financial interest -- ignoring long-term impacts of brand damage and concerns for future media contracts -- to lose as many regular season games as possible to save on expenses like player payroll and game production costs, and then put together enough of a season to keep the media revenue.
We've checked with the media partners and the league for more information. We'll update this StoryStream as we learn more.
Chris Sheridan remains optimistic that a NBA lockout deal will get done in time to save the start of the regular season, which means that a deal would be done in another week or so. (NBA commissioner David Stern has said there will be "enormous consequences" if a deal isn't done this weekend.) Sheridan continues to point out that the aggregate dollars in such a deal are the important part as Billy Hunter and Derek Fisher, the leaders of the players' union, attempt to sell a settlement to their constituents.
Sheridan pegs the aggregate dollars at the deal point -- which amounts to a 51-49 or 50-50 split of revenue -- at $13.8 billion over six years, or an average of $2.3 billion per season. That's more than what players received last season ($2.17 billion), but far less than what they would have gotten had the revenue split remained at 57-43.
Check out Sheridan's post for a full rundown.
In the NBA lockout of 1998, NBA commissioner David Stern didn't draw a line in the sand for the cancellation of the full season of basketball until January, after months of games were missed. But Stern is reportedly starting that train right now, with ESPN's Marc Stein and SI.com's Sam Amick each reporting that sources say the league has threatened to skip a partial cancellation and axe the entire season next week if the parameters of a deal aren't reached soon.
The immediate reaction to the reports is that it is a bluff, a negotiating tactic aimed at getting players to soften up on the key issues at stake. Amick implies that it will have the opposite effect as the union calls in its star players, including Dywane Wade, LeBron James and Kobe Bryant, to attend the weekend meetings in New York.
What's clear is that after the Rosh Hashanah holiday, we're in crescendo mode. The lockout has been real for a minute, but heat is coming on fast.
Ken Berger of CBS Sports has covered the NBA lockout like a fire blanket, and he's got quite an interesting nugget in the aftermath of Wednesday's talks: part of the league's conceptual proposal offered on Tuesday included salary rollbacks for players under contract.
Needless to say, this is a controversial concept. The rationale Berger presents is that major decreases in the players' share of revenue going forward that are likely to be a part of a new collective bargaining agreement will unfairly impact stars just coming up for free agency, like Chris Paul, Dwight Howard and Derrick Rose. Players who have already locked in long-term contracts would be relatively safe from the new economics for a few years at least.
To make it more equitable across all players -- locked-up stars and pending free agents alike -- existing contracts would be docked a certain percentage while the cuts are phased. Rob LeBron James to pay Chris Paul, in other words. It does not appear that this concept went over very well; Berger reports that union officials deemed the idea "alarming" on Tuesday.
After NBA lockout talks broke for Rosh Hashanah on Wednesday, NBA commissioner David Stern told reporters that this weekend -- when sides will resume negotiations -- represents a "key moment" for the league. From CBS Sports' Ken Berger:
"There are enormous consequences at play here on the basis of the weekend," Stern said [...]. "Either we'll make very good progress, and we know what that would mean - we know how good that would be, without putting dates to it - or we won't make any progress. And then it won't be a question of just starting the season on time. There will be a lot at risk because of the absence of progress."
It's unclear if the mere cancellation of games is what Stern is warning players about, or whether he's implying that if the sides don't reach an agreement to preserve the scheduled Nov. 1 start of the regular season, the owners' proposal will become more draconian and painful to players.
More than a dozen of the league's team owners and a group of players including All-Stars are slated to join the talks on Friday. Traditionally in these talks, the larger the group negotiating has been, the less progress has been made. Let's hope that pattern changes.
The NBA Lockout continued with more bargaining sessions on Wednesday, but as both sides concluded early, they again left with out a new deal. They did, however, agree to more meetings this week.
The sessions on Wednesday concluded after four hours to honor the Jewish holiday of Rosh Hashanah, and at least one union official said, "We are not close to a deal." On the bright side, per Ken Berger at CBS Sports, Derek Fisher said that while the owners and players have yet to find common ground in the negotiations, the desire to make it work is strong on both sides.
The meetings will continue later this week, and may even include bargaining sessions this weekend if both sides think a deal is within reach. But for the record, as far as actual optimism is concerned, it's in short supply Wednesday as the deadline for negotiations nears, and the NBA lockout moves closer and closer to threatening the cancellation of regular season games.
As Yahoo! Sports' Adrian Wojnarowski tweets:
While the increased communication is good, the NBA and union are still far apart on terms to make a deal. The union does want to bring in several high-profile players for Friday's meeting, especially with such a big ownership turnout planned. The union believes its stars have been supportive behind scenes, but knows the membership would like to see the big names front-and-center.
In other words: both sides are still miles apart, but as the deadline nears, we can take solace in two, separate silver linings. First, both sides will meet Friday and continue into the weekend if necessary. Second, if part of the NBA regular season is about to go down in flames, then at least the owners will have to say it to the faces of some of the league's biggest superstars.
Wednesday is shaping up to be a pretty pivotal day as far as the NBA lockout talks are concerned. The chance that it seems both sides are advancing toward some sort of deal is also seeming more like a reality than hopeful optimism from those hoping to watch professional basketball in the near future, too, as reports indicate larger group meetings are planned for the weekend in New York.
"Word is players are headed to NYC for union meetings this weekend, with NBPA executive board," reports Newsday's Alan Hahn via Twitter. "A few star players expected to attend."
Ken Berger of CBS Sports confirmed the report, adding a few details of his own to what could be a big step if Wednesday's meetings go as well as one can hope.
If warranted, players -- and possibly owners -- could be in NYC to discuss latest bargaining developments, source says. Possibility of larger groups converging underscores importance of (Wednesday's) bargaining session.
Hopefully the two sides have something to agree upon in New York following Wednesday's meetings rather than having to go back to the drawing board.
The NBA lockout talks held Tuesday in New York City may have lasted only a couple hours, but they were fruitful nonetheless, as Yahoo!'s Adrian Wojnarowski reports that in the high-level, the league showed a willingness to abandon its push for a hard team salary cap. ESPN's Ric Bucher and CBS Sports' Ken Berger later reported similar news.
The pullback on the hard cap isn't without conditions, of course. In place of the hard cap, the owners reportedly want to make the luxury tax much more punitive to prevent teams from massively outspending their rivals. The owners also want to restrict use of the Bird salary cap exception to once annually, and shrink the size and length of the mid-level exception. They also want the union to concede on the revenue split players are due.
The two sides went back to their corners after exchanging the ideas on Tuesday, as the players' union representatives felt they needed to discuss the concepts internally. The two sides are scheduled to meet again Wednesday morning.
NBA lockout talks held Tuesday in New York City lasted just two hours before officials from the league and players' union separated to discuss their positions. Derek Fisher, the president of the National Basketball Players Association, told the assembled media that the two sides planned to meet again Wednesday before breaking for Rosh Hashanah.
Fisher also told reporters not to read into the brevity of Tuesday's meeting.
Since the sides last met on Thursday, the NBA cancelled 43 preseason games and indefinitely postponed the start of training camps. The league was scheduled to open camps on Oct. 3, which is next week. Obviously, considering the sides seem to be nowhere near a deal and there has been no free agency period, that became impossible to pull off.
Fisher told reporters that no new proposals were delivered on Tuesday, but that each side needed to discuss internally the ideas and concepts at play.
Derek Fisher, Los Angeles Lakers point guard and president of the National Basketball Players Association, sent a letter to players Monday that was subsequently posted by Marc Stein at ESPN.com. The letter urges players to continue to stand together during the NBA lockout as a cancellation of regular season games -- and paychecks -- moves closer. It says that the union will push back against a hard team salary cap so long as the players oppose such a structure, and asserts that fractures among ownership ranks will help the players' cause soon.
"There are a number of team owners that will not lose the season over the hard cap system. We've been clear from Day 1 of this process that we cannot sign off on a deal that attempts in any way to include a hard salary cap for our teams. That has not changed," Fisher said.
The letter came as reports suggested Fisher will be a part of small group talks on Tuesday and possibly Wednesday with October looming.
NBA lockout negotiations will resume Tuesday in New York City, reports CBS Sports' Ken Berger, as players' union director Billy Hunter has postponed a regional meeting in Miami to make himself available. The small, high-level teams that have most frequently met over the past month are expected to be the ones that reconvene.
There were concerns the league and union would not meet this week after talks broke down on Thursday. The union had one of its regular regional meetings scheduled Tuesday in Miami and Thursday and Friday mark Rosh Hoshanah, a major Jewish holiday that would lock a number of participants out of negotiations. But the union's move to postpone the Miami meeting opened up Tuesday and Wednesday for talks in New York.
Whether anything comes from those talks, however, is a tougher nut to crack. The league on Friday cancelled 43 preseason games and delayed the opening of training camps. A week from now, the NBA will consider whether to kill the rest of preseason.
With Friday's cancellation of 43 preseason games due to the ongoing NBA lockout, season ticket holders are in line for some cash. All 30 NBA teams were affected by the cancellations, and as such, all season ticket holders who pay for preseason games will be due some money back.
According to NBA policy, those fans will get refunds for any games missed due to the lockout plus interest. In an example, season ticket holders for the Sacramento Kings can opt to receive a refund plus 6 percent interest for all games missed once the lockout ends or the season is cancelled, or they can choose a plan that refunds the fan once monthly for any games missed plus 1 percent interest. The first of those refunds would be due in mid-November, according to the Kings' plan. Most season ticket holders have been paying for their tickets since February or March.
Refunds will also be going out to fans in non-NBA cities who have bought tickets for exhibition games off the beaten path. Kansas City's Sprint Center posted a message on its website shortly after Friday's cancellation announcement directing those who had tickets for the scheduled Oct. 15 game between the Miami Heat and Houston Rockets to return tickets for refunds beginning Monday.
The news that the NBA lockout has caused the postponement of the NBA preseason and training camps was bad, but the latest on the actual negotiations only softens the blow a little. The good news for NBA fans is that the owners have made a compromise on the percentage of Basketball-Related Income they are willing to offer the players. The bad news is that offer is still below 50 percent, according to Ken Berger of CBS Sports.
More details emerged Friday of a revised proposal from the owners on the split of revenues with the players, with two sources telling CBSSports.com that the aggregate share offered by the league remains below 49 percent.
The number offered Thursday by commissioner David Stern and deputy commissioner Adam Silver was deemed "unacceptable" by representatives of the National Basketball Players Association, according to one of the sources familiar with the proposal.
Under the previous NBA agreement, the players received 57 percent of BRI. They had offered to cut that figure down to 54 percent and have been willing to go even further down, but not this far as of yet. The good news, according to Berger, is that some progress is being made, albeit not much.
The NBA has officially announced it will cancel 43 preseason games and postpone training camps until an as yet to be determined date. This isn't anything that was unexpected, of course, but it makes the situation surrounding the NBA lockout seem just a bit more dire.
The NBA was expected to open training camps on October 3, less than two weeks away, with preseason games beginning not long after that date. The inability to achieve any sort of deal during Wednesday and Thursday's meetings between representatives for the owners and the players meant that at least a delay to the start of the NBA season was inevitable.
"We have regretfully reached the point on the calendar where we are not able to open training camps on time and need to cancel the first week of preseason games," NBA Deputy Commissioner Adam Silver said in a press release. "We will make further decisions as warranted."
The loss of some preseason games isn't the worst news as it's been long expected barring any sort of miracle, but the next thing set to be cancelled would be regular season games -- though that situation is much more important, and therefore avoidable, provided that David Stern and Derek Fisher can come to some sort of an agreement.
As SB Nation's Tom Ziller wrote earlier Friday morning, the date that the Collective Bargaining Agreement needs to officially be agreed upon is still up in the air.
This thing is going all the way down to the wire; it's actually fun to see reporters continue to push the "drop-dead" date for the season to be preserved. We'd thought Oct. 1 would mark a real deadline to save the season start, but Berger offers up Oct. 14 as a date that would delay the season start but get us 82 games. So sometime in the next three weeks, we'll actually have a drop-dead date.
That would mean there are about three weeks for the two sides to get something done. It seems possible, right?
Billy Hunter, the director of the National Basketball Players Association, spoke to Chris Sheridan after Thursday's NBA lockout talks in New York City. While there are conflicting reports as to just how much progress was made on Thursday, Hunter certainly works to keep up the appearance of doom first offered by NBA commissioner David Stern and NBPA president Derek Fisher, who told reporters on Thursday that they had "nothing to report."
Hunter held to his previous prediction that a lockout would cost the season.
"In general, we haven't made any progress," Hunter said. "I really don't think they're ready to do a deal. My position is that they said 2 years ago they were prepared to lockout for a year to get what they wanted, and I think the way they've negotiated gives every indication that that's bearing out.
"And while they're talking about not wanting to miss the season or having to cancel games, I'm not really sure that that's the truth," Hunter said.
Whether Hunter is speaking what he feels to be the truth or is posturing for effect to place more pressure on the league to cave is for you to decide.
Ken Berger of CBS Sports reports that while no proposals were actually accepted or formally offered during Thursday's set of NBA lockout talks in New York City, the owners did move on their revenue split desires. How far they moved remains unclear, but Berger cites sources who say that the gap between the players' union and league on what share of total NBA revenue players ought to be due is shrinking.
The owners' number, one of the people familiar with the details said, represented a willingness to move off their most recent formal proposal to cap player salaries at $2 billion a year for the bulk of a 10-year proposal. So, do the math: Assuming 4 percent revenue growth next season to $3.95 billion, the owners' $2 billion proposal represented roughly 50.5 percent of BRI for the players. If the players were willing to go down to, say, 53 percent with assurances that a soft cap would remain in place, that would be $2.094 billion -- leaving the two sides only $94 million apart in the first year of the deal.
The sides are due to meet next week, though bad news will come before them, as numerous reports suggest the NBA will cancel the first two weeks of the preseason schedule sometime Friday.
Yahoo!'s Adrian Wojnarowski reports that when the league announces on Friday that the NBA lockout has impacted the 2011-12 schedule, it will cancel the first two weeks of the preseason calendar, including the start of training camps and the first exhibition games.
Camps were set to open with leaguewide media days on Oct. 2. (In non-lockout seasons, a few teams typically begin the preseason overseas, and as such hold their media days earlier than the rest of the league. The NBA didn't send any teams overseas this year, though.) The NBA released an exhibition schedule over the summer that included six games on Oct. 9. Wojnarowski reports that those games and more will become lockout victims on Friday, after NBA commissioner David Stern speaks to the owners' labor committee.
More important, Woj reports that the bleak visage Stern and union president Derek Fisher presented after Thursday's talks weren't an act: sources told Yahoo! that the two sides "dug in" on points of contenion and found no middle ground on Thursday.
ESPN's Ric Bucher reports that the league will announce postponements for training camps and some preseason games on Friday due to the ongoing NBA lockout. League and players' union officials met Thursday, but apparently conjured up no progress in ongoing talks. Camps were slated to open Oct. 2 and the first preseason games are scheduled for the following week.
With opening night of the regular season slated for Nov. 1, the doomsday clock is ticking louder than ever. NBA commissioner David Stern did tell reporters on Thursday that league and union officials will meet again next week, though it's unclear where progress will come. The point of highest contention right now, according to reports, is the structure of the team salary cap.
Brian Mahoney of the Associated Press reported that Stern will speak to members of the owners' labor committee on Friday. The announcement to postpone training camps and games could follow shortly thereafter.
The NBA lockout talks held in New York City on Thursday between the top officials from the league and players' union have apparently yielded little if any progress, as NBA commissioner David Stern and his deputy Adam Silver left the meeting without anything to report to the assembled media. Silver told the press the sides wouldn't meet again until next week.
The NBA regular season is scheduled to open on Nov. 1. Preseason games are scheduled in early October. Training camps are supposed to open on Oct. 2. All dates seem in imminent danger of delay or worse.
This specific group of officials last week two weeks ago. After what appeared to be progress in those talks, the league and union assembled broader committees to bargain last week, but that Tuesday session crashed and burn when two owners -- the Cavs' Dan Gilbert and Suns' Robert Sarver, reportedly -- refused to concede on a push for a hard team salary cap. After Stern caucused with his owners on Thursday, he told the media the league remained committed to a hard cap, but that he had permission to negotiate all points of a deal.
David Stern and leaders from the players' union began their latest round of NBA lockout talks at 10 a.m. ET on Thursday, according to NBA.com's Steve Aschburner. Like recent sessions that had apparently yielded some progress, the invite list was short: just four officials each from the league and union are reportedly in the room, including just one team owner (the San Antonio Spurs' Peter Holt) and one player (the L.A. Lakers' Derek Fisher).
At this point, with training camps supposedly to open in less than two weeks, nothing short of rapid progress will get the complete preseason schedule saved. In another couple of weeks, the start of the NBA regular season -- slated for Nov. 1 -- will be in real jeopardy. That puts these talks on Thursday in a huge place of importance, especially coming off the unified stands each side presented following internal meetings a week ago.
When the NFL lockout was finally solved in July, it took the main characters bunkering down for several days to hammer out the framework of an agreement. One assumes that if the NBA seeks to preserve its schedule, it will end up doing the same. The league and union can't wait much longer to get to that point, and fans would love nothing more than to see the sides make that commitment to hammer it out right now.
On Thursday, David Stern is trying to negotiate an end to the NBA lockout. More importantly, reader Brian D. reminded us that on Thursday, David Stern turns 69 years old. Shortly after this reminder, a source came through with the flyer for the Commish's birthday bash. Let's hope he can unwind from all of these stressful bargaining sessions! The flyer is after the jump.
When NBA owners talk about contracts being guaranteed for too long, for too much money, and to players who don't deserve them, they're basically talking about former Magic forward Rashard Lewis. He of the six-year, $118 million contract back in 2007. But Lewis has a pretty simple counterpoint for all the owners out there.
As he tells Michael Lee of the Washington Post:
Talk to the owner. He gave me the deal. When it comes to contracts, the players aren’t sitting there negotiating that contract. I’m sitting at home and my agent calls me, saying, ‘I got a max on the table.’ I’m not going to sit there and say, ‘Naw, that’s too much. Go out there and negotiate $20 or $30 [million] less.’
As a rebuttal, that's just about perfect. But look closer, and it's a little frustrating.
Via Alan Hahn, Los Angeles Times hockey writer Helene Elliott points out just how closely the rhetoric of the NBA lockout has matched that of the disastrous 2004 NHL lockout, which cost hockey an entire season. And now, with news that player agents aren't ready to step aside and let the players' union leadership work out a deal with the league, the comparison becomes even more terrifying.
While player agents haven't been able to execute their alleged plot to take over the players' union, Yahoo!'s Adrian Wojnarowski reports that those very agents are now planning to rally against an eventual NBA lockout deal between the union and the league. Woj reports that agents feel that the union, led by Billy Hunter and Lakers guard Derek Fisher, is poised to make huge concessions to end the stoppage. Agents feel that these concessions would be "crippling."
Privately, the most influential player agents in the business swear they won't let Billy Hunter cut a crippling collective bargaining deal. They won't let his parting gift to the union membership be deeper concessions, givebacks to the owners. They can't storm the negotiating room in New York this week, but they believe they can ultimately stop the ratifying of a deal. They can deliver the percentage of players needed to decertify the union. They believe they still can unleash holy hell on this sure, steady capitulation to the NBA.
It's unclear what specific concessions would lead to an agent-led uprising; the current proposal on the table, since rejected by the league, is a 53-percent share of revenue for the players and a continuance of the soft team salary cap structure. That doesn't seem particularly crippling, but Woj mentions that some forecast that the split will eventually get down to 50 or 51 percent.
One thing is clear, though: if a deal is reached and agents kill it by leading a clandestine roll to decertification, they and the players they bring with them will be vilified to no end.
As owners determine what exactly they are willing to agree to in a deal to end the NBA lockout, The Oregonian's John Canzano reports that the league has apparently reached a consensus on approving an amnesty clause that will allow teams to remove one player from their books completely. Canzano said that, like the 2005 amnesty program falsely dubbed the Allan Houston rule, players would still get what was owed to them, but would be waived and the luxury tax payments the team owed would be reduced by that players' salary.
But unlike the Houston rule, Canzano said the current proposal under discussion would wipe the waived players' salary off of the team's salary cap sheet. For the Portland Trail Blazers, that would mean waiving a player like Brandon Roy would give the team a chunk of cap space for this offseason.
This would obviously help the implementation of a hard team salary cap, should the league continue to press for that restructuring of the cap. The players' union continues to claim they will not approve a collective bargaining agreement that includes a hard cap.
Derek Fisher, the president of the National Basketball Players Association and a point guard for the L.A. Lakers, appeared on ESPN's Jim Rome Is Burning on Wednesday to talk about the NBA lockout in advance of a reported meeting between top officials of the players' union and the league on Thursday.
Fisher defended the NBA's star players, who have been far less visible than some would like as the lockout winds through its third month. Fisher said that stars including Kobe Bryant, LeBron James and Amar'e Stoudemire have been at meetings or on conference calls throughout the negotiations, and that the union has sought to allow its elected executive committee -- which Fisher leads -- handle most of the public speaking opportunities.
Fisher also reiterated that the union had no interest in losing its demand for the continuation of the current soft salary cap structure.
"We've been clear on that from the beginning," Fisher said, referring to the players' refusal to accede to a hard cap system supported by ownership.
While Fisher wasn't asked about Thursday's meeting or a reported meeting between attorneys from the two sides happening on Wednesday, he did say he believes a fair deal can be completed in time to save the season start of Nov. 1.
The NBA lockout is nearly three months old, and it's now running up against the calendar as training camps are slated to open on Oct. 2. Howard Beck of the New York Times reports that despite planned meetings between lawyers from the league and players' union in the next couple days, the opening of training camps will soon be delayed.
Postponement of training camps should come soon. It's a foregone conclusion. No way to get a deal done and sign players by Oct. 2.
Ken Berger of CBSSports.com reports that a Wednesday meeting between lawyers and staff would lead into a bargaining session between the top officials from each side -- David Stern, Billy Hunter and Derek Fisher included -- on Thursday. The Wednesday meeting is seen as an attempt to reconcile what concessions or ideas each side plans to bring back to the table after talks stalled early last week and each side met with its constituency.
The clock is ticking, and with each day that passes without a collective bargaining agreement, the NBA lockout gets closer to threatening the regular season. So in the spirit of troubleshooting as soon as possible, this week David Stern and Billy Hunter are reportedly working to broker a small meeting between powerful leaders on both sides.
As CBS Sports' Ken Berger reports (via Twitter):
This being a critical week preserve on-time start to season, league and union trying to arrange small, high-level meeting, sources confirm. Bargaining sessions would take place tomorrow and/or Thursday featuring heavy hitters: Stern/Silver/Holt vs. Hunter/Fisher/Klempner.
There is a feeling that the developments last week paved the way for movement by both sides. League, players understand time running short. Key for players, sources say, is that league comes back from BOG in Dallas last week with revenue sharing details. Enhanced revenue sharing, and a commitment from owners on when to implement it, could be key piece that moves talks forward.
Last week, the NBA lockout turned into a Clancy, with wide reports that five top agents were plotting to execute backdoor decertification and, as a result, knock National Basketball Players Association director Billy Hunter from power. In response, Hunter brought NFLPA director DeMaurice Smith to a players' meeting to calm the decertification storm while NBPA president Derek Fisher fired off a letter to players aimed at neutering the overthrow attempt.
Did it work? We'll see. But if the current pleas of Mark Bartelstein -- one of the powerful agents said to be involved in the clandestine decert push -- are any indiciation, we can award the point to Hunter and Fisher. In an interview with SI.com's Sam Amick, Bartelstein denies any backroom strategizing among agents to knock Hunter out of power has happened.
The way this thing reads, it's like there's all this plotting going on. That's just not true. The idea has never been to blow up the union. This idea that there's a secret agents to blow the union up is completely wrong. The idea that there's this diabolical plan going on is wrong.
Diabolical plans are in the eyes of the beholders; no doubt Bartelstein and Hunter could see the identical meeting in different ways based on their positions and biases. It's hard to imagine Hunter and Fisher would respond so forcefully if they didn't believe all that smoke was put off by a fire Bartelstein was involved in creating. But it's easy to see how, at the same time, the plan may have been exagerrated as everyone gets a bit more touchy in these stress-riddled times.
There's something for everyone in Tim Donahue's latest collective bargaining proposal at 8 Points 8 Seconds.
Who said Kobe Bryant and other superstars aren't taking a big enough role in the NBA lockout? Lance Pugmire of the Los Angeles Times spoke to Billy Hunter, the director of the National Basketball Players Association, about the course of the lockout and the players' preparation. Included in that talk is a mighty interesting tidbit about what Kobe and other unnamed stars have agreed to do if the lockout cuts into the regular season and players start missing paychecks. Here's Hunter:
I know Kobe is intimately involved in interfacing with colleagues and sharing in a pool of revenue to help the others get through this. Kobe has volunteered to do that in the event others need, he and others are prepared to loan money if necessary.
So if Chris Kaman spends all of his rainy day fund on ammunition and spatzle, Kobe will be ready to help pay the rent. If you're of the mind that lockout could stretch into January and threaten the entire season, you should consider this about the most impactful contribution Kobe can make to the union's cause. No matter how prepared Hunter says the players are, there will be a few pushing for resolution at all costs just to get their checks.
Maurice Evans is the Vice President of the National Basketball Players Association and a pending free agent as soon as the NBA lockout is solved. The former Washington Wizards guard has not signed a deal to play this season overseas despite his free agency, however, as he is pretty optimistic that a deal will be struck before too much of the regular season is lost.
Following Thursday's meeting in Vegas, in which 35 players were caught up on the current negotiations between the players and the owners, Evans reiterated just how confident he is that the NBA lockout won't last too long.
In the ongoing NBA lockout -- 79 days and counting -- this past week was one of disunity, as owners reportedly quarreled over whether to stick with their demands for a hard salary cap and player agents renewed their push for decertification. The latter battle has apparently picked up a major ally, as SI.com's Sam Amick reports that Leon Rose, who represents LeBron James, Chris Paul and a number of other stars as the top agent with CAA, is in favor of decertification of the players' union.
Five agents, including the high-profile Arn Tellem, reportedly discussed pushing for decertification without cooperation from union leadership this week. National Basketball Players Association president Derek Fisher sent a letter to players before Thursday's meeting in Las Vegas reinforcing unity and pointing out that the agents so dissatisfied with the strategy employed by Fisher and NBPA director Billy Hunter haven't discussed the issues with the leadership itself.
Rose hasn't gone public with his support of decertification; the issue may be moot if an expected National Labor Relations Board decision comes soon, as that could dictate the legal path forward.
The NBA lockout is on the verge of threatening the NBA regular season, but according to some reports, the owners were willing to reach a compromise on a new collective bargaining deal this week. That is, until Dan Gilbert and Robert Sarver spoke up to oppose it.
After initial optimism from both sides, the latest talks were derailed when the owners left the players in New York City to deliberate amongst themselves. ESPN's Dave McMenamin has the scoop:
Owners were seriously considering coming off of their demand for a salary freeze and would allow players' future earnings to be tied into the league's revenue growth, a critical point for players. The owners also were willing to allow the players to maintain their current salaries, without rollbacks, sources said.
But when the owners left the players to meet among themselves for around three hours, Cleveland's Dan Gilbert and Phoenix's Robert Sarver expressed their dissatisfaction with many of the points, sources said. The sources said that the Knicks' James Dolan and the Lakers' Jerry Buss were visibly annoyed by the hardline demands of Gilbert and Sarver.
Indeed, it seems the two sides were closer than it appeared, only to have the minority opposition sabotage this week's progress. And just like that, Suns' owner Robert Sarver and Cavs' owner Dan Gilbert just became public enemy nos. 1 and 2 in the ongoing story of the NBA lockout.
The NBA Players Association held a meeting in Las Vegas to discuss the NBA lockout, and one of the guest-speakers was NFL Players Association head DeMaurice Smith. Smith was invited by NBPA president Derek Fisher to speak to the players in attendance about the importance of staying united. He also said that decertification, an option reportedly favored by many high-powered agents, wasn't going to automatically solve the problem.
In his remarks to the union Thursday, Smith said several times that decertification was not a "silver bullet" that would solve all problems. He pointed out that even though the NFLPA decertified in advance of the lockout imposed by the NFL last March, the two sides continued negotiations until a new 10-year collective bargaining agreement was reached in July.
The meeting was attended by only 35 players or so, according to Ben Golliver of CBS Sports. One was Phoenix Suns forward Jared Dudley, who dismissed concerns over the low turnout:
"To me, does it matter? You can spin it that way. At the end of the day, I wasn't in a couple of the meetings in New York. Does that mean I'm not unified? I think that would be wrong to write that. At the end of the day, we all have to write papers, we all have to write stuff."
Remember when the NBA and NBA Players Association agreed to tone down the rhetoric during the NBA lockout? This T-shirt, being worn by players out at the Impact Basketball League in Las Vegas, doesn't seem to be helping.
(via @blazersedge).
As the week has unfolded and the prospect of missing regular season games has become more likely, there have been signs of dissent among the NBA Players. Thursday, with the players set to meet in Las Vegas, NBAPA President Derek Fisher sent an impassioned letter to his constituents, urging them to remain united.
Sports Illustrated obtained a copy of Fisher's letter, and key sections are below.

I've made it clear, I want to play. You have each made it clear, you want to play. The fans have been unwavering, they want their basketball. The thousand of employees that work in the arenas, the ticket offices, the concession stands, they want a season. We all want to go back to work.
[...]
The most recent meetings in New York were effective. What you have been told by your agents, representatives and the media is probably speculative and inaccurate.
[...]
Decertification seems to be a hot button issue today in the media. So I'd like to address it. I've read yesterday's stories and find the position of these agents interesting. I have made myself available to each and every agent. But not once have I heard from them. If they are so concerned about the direction of the union, then why have they not contacted me? Each and every one of them mentioned has been in meetings with me. I've answered their questions, I've been told they support you, their players and our Players Association. So if there is a genuine concern, a suggestion, a question, call me. Email me. Text me. I'm working tirelessly each and every day on behalf of the over 400 players that they represent. Working for nothing but the best interests of THEIR guys. I don't make a commission, I don't make a salary for serving as President. I have NO ulterior motives. None.
It is because they have not come to me once that I question their motives.
I work every day on these negotiations. I work so that each player from Blake Griffin to Tyler Hansbrough, Pau Gasol to De'Andre Jordan, Dwight Howard to Jrue Holiday, Taj Gibson to Danny Granger, Steve Nash to Luke Babbit and every single player get a fair and reasonable deal. Not just for this year, not just for next year but for years to come. So that the league that WE the players largely helped build, continues to grow and thrive.
So to address the agents that have decided to say their piece yesterday, I don't mind. Perhaps they are trying to make news. Perhaps they just want to show you, their clients, they are working hard. But what would be appreciated by the 400+ players would be the support of our agents and constructive ideas, suggestions and solutions that are in our best interests.

How his arguments will be received is another matter entirely, but if the union's going to fall prey to an attack from player agents upset with the way negotiations have gone thus far, we know that Derek Fisher won't go quietly. You can read his entire letter at Sports Illustrated.
As the NBA lockout continues, one of the major issues is the supposed divide among the big-market owners and small-market owners. In theory, the big-market owners would prefer to keep the current conditions in place because it gives them a competitive advantage over the small-market owners that are not making enough money to compete. That's what makes the news that Los Angeles Lakers owner Jerry Buss is in favor of a hard cap and more robust revenue sharing both surprising and significant.
Via Kevin Ding of the Orange-County Register:
Dramatically increased revenue sharing will inhibit the Lakers’ spending. A hard cap will flat-out prevent the Lakers from spending. It’s lose-lose when Buss is 77 years old and determined to come from behind the Boston Celtics in total championships, 17-16.
Yet the Lakers have accepted it. Why?
For the greater good.
That's a tremendously important development. If Buss is willing to accept weakening his own team's competitive advantage to help solve one of the league's major issues in this lockout, then it means that a robust revenue sharing plan is on the horizon. It also means that the owners' collective resolve for a hard cap, which is something the NBA Players Association has steadfastly opposed, has also grown greater.
Perhaps commissioner David Stern was right that his owners are more united than it would seem.
The NBA lockout is at a rather pivotal point in the negotiations between the owners and players as each side is currently locked in an impasse that will soon alter the upcoming season. The NBA Players' Association will get a closer look at just what a continued lockout might lead to, though, as union president Derek Fisher has invited NFL Players' Association head DeMaurice Smith to speak to the players during a meeting in Vegas on Thursday morning.
Fisher told Sports Illustrated's Sam Amick that the reason Smith has been invited to the talks is to "help buoy the players' spirits after discussions with the owners broke down on Tuesday while also educating them on the complex issues involved in this process."
One of the reasons Smith has been invited is probably to help educate the players on the option of decertification of the union, a possibility that is currently being pushed for by agents after watching the union fail to be able to get anything solved since negotiations began.
"I asked Billy (Hunter, NBPA union president) one time, I said 'What are the negatives of decertification?' If two months from now, four months from now, we had no deal done, would it be a negative to decertify but you still talk to (the owners)?" Phoenix Suns player Jared Dudley told Amick. "It was kind of iffy on the answers. "That's something I'll bring up to him (on Thursday). He's very open to discuss that, and he needs to discuss that. He's our leader."
It will be interesting to see what comes out of the meeting and, ultimately, to see what might happen with the decertification process after the players are able to quiz Smith on the subject.
If Tuesday's "bad day" of the NBA lockout talks wasn't chilling enough, consider this slice of the aftermath: two reports suggest that a collection of five major agents who collectively represent 30 percent of the league's players are planning a "coup" of the union, looking to push Billy Hunter aside and pursue a more aggressive drive against the owners.
Henry Abbott and Chris Broussard reported on ESPN.com late Tuesday that the agents -- Arn Tellem, Bill Duffy, Mark Bartelstein, Jeff Schwartz and Dan Fegan -- spoke via conference call Monday to discuss a plan to make a push toward decertification of the union. That's what the NFL's players' union did back in April in order to clear the path toward anti-trust litigation against the league. The National Basketball Players Association has to date avoided decertification, instead opting to wait on a decision from the National Labor Relations Board on an unfair business practices complaint against the league.
Yahoo!'s Adrian Wojnarowski reported similar information, but also quoted an anonymous agent who said the agents involved in the overthrow attempt have become "militant against the union." If that doesn't sound good, it's because it shouldn't. The agent also warns that the union's Thursday meeting in Las Vegas -- where several dozen players will be -- will get ugly as Hunter and NBPA president Derek Fisher try to deflect pressure.
Meanwhile, no one seems to know when the NLRB will produce a decision. It could be any day, and a win for the union there could give Hunter just the boost he needs right now.
Based on the rhetoric that came out of Tuesday's NBA lockout meeting between the owners and the NBA Players Association, you'd have thought that both sides took a major step back. However, according to Ken Berger of CBS Sports, the opposite is true. In fact, there was significant movement on one of the biggest issues of the lockout: the Basketball-Related Income split.
Neither side would say how far the players moved economically, but a person with knowledge of the negotiations said they expressed a willingness to move lower than the 54.3 percent of basketball-related income they last proposed on June 30 as a starting point in a six-year deal. Stern disputed the players' contention that the owners haven't made an economic move since the day before the lockout was imposed. Nobody outside the room knows how many millions the two sides shaved off the gap, but it hardly matters since everyone seemed willing to concede that they've at least dipped their toes on common ground when it comes to dollars.
"I'd just say it's on the road, and we know how to negotiate over dollars when the time comes," Stern said.
The old Basketball-Related Income split has the players receiving 57 percent of all income. A previous proposal by the NBPA knocked that down to 54 percent, and now, it's been knocked down further. The two sides are still far apart on the issue of a hard salary cap, but as Tom Ziller implies, that's the kind of thing that should be solvable, assuming both sides are willing to actually compromise.
The NBA lockout took a turn for the worse on Tuesday following the most recent meeting between the owners and players. Unfortunately for fans of professional basketball, Tuesday's talks seem to have been in stark contrast with the last meeting, which seem to have been filled with optimism.
Corey Maggette, current player for the Charlotte Bobcats and noted bicep-building enthusiast, summed up the discouraging turn of events in an interview with ESPN's J.A. Adande.
"We just took eight steps back," Maggette said. "Someone needs to compromise. The owners have to compromise."
Amid the hellfire and despair of the apparent breakdown in NBA lockout talks on Tuesday came one slightly positive, albeit likely irrelevant, nugget of news. Officials from the NBA and National Basketball Players Association met Tuesday in New York City in an attempt to find some progress before reporting back to their bases on Thursday. The NBA's owners are slated to meet in Dallas Thursday, while the players' union will host a large meeting in Las Vegas.
Despite an apparent complete lack of progress on Tuesday, NBA commissioner David Stern said owners will not vote to cancel training camps or preseason games when they meet on Thursday. Training camps typically begin in the waning days of September. The first preseason games are slated for the first week of October.
The dour statements from union officials following Tuesday's meeting, however, make it seem as tough it's only a matter of time before schedule changes are necessary. The calendar can only crawl along so slowly.
NBA commissioner David Stern backed up the rhetoric coming from the NBA Players Association that Tuesday's NBA lockout bargaining session did not go well, saying the two sides "did not have a good day." However, he still reiterated his desire for the NBA season to begin on time. Via Ken Berger of CBS Sports.
Stern says it's "still our goal" to start season on time.
Stern said the reason for the issues on Tuesday stemmed from the players insisting the soft cap remain in place in return for concessions on the basketball-related income. Deputy commissioner Adam Silver said the players had an "emotional attachment" to the current cap system and would only accept the concession on the BRI if the cap remained in place as is. Deputy commissioner Silver also took issue with the NBPA's rhetoric following the meeting.
As for the news that the owners met for a while separately, Stern admitted that the owners spent "substantial time" discussing a revenue sharing plan.
As the rhetoric coming out of Tuesday's NBA lockout bargaining session between the owners and the NBA Players Association continues to worsen, there was one piece of information that may provide a clue as to why that happened. According to Ken Berger of CBS Sports, the owners present spent over half of the five-and-a-half hour session talking among themselves.
[NBPA head Billy] Hunter says there's a "division of interest" within ownership. Owners spent three of 5 1-2 hours meeting amongst themselves.
This could mean a lot of things, but it certainly does not bode well for this dispute being solved. It also throws a wrench into David Stern's proclamation a month ago that he's "never seen such unity of purpose" among the owners.
If Hunter's statement is correct, it means the owners still do have a lot to resolve in their own camp after all. This exact scenario is something SB Nation's Tom Ziller predicted several weeks ago.
The news from the NBA lockout talks in New York City is about as bleak as you can imagine. After it became clear that, at least from the players' union's perspective, no progress had been made, the question was just how deflated the top negotiators had gotten.
National Basketball Players Association director Billy Hunter sums that up in one quote, via CBS Sports' ace Ken Berger:
Hunter bombshell: "We've advised (players) they may have to sit out half the season before we get a deal."
In 1998-99, the league had to restructure with a 50-game season as a deal wasn't reached until early January. The 2011-12 season is scheduled to begin on November 1, and NBA commissioner David Stern has set an unofficial deadline at the end of September to get the docket underway on time.
NBPA president Derek Fisher, the Los Angeles Lakers' point guard, was similarly pessimistic after Tuesday's meeting. From USA Today's Jeff Zillgitt:
NPBA prez Derek Fisher said he doesn't "feel like training camp and season will start on time."
Stay tuned for news from David Stern's inevitable chat with the press.
High hopes swirled heading into the latest NBA lockout talks on Tuesday in New York City, as the full NBA labor committee and National Basketball Players Association executive committee assembled to pick up where a smaller, more high-level group left off last week. But apparently, there will be no salvation for NBA fans any time.
At the end of a session that reached nearly six hours, NBPA vice president Roger Mason of the New York Knicks tweeted the bad news.
Just finished a long day of negotiations. Unfortunately we are No Where Near a deal! It's def disappointing!
NBPA director Billy Hunter continued the discouragement. From CBS Sports' Ken Berger:
Hunter: "The owners are unwilling to move off of the position on which they've anchored themselves."
Hunter also said that he is pessimistic that the 2011-12 season, slated to open on November 1, will begin on time.
A select group of the top officials from both sides met last week in New York, and a relative wealth of positive-seeming tea leaves had a number of reporters suggesting the season's start could be saved. With no further meetings scheduled as of yet, those rosey inclinations are sure to dry up.
The top committees from the league and players' union will join the latest NBA lockout talks on Tuesday in New York City, as the two sides attempt to find an agreement in the next couple weeks that can save the November 1 start of the 2011-12 season. The last three meetings have included only the very top officials from the NBA and union; Tuesday's meeting will feature the league's labor committee and the union's executive committee, bringing the count of voices in the room from 7-8 to more than two dozen.
But don't expect a comprehensive proposal to start the day. Howard Beck of the New York Times reports that those familiar with the talks expect a collaborative approach building a single, joint plan going forward.
As one person monitoring the talks said, "They're not just sticking to one side and saying, ‘We're not moving.' "
That is a vast improvement from August and puts these talks light-years ahead of where they were during the 1998 lockout. While the circumstances may differ, the comparison is worth noting.
Beck goes on to remind us of the slow pace the 1998 talks took, and notes the personality difference with the replacement of Russ Granik by new deputy commissioner Adam Silver and of Patrick Ewing with new NBPA president Derek Fisher.
After Tuesday's meeting in New York, the union will hold a large meeting in Las Vegas on Thursday while the owners meet in Dallas. It's unclear whether there will be reason to reconvene quickly to hammer out details of a new deal, or whether this is all a mirage.
Chris Broussard of ESPN reports that Charlotte Bobcats owner Michael Jordan has been fined $100,000 for comments made to an Australian newspaper regarding the NBA lockout and specifically the need for a hard salary cap. MJ was talking to the paper about a golf event, but the chat apparently strayed to labor matters and, oddly, Australia native Andrew Bogut.
Jordan is considered one of the owners is most need of a completely revamped economic system for the NBA, as Charlotte has struggled to become competitive since expansion in 2004. Jordan played less to buy the Bobcats than what Robert Johnson paid to found the team in 2004, showing that not every franchise gains value over time.
Two teams have reportedly previously been fined for making inappropriate lockout-related comments in violation of NBA commissioner David Stern's gag order. Team employees are also not allowed to speak to or of players, unless granted an exception by the league office.
The New Jersey Devils are $100 million in debt, and the Devils-operated Prudential Center in Newark -- where the New Jersey Nets will be playing if there's a 2011-12 season -- has another $180 million in loans out. Reports suggest the Devils are on the verge of bankruptcy. And if the NBA lockout costs the Nets the season, the Prudential may not be far behind.
CBS Sports' Ken Berger reports that despite more frequent and optimism-inducing NBA lockout talks occuring over the past two weeks, no major movement has been madeon a serious financial gap between the league and players. Berger cites five anonymous sources who have been briefed on the three sets of high-level talks between top officials from the league and players' union that have occured since August 31.
From Berger:
"I don't think they've made any progress there at all," one of the people briefed on the negotiations told CBSSports.com. "They're talking a lot, and the conversations are more cordial. But as far as the real numbers, I don't think there's anything there."
It's not all gloom, though, as Berger reports that the purpose of expanded talks including the full NBA labor committee and union's executive committee scheduled for Tuesday is to present the ideas developed over the recent talks to a wider audience and take a temperature check on their saleability to the wider bases.
Henry Abbott has a fantastic project at TrueHoop, laying out the NBA lockout and revenue sharing positions of all 30 NBA team owners (though fittingly the Atlanta Hawks' situation remains unclear). It's exceptional, important work, and I encourage you to read it. (There's some fantastic nuggets of reportage in there, in addition to the raw utility of the project.)
But if you're interested in the nuts and bolts, I've popped the conclusions into a Punnett square. Doves don't want to lose a season and don't need a major reset of the collective bargaining agreement, as determined by Abbott. Hawks need a reset and are willing to lose a season. The desire for robust revenue sharing is straightforward, but note that I put anyone Abbott reported to be indifferent into the "no" column. Square below, further notes after the jump.
Top league and players' union officials met to discuss a resolution to the NBA lockout on Thursday, talking for the second straight day and third time in eight days. The result: an agreement to hold additional talks. According to reporters on the scene via Twitter, NBA commissioner David Stern announced that the full labor committees from the league and union will meet Tuesday in New York City.
From USA Today's Jeff Zillgitt:
Reason for larger group meetings? Larger parties are "ultimately responsible for making a deal or deciding that there shouldn't be a deal," Stern said.
Just the top officials from each side had been meeting in recent sessions. Those talks have included Stern, deputy commissioner Adam Silver, San Antonio Spurs owner Peter Holt, National Basketball Players Association director Billy Hunter, the Los Angeles Lakers' Derek Fisher and a couple of top attorneys. The full committees to assemble on Tuesday include more team owners and player representatives.
The NBA locked out its players on July 1 after failing to reach an agreement with the union on a new collective bargaining agreement in talks over the past two years. In 1998, the NBA began canceling preseason games when it did not have an agreement as of September 24. The season didn't begin until January 1999, and then on an abbreviated schedule.
The 2011-12 NBA season is scheduled to begin November 1.
Roger Mason is in the news because he tweeted "Looking like a season" after Wednesday's NBA lockout negotiations between David Stern, Billy Hunter and the other very important people. (Note: Mason was not one of these very important people, though the union leadership, of which Mason is a member, did have a call planned after the session to get an update on the NLRB filing.)
Mason deleted the tweet and claimed hackers did the deed. But BDL's Eric Freeman brings up a good point: what if Mason was responding to a question that wasn't about the lockout? Here are some questions Roger Mason may instead have been answering.
After almost two months of relative inaction, the pace of negotiations in the NBA lockout is rising. So is optimism that the 2011-12 season can be saved.
Top players' union and league officials met Wednesday in New York to tug out some more progress in lockout talks. While NBA commissioner David Stern was mum on what was discussed and wouldn't project optimism, according to reporters at the scene, players' union director Billy Hunter did let loose a rare bit of sunshine. From Ken Berger, who you should be following on Twitter (@KBerg_CBS) if you care one bit about the lockout:
Full Hunter quote, when asked if enough time to reach deal: "I think there is. I think there clearly is. There's more than enough time."
As a result of that optimism and the ticking, invisible clock sitting somewhere around October 1, the two sides will meet again Thursday and possibly Friday, Berger reports.
Officials from the league and players' union will speak to the federal judge Paul Gardephe on Wednesday to discussing the NBA lockout suit filed by the league, reports CBS Sports' Ken Berger. Gardephe has called a 5 p.m. ET conference call on Wednesday to discuss scheduling issues and the union's planned motion to dismiss.
Earlier on Wednesday, as reported by SI.com's Sam Amick last week, the two sides will meet in the third bargaining session of the lockout. It's an understandably tricky balance for David Stern and Billy Hunter to navigate, as they attempt to show good faith in negotiations to make progress through September while also needing to use the courts as leverage should things go sour again.
The National Labor Relations Board is also expected to announce soon its decision on the union's unfair labor practice complaint against the league. That's considered the union's best weapon against the league's warchest.
Chris Sheridan, writing for his new site SheridanHoops, suggests that despite soaring rhetoric and a complete lack of compromise through 66 days of the NBA lockout, the stoppage is closer to settlement than you think. Sheridan crunches the numbers to ascertain that the sides are only $170 million apart on player salaries for 2011-12, and $3 billion apart on what Sheridan terms "aggregate dollars" over the life of a six-year collective bargaining agreement.
Union officials had been insisting that the league was pushing to decrease player salaries by more than $8 billion over 10 years, but Sheridan points out that this neglects the givebacks that players have already offered and the likelihood that the deal will be six instead of 10 years.
I have been saying all along that there is too much to be lost by having a work stoppage that extends into the fall and forces the cancellation of games. And with the NBA coming off a fantastic season in which attendance, ratings and merchandise sales all skyrocketed, there is took much risk of punishing the product to go too far down the bumpy road the owners have chosen to take.
At the end of the day, they have too much to gain by making a deal that gives them a significantly larger share of the pie that what they were getting under the old deal.
Sheridan also notes that Oct. 1 is the likely drop-dead date in terms of starting the season on time for an agreement on the big issue, the players' share of revenue.
NBA lockout news has been, for the most part, doom and gloom ever since the owners decided to shut the door on its players following one of the best NBA seasons in recent memory. Following up on a seemingly productive meeting on Wednesday, the NBA and its Players' Association will meet again next week.
Sam Amick of Sports Illustrated reports that the two sides have agreed to meet in consecutive weeks after previously meeting just once in the first two months of the lockout.
As was the case with Wednesday's six-hour meeting in New York, next week's session is expected to include only a small group of representatives and will likely take place on Wednesday or Thursday.
The two sides are apparently hoping to come to an agreement before September 15, a rumored deadline to cancel the NBA's preseason, but just the fact that they are meeting again so soon is reason for optimism -- even if they're unable to come to an agreement on time to save the exhibition schedule.
The central news from Wednesday's NBA lockout talks between David Stern, Derek Fisher and the other top-level officials from the league and players' union was that neither side would be talking about the talks or the state of negotiations in the media. Neither official would characterize the actual substance of talks on Wednesday, and didn't offer specifics on when the parties would meet again.
Fisher did, however, let a little news loose. From NBA.com's Steve Aschburner:
Again, no new formal proposals were made -- there have been none since June, though Fisher said they covered topics "from A to Z" Wednesday.
While they probably need to cover topics from A to Z another two dozen times in that many days, and openness to negotiate is good. Comprehensive new proposals may not be worth the trouble; everyone in the room knows these issues like the back of their hands, so incremental progress on smaller chunks could be a better recipe for success. (Let us pray.)
After Wednesday's secret-but-not-really NBA lockout meeting between league and union officials, NBA commissioner David Stern briefly addressed reporters who staked out the session. Like union president Derek Fisher, Stern didn't say much beyond noting that the parties would be meeting again. But Stern did say one other note of interest.
From the New York Times' Howard Beck:
Stern and [deputy commissioner Adam] Silver just spoke. Just as cautious as Fisher in assessing progress. But Stern said there is definitely time to make a deal.
It was September 24, 1998, when Stern announced the postponement of training camps and preseason games the last time the league had a lockout. Based on that precedent, the league and union have a little more than three weeks to get cooking. Meeting -- even without solid progress -- is a good start.
Wednesday's meeting was said to include only Stern, Silver, Fisher, union director Billy Hunter and lawyer Ron Klempner and Spurs owner Peter Holt.
Top-level officials from the league and players' union had their second meeting of the NBA lockout on Wednesday at what was supposed to be a secret location in New York City. Reporters, of course, found the session about as easily as middle-grade contestants found Carmen Sandiego circa 1992. At the end of the six-hour session, union president Derek Fisher did not oblige the gumshoes with much talk about progress.
He did, however, note that a thawing of relations has occurred. From SI's Chris Mannix:
According to Fisher, two sides agreed that league and players would stop taking shots at each other.
Things had gotten testy since the NBA filed suit against the players on August 2. An appearance on Bill Simmons' popular podcast by NBA commissioner David Stern also fueled a number of fierce responses from player reps.
Fisher also told reporters that the union and league agreed to continue talking. The sides went 29 days without meeting; the previous span between meetings was 31 days.
Ken Berger of CBS Sports reports that the next meeting between the league and players' union seeking progress in ending the NBA lockout -- scheduled for sometime next week -- will be limited to only the top officials from each side, possibly just five people total. NBA commissioner David Stern, his deputy Adam Silver, San Antonio Spurs owner Peter Holt, National Basketball Players Association director Billy Hunter and union president Derek Fisher are the reported attendees.
The sides have only met once since the NBA locked out players on July 1. That bargaining session drew media attention when Stern said he didn't feel the players were negotiating in good faith. A day later, the NBA filed a federal lawsuit and bad faith negotiations complaint against the union.
Stern has arbitrarily set a Labor Day deadline for progress in order to get the sides on track to avoid missing games in the 2011-12 season. In the 1998-99 lockout, training camp and the preseason was canceled on September 24.
Decertification is "not on the table right now", National Basketball Players Association vice president Maurice Evans told SI.com's Sam Amick on Wednesday. Decertifying the union has been considered a top option for the players' union as the NBA lockout drags toward its third month; the NFL's players' union decertified early in that league's labor impasse last spring. The NBA has sued the NBPA in federal court to block what it calls a "sham decertification", and has also asked for clearance to void all existing player contracts if the union is allowed to dissolve.
The NBPA's strategy has differed from that of the NFLPA, as the basketball union has made a complaint to the National Labor Relations Board its top priority. A ruling from the NLRB on whether the NBA has failed to bargain in good faith is expected in September; that could lead to a complaint from the NLRB itself, which could be attached to an injunction to lift the lockout in what would be a major coup for the union.
But if the NLRB doesn't lend the union a hand, decertification -- and the associated threat of contract burning -- could be the next step.
Howard Beck of the New York Times reports that the second bargaining session of the NBA lockout will be held next week, in the closing days of August. That will mean that the NBA and players' union will have met just twice in the first 60 days of the stoppage, which began July 1. NBA commissioner David Stern had said in a podcast with Bill Simmons in mid-August that without progress by Labor Day -- that'd be September 5, the Monday after the planned bargaining session -- things would look "dark" for the league's 2011-12 season.
Neither side has moved an inch from where it stood on June 30, when the final pre-lockout bargaining session was held in New York City. The owners' proposal involves decoupling revenue from player salaries and essentially freezing the pot of money paid to players over the next 10 years. The players have offered to decrease their share of revenue from 57 percent to between 54.3 and 56 percent over six years.
The National Basketball Players Association has been granted a 30-day extension to file a response to the NBA's federal lawsuit seeking to block decertification of the union, reports Howard Beck of the New York Times. The new deadline for the union's response is September 23, though the response could be made at any time before that.
The NBA filed its lawsuit on August 2, some 33 days after the lockout began and just one day after the two sides' first -- and to this point only -- bargaining session of the stoppage. The lawsuit alleges that the union has frequently threatened to embark on a "sham decertification" which would essentially dissolve the union and open up the NBA to anti-trust litigation. The NBA's suit also requested that if the National Labor Relations Board -- which is investigating complaints from both sides -- fails to block decertification and the union goes through with it, that the league would have legal clearance to void all existing player contracts.
The NLRB is scheduled to rule on the NBPA's complaint that the NBA has negotiated in bad faith sometime in September. That could be the reason for the deadline extension request.
The NBA lockout might help team owners save money in the long run, but the spectre of a canceled or shortened season isn't helping the stockholders of Madison Square Garden, the company that owns the famous arena, the New York Knicks and the NHL's Rangers. Marketwatch (via BDL) reports that Wall Street has downgraded its outlook for MSG amid concerns about the lockout.
"Despite our continued belief in MSG's robust long-term story...we think the shares will be unlikely to outperform over the near-term with $90 million of adjusted operating cash flow at risk from a full-season NBA lockout and a possible LA Forum acquisition on the horizon," wrote the [Bank of America-Merrill Lynch] analysts in a note.
The Garden just underwent a pricey renovation ahead of the 2011-12 season, and the Knicks will start the campaign -- whenever it starts, if it starts -- with two marquee stars in Amar'e Stoudemire and Carmelo Anthony.
For more on the foibles of the Knicks and lemurs, visit SB Nation's Posting And Toasting.
Deron Williams is going to go play ball in Istanbul. Kevin Love is playing beach volleyball. Kevin Durant is going to make a movie. Luke Walton? The Luke Walton? He's going to be working as an assistant coach for the Memphis Tigers.
At least some NBA franchise owners are trying to boost the ability of teams to outbid rivals in order to keep their own star players, according to a report in the Orlando Sentinel (via Nets Daily). The NBA already has a rule allowing teams to provide five-year contract extensions for their own players, and six-year contracts for players for which they have Bird rights. (Bird rights are acquired when a player spends an allotted amount of time with one team. That span of time changes with the players' experience level and contract status.) Players signing with their own teams can also currently get bigger raises than can players signing with new teams.
Apparently, that's not quite enough of a home-court advantage. Orlando mayor Buddy Dyer told Sentinel columnist Mike Bianchi that Magic leadership has assured him that in the middle of the NBA lockout, owners are fighting for an extra boost to keeping stars like Dwight Howard. What shape that takes remains to be seen, though the phrase "franchise tag" has been bandied about in the past.
Of course, one simple way to boost the effectiveness of the existing home-court advantage in free agency would be to abolish sign-and-trade deals. LeBron James and Chris Bosh, who left the Cavaliers and Raptors to sign with the Heat last summer, each moved to Miami in sign-and-trade deals, which allowed them to sign to terms afforded to teams keeping their players. This happens regularly, and significantly dilutes the power of that home-court advantage.
Steve Aschburner has a lovely little column on NBA.com looking at the dispute over the NBA's use of "average player salary" to shape lockout discussions. The NBA's average salary is $5.15 million, but at least one agent urges consideration of the league's median salary, which is just $2.33 million. It's a semantic point, but does it have value?
Certainly ... for the union. Half of the NBA makes less than $2.33 million. Half makes more. That's a lot of money, as Aschburner notes, but it's not as much as $5.15 million. Most savvy fans know that some players make upwards of $20 million, and obviously that skews the average upward. If you match that with the median, it shows a huge pay gap between the top and bottom of the league.
Michael Jordan is not just the owner of the Charlotte Bobcats. He is also a very famous person. In his role as a very famous person, he earns jobs like "assistant coach of the U.S. Presidents Cup golf team" and whatnot. In those jobs, his main duty is to get people to talk about the U.S. Presidents Cup golf team. As such, Michael Jordan talked to the Melbourne Herald Sun in Australia about the Presidents Cup and also the NBA.
This is where he gets into trouble. Zach Lowe spotted the no-nos, which we lay out below.
Kobe Bryant was among players who met with union officials to talk NBA lockout in Los Angeles on Tuesday, and according to CBS Sports' Ken Berger, the Lakers star gave a strong speech urging the group to stand together in solidarity as the stoppage rolls on.
Before a star-studded audience of about 75 players in Los Angeles Tuesday, Bryant was "up front" and "deliberate" in a speech in which he urged players to maintain solidarity and "stand behind the union" during the lockout, according to a person who was in attendance.
Kobe is one of the few dozen players who were around for the 1998-99 lockout that cost the league 32 games and All-Star Weekend. One of the key struggles in 1998 was the lack of sober leadership from the player ranks; Patrick Ewing was the president of the union at the time, and there were a number of gaffes attributed to him. The union also saw infighting as resolution came to a head in January 1999.
With Derek Fisher -- a close friend of Kobe's, to be sure -- at the helm now, things look more promising in terms of unity among the players. But time will tell. Berger reports that union officials are attempting to schedule a bargaining session with NBA deputy commissioner Adam Silver for next week.
Ben Gordon talked to Jonathan Abrams for Grantland. Brian Packey of SB Nation's Pistons blog Detroit Bad Boys points out one hell of an interesting quote from the guard.
When the NBA announced the lockout, they sent a letter out that said staff members from the team are not allowed to have contact, et cetera, et cetera. Number nine on the letter pretty much says any serious injury you might acquire while the lockout is going on can void your contract. So right now, my risk tolerance is pretty low.
The NBA lockout is not a fun time for fans interested in watching the world's best play basketball. Unfortunately, following a recent player's meeting, Kevin Love said that it's "apparent" games will be missed during the upcoming season.
Love spoke to ESPN's Andy Katz Tuesday night following a meeting of 60 players in which he discussed everything from a hard cap to the revenue split to playing a tour in the Philippines, but the Minnesota Timberwolves All-Star made it clear that the players aren't going to cave to the owners demands.
"I want to play basketball," Love said. "I want us -- the players -- to sign a great deal. I want us to make a compromise with the owners but not sign what they're proposing. We'll play hardball if we have to. I want there to be an NBA season but it's also apparent that we're going to miss games."
If games are not missed -- though it seems like they will be -- Love essentially said that it will be the result of the players' caving rather than the owners making any concessions.
"We all know we'll have to sacrifice but something has to be done," Love told ESPN.com Tuesday night. "It has to be sooner than later. We have to get the ball rolling. We can't wait around until October or November and then nothing gets done. The owners will keep stalling and obviously they have more means than us to lock us out."
It's interesting that Love mentions that the players have to keep keep the ball rolling considering last week's mess that had both sides blaming the other for not meeting.
Until the lockout is complete, Love is taking classes at UCLA with former Bruins' Russell Westbrook, Baron Davis and Trevor Ariza along with playing professional beach volleyball.
Officials from the NBA and players' union have had one formal bargaining session in the 46 days since the NBA lockout began. The next bargaining session might not come until two months have lapsed; Alan Hahn of Newsday reports that the next formal session is anticipated for early September.
Last week in a podcast with Bill Simmons, NBA commissioner David Stern said he think he'd know whether the NBA schedule would be impacted by the lockout by Labor Day. Labor Day is September 5.
The two sides exchanged media fire last week before the 2011 class of the Naismith Memorial Basketball Hall of Fame was honored in Springfield on Friday. Stern alleged that the union had canceled a meeting, while union officials retorted that Stern had made himself unavailable for two weeks. Whatever the case, progress is not being made at all.
Training camps typically start at the very end of September. The first preseason games are scheduled for the first week of October, and the regular season is set to begin on November 1.
David Stern just gave a comprehensive interview with ESPN's Bill Simmons on his podcast, revealing many nuggets about the state of the NBA lockout, the specifics of the NBA's proposals, the future of negotiations, the league's stance on revenue sharing and the many different public statements made on both sides.
Perhaps the most important part of the interview came at the end, when Stern essentially listed Labor Day weekend as the deadline for when serious progress must be made. Stern said that if exhibition games must be canceled, then the owners' proposal may "be really ugly from an economic standpoint for the players, because it's going to be really ugly from an economic standpoint for the teams." He added that he fears the chances of a full season being missed increase dramatically if progress is not made by then.
"If Labor Day comes and goes without us ready to huddle in and kiss off our Labor Day weekend to make this deal, then we may be headed to a bad place," Stern said.
Here are the rest of Stern's key comments:
On the league's potential offer after Labor Day: "We're all going to understand that when we lose [the exhibition season], that's when the NBA's offer is likely to change because there are going to be economic consequences that we're tiptoeing through right now."
On his urgency to get a deal done: "I would say that I remain optimistic that we're going to make a deal, and I think that the urgency is set in a certain way by the rejection of our underlying premise. That is, this is the time to have a reset. This is the time to try to hold for the players most of what they have, and grow our way out of the situation we find ourselves in. The players very strongly disagree and to this point don't even want to discuss it."
On the players' reported proposal: "At some point, when the proposal is, in light of today's economics, we want to go in six years from a five-million dollar average to a seven-million dollar average salary, it really makes no sense. None. It doesn't even begin to respond to the issues."
On the owners' specific position: "We'd like to take out more expenses and then have a 50-50 split after the expenses. We said that, and the big issue is, we have asked the players to take an eight-percent cut. From the $2.2 billion total, our total was $2 million, and hold it from where we try to grow out ourselves. If we do very well, and we grow more than four percent, they'll do better than $2 million under our projections and theirs, and we'll start to grow."
On the theory of revenue sharing: "You could argue whether we lost $300 or $150 or whatever, but this is about profitability. We're going to make [the league] profitable. This is what you do in collective bargaining. After we make it profitable, there's a huge disparity in profits, so we're going to have revenue sharing. The idea that you can have revenue sharing help you when you are losing money doesn't make sense at all. There's not enough money to revenue share if the league as a whole is losing $300 million. You could take away money from the top teams and give it to the lower teams, but at the end of the day, with all the reshuffling, you're still going to be losing $300 million."
On the owners' reception to revenue sharing: "There is going to be a revenue sharing. I must tell you that our owners ... they're on board. The Bulls, the Lakers, the Knicks. ... I've never seen such unity of purpose amongst our owners. Yes, we need a new CBA, and we have to accompany it with more robust revenue sharing."
On the meeting Thursday that was canceled: "I spoke to Billy [Hunter], and in effect, they said it the same way. They said, 'Our guys don't want to have a meeting unless you're going to make a new proposal.' And we said, 'Too bad,' and we canceled the meeting ... But that's their right, and I understand it. It's not a big deal. They've got a lot of education to do with their players. You know that as well as I do."
On how to fix players underperforming their contract: "We said that if you have a contract that's too large that you want to get rid of because the player is not performing. What we should allow our teams to do is spread it over multiple years so that the player will still get his money, but there will be cap room to replace him rather than the system that we currently have where, because of the cap placement of that contract, they cannot get a better player to fill that spot because they have no money."
On the rhetoric surrounding the lockout: "The players throw around words like 'greedy' and 'arrogant' and a variety of other things that would tend to inflame things. I think our owners have remained remarkably calm because the logic of where we're going is hard to disagree with. We need a reset on the amount of compensation. We need shorter contracts so we can align pay with performance, and we need to get a little more competitive. It's not brain surgery."
[...]
"The NFL, the most profitable of all sports leagues, says it wants to be more profitable. Its players agree to a double-digit concession, and our players say, 'No, sorry, can't work.' There's something wrong with this picture, and that's why I think the picture will come into clearer focus as our players come to understand what our players are actually offering and what they've done to open their books and why they want to make the changes they want to make."
[...]
"I'm invested in keeping their rhetoric down so we can continue the growth our players have had. In this day and age, given the economic circumstances going on out there, with respect to the stock market, with respect to the European countries that look like they're falling with respect to economics and with respect to getting owners to buy teams and invest in them, lobbing grenades is not a good thing to do. It's not good for business, it's not good for sponsors and it's not good for fans. So we're trying to keep ourselves aligned in the right way, and we think Billy [Hunter] is going to do the same thing."
On reports that his salary is in the $23 million range: "If you guessed that I made half of that, you'd be way too high. If you guessed closer to a third, you might be in my range." Said he took a salary freeze in 2008. "It's just totally ridiculous" that salary was $23 million.
On the possibility of contraction: "The players have been heard to suggest that as well."
National Basketball Players Association director Billy Hunter met with investigators from the National Labor Relations Board for several days this week, reports the Sports Business Journal, as the federal board continues to investigate the union's claims that the NBA has acted in bad faith in collective bargaining negotiations.
The union filed that complaint in May and amended it in July, after the NBA had instituted a lockout which threatens the 2011-12 season. The NBA responded this month with a bad faith complaint of its own on the basis that the union had threatened a "sham" decertification that would potentially allow anti-trust litigation.
The NBA also filed a federal lawsuit on the decertification issue.
Hunter's route through the NLRB is a departure from how the NFL players' union handled its league's lockout. The NFLPA went ahead with decertification at the outset of the lockout, leading to a number of court decisions that played on in the background as players and owners hammered out a deal. Hunter is looking for the NLRB to agree with the union, open a complaint against the NBA and potentially seek an injunction lifting the lockout.
Studies summed up at Wages of Wins show that salary caps in major American sports do little if anything to aid competitive balance. The NBA has insisted that a hard or harder salary cap (termed a "flex cap" by league officials) be a part of a new collective bargaining agreement, and have said that and lower salaries across the board will help the league's always-struggling competitive balance.
But WoW's David Berri writes that in the past, salary caps haven't helped parity in the NBA or other leagues.
Martin Schmidt and I presented research this past summer that looked at the impact of various institutions (i.e. salary caps, luxury taxes, etc...) the NBA, NHL, NFL, and Major League Baseball have created to alter competitive balance. We found that none of these institutions had any statistically significant impact on balance in any of these leagues.
What instead hurts the NBA's parity, Berri says, is the relatively limited set of dominant players available. Teams that have those players tend to win many games; those without do not.
LeBron James is still "optimistic" that the NBA will have a 2011-12 season, despite the ongoing NBA lockout. At a charity event in Akron, Ohio on Monday, James told the Associated Press that he is still hoping the league can stage a 2011-12 season.
"I'm optimistic that we will have a season this year," James said. "Very optimistic."
"I believe that Billy Hunter and the owners and (NBA Commissioner) David Stern are going to work toward having a season this year. And I'll be ready for it."
James reaffirmed that he has no plans to follow the lead of NBA players from Deron Williams to Jordan Farmar and play for a league overseas during the NBA lockout. Instead, he choosing to work out twice a day and seek tutelage from Hakeem Olajuwon in an effort to refine his game after his Miami Heat fell to the Dallas Mavericks in the 2011 NBA Finals.
James also confirmed that he is fully committed to the U.S. Olympic team in advance of the 2012 London Olympics.
For more on the 2011 NBA lockout, check out SB Nation's comprehensive StoryStream. For more on the Miami Heat, visit Peninsula Is Mightier.
The NBA lockout rolls on, but no one has said anything truly insane in a while. Whatcha got, anonymous source close to the owners quoted by NBA.com's yeoman David Aldridge?
The source said owners frequently speak of "being tired of making these guys rich" [...]
Oh, this is promising.
The National Basketball Players Association will file a motion to have the NBA's federal lawsuit seeking to block decertification dismissed, reports CBS Sports' Ken Berger. The motion will come within the next 10 days.
The NBA filed the lawsuit on Tuesday, alleging that players, who have been locked out since July 1, have repeatedly threatened a "sham" decertification in order to bolster their negotiating power. The suit seeks to find that the lockout is legal, that decertification would be disallowed because the players' union doesn't actually intend to break up forever, and that if the National Labor Relations Board does allow the "sham" decertification, that the NBA could then consider all existing player contracts void.
Berger explains what will happen once the union files the motion to dismiss:
After a motion to dismiss in federal court, the next step would be hearings on the matter before U.S. District Judge Paul Gardephe. If the union had chosen to simply answer the complaint, the case would've proceeded to discovery and then, trial -- though few legal observers or attorneys on either side believe it will ever get to that point.
If he had to bet on it, National Basketball Players Association director Billy Hunter told attendees at a law conference in Baltimore Wednesday that he'd wager the NBA lockout would cost the league the entire 2011-12 season, reports Jeff Barker of the Baltimore Sun (via PBT).
This type of rhetoric isn't new to lockouts or Hunter; as early as a year ago, Hunter publicly stated that he believed there would be a painful, long lockout. But the NBA has never canceled an entire season due to a labor impasse. In 1998-99, the league lost 32 games and All-Star Weekend due to a lockout by NBA owners.
The NBA locked out its players on July 1, and the sides have held just one bargaining session in the 34 days since. That session, held on Monday, yielded no progress according to representatives from each side. The next day, the NBA sued the union to block decertification and threatened to void all existing player contracts if a dissolution of the union were successful. The NBPA has considered following the path of the NFL players' union and decertifying as a union in order to file anti-trust litigation against the league.
David Stern's salary made waves earlier in the week when it was reported that the NBA's commissioner rakes in eight figures each season. Stern has done some damage control since, however, by indicating that he won't receive a paycheck until the NBA lockout is complete.
The seemingly most powerful man in the NBA's current negotiation's standoff will not collect his salary until the NBA lockout, according to sources speaking to ESPN's Marc Stein. Stern has, however, "given no indication that he will agree to lower his salary when the sides ultimately do hammer out a new labor agreement," according to the report.
This isn't exactly surprising news as NFL commissioner Roger Goodell dropped his salary to $1 during the NFL's impasse before recently coming to terms, but it does show that Stern is at least trying to keep any sort of scorn away from himself for making money while so many jobs are being lost during the lockout.
Hopefully, for the state of basketball, Stern's able to go back to getting his full salary -- whether it's $15 million or $23 million or anything else the owners are willing to pay -- sooner rather than later.
The NBA sued its players on Tuesday, alleging that the National Basketball Players Association's threats of decertification violated federal labor law and that the courts should prevent the union from dissolving in order to file an anti-trust lawsuit. The NBA also filed an unfair labor practices complaint against the NBPA with the National Labor Relations Board, dealing with the same matter.
The NBPA has an outstanding complaint with the NLRB alleging that the NBA has not bargained in good faith. The NBA returned those charges this week, both verbally via commissioner David Stern on Monday and in Tuesday's court filings. In the lawsuit, which SBNation.com has acquired, the NBA cites 22 occassions of threatened decertification.
In perhaps the most interesting -- and threatening, in its own way -- note in the lawsuit, the NBA asks the court to declare that should the NLRB fail to agree that the union's decertification (should it eventually happen) is a sham, the NBA has the legal right to void all existing player contracts. That would be seen as "going nuclear" in terms of where the NBA lockout stands today.
You can read the filings for yourself at the links below. First, the lawsuit:
NBA Lawsuit Against NBPA (August 2, 2011)
Here's the NLRB complaint:
Billy Hunter, the director of the National Basketball Players Association, wasted little time in responding to the NBA's Tuesday announcement it had filed both an unfair labor practices complaint and federal lawsuit against the players' union for bad faith negotiations.
"The litigation tactics of the NBA today are just another example of their bad faith bargaining and we will seek the complete dismissal of the actions as they are totally without merit," said Hunter in a statement. "The NBA Players Association has not made any decision to disclaim its role as the collective bargaining representative of the players and has been engaged in good faith bargaining with the NBA for over two years. We urge the NBA to engage with us at the bargaining table and to use more productively the short time we have left before the 2011-12 season is seriously jeopardized."
The NBA's lawsuit, filed in New York on Tuesday, alleges that the union has used the threat of what the league terms a "sham" decertification in order to file anti-trust litigation against the NBA. Because the NBPA collectively bargains with the NBA, players cannot file an anti-trust lawsuit against the league without breaking up the union. The NFL's players' union decertified at the start of that league's lockout.
The NBA lockout took another turn on Tuesday: the league announced it has filed its own unfair labor practices complaint against the players' union and a federal lawsuit claiming that the union is threatening a "sham" decertification to file anti-trust litigation against the NBA. If this is all Latin to you and you'd really like to get back on the BBS to play your favorite MUD, then this post is just for you.
Why would the NBA file an unfair labor practices charge against the NBA Players Association, you ask? Why would they center their argument around the NBPA threatening to decertify as a union when they have yet to officially do so? These are questions people are probably wondering about right now.
The answer, according to many, is that this gives the league the upper hand in a potential showdown in courts. Those that follow this issue closely suggest that the important move the NBA made on Tuesday is in its second suit, filed in a federal district court in New York. The suit was filed in the Second Circut, which has been favorable to owners in the past. Via Sports Law expert Gabe Feldman.
NY [lawsuit] is in Second Circuit. Second Circuit has been very favorable to NBA in previous antitrust litigation with the players.
More generally, as Ken Berger of CBS Sports notes, the league has beaten the players to the punch and allowed them to determine the venue of an upcoming legal battle. That, more than anything, is why the NBA rushed to file this suit.
Things may have just gotten ugly in the NBA lockout. One day after commissioner David Stern accused the NBA Players Association of not negotiating in good faith, the league has filed an unfair labor practices charge against the NBPA, according to a league press release.
The league actually filed two lawsuits in this case. One is an unfair labor practice charge to the National Labor Relations Board, and the other is a lawsuit in federal district court in New York, where the league offices are located. The claim suggests that the players were planning a "sham" decertification, and therefore were not bargaining in good faith. Via the press release.
The federal lawsuit seeks to establish, among other things, that the NBA's lockout does not violate federal antitrust laws and that if the Players Association's "decertification" were found to be lawful, all existing player contracts would become void and unenforceable.
The NBPA has its own unfair labor practices claim out to the NLRB that could eventually lead to an injunction lifting the lockout. With the NBA filing its own claim, it looks like this thing could drag on for a long time.
The first day of NBA lockout talks unsurprisingly resulted in no progress; Derek Fisher told reporters following Monday's session that the sides were exactly where they were 30 days ago. NBA commissioner David Stern had a bit more to say, according to NBA.com's David Aldridge.
Stern, asked if he believed the union was negotiating in good faith: "I would say not."
Ken Berger reports that after making that comment, Stern -- who was not scheduled to address the media at all on Monday -- walked away.
It's an interesting charge to levy at the union, considering that the National Basketball Players Association has filed charges with the National Labor Relations Board accusing the NBA of failing to negotiate in good faith. The two sides are locked in an apparent stalemate as players attempt to preserve the current economic structure of the league as much as possible while the league seeks major financial concessions.
The NBA locked out its players on July 1.
On Monday, top officials from the NBA and players' union met Monday for the first time since the NBA lockout began on July 1. Predictably, no progress was made, according to comments from National Basketball Players Association Derek Fisher reported by Ken Berger and David Aldridge.
From Berger:
Derek Fisher emerges from nearly 3-hour bargaining session and acknowledges owners and players are still in the same place as 30 days ago.
Aldridge also reports that Fisher said he and the players have not yet "circled the wagons" regarding potential decertification of the union, which would lead to an anti-trust lawsuit and a potential bombshell by the league: the voiding of all current guaranteed contracts and a unilateral setting of rules for next season.
It's believed that the NBPA is instead waiting to see the results from an unfair labor practices complaint filed with the National Labor Relations Board. A positive ruling for the players from the NLRB -- expected no sooner than the end of August -- could lead to an injunction lifting the lockout.
With the right Google search, you can find out exactly how much money each and every NBA player makes in about 45 seconds. You can even track down often underreported coach and GM salaries with a bit of savvy. But one of the NBA's most important employees -- commissioner David Stern -- has a paycheck that's always been a secret.
Yahoo!'s Adrian Wojnarowski digs in.
Many owners don't even know what Stern makes. "I'd say three or less know," one NBA owner told Yahoo! Sports. Several believe it's somewhere in the range of $20 million to $23 million a year, but no one knows for sure. Maybe it's more than that, but the fact that some owners don't know the answer is beyond belief.
The ongoing nature of the NBA lockout has caused many players to look at overseas options next season. New Jersey Nets star Deron Williams has already signed with Besiktas in Turkey, and Los Angeles Lakers star Kobe Bryant flirted with Besiktas and is now talking about playing in China. There are also a number of lesser-known players that have signed deals with European teams.
Earlier last week, NBA Players Association head Billy Hunter sent a letter supporting players who chose to go overseas. However, in an interview with Harvey Araton of the New York Times, Hunter clarified that the letter wasn't encouraging players to go overseas as much as it was an acknowledgment that he can't do much to stop them from doing so.
In a telephone interview, Hunter said his recent letter to the players was designed to give permission to go, not so much encouragement, and he acknowledged the dangers of creating class union warfare.
"I don't have the answer but that's something I have to be concerned about," he said. "At the same time, I can't say to Kobe or anyone, You shouldn't go."
Certainly, class warfare is a potential effect of players going overseas. Then again, it seems like the problem is more practical than anything. European teams are mostly full, and training camps begin soon. Hunter acknowledges this too, saying he wants players to understand that going overseas is not a "magic elixir."
Either way, it seems like the NBA Players Association head isn't as gung-ho about the overseas exodus as one would think.
The path out of the NBA lockout remains perfectly unclear, but as Ken Berger writes in a thorough column on CBSSports.com, the legal routes the players' union can take from here are varied and plentiful.
Berger discusses some options with current and former labor attorneys, among those decertification -- which was used by the NFL Players Association -- and a National Labor Relations Board complaint. The National Basketball Players Association filed a complaint against the NBA with the NLRB in May, and amended it in July. The NBA is now expected to fight the unfair labor practice charges by presenting evidence of its own. That means resolution on whether the NLRB will take up the NBPA's complaint could take 30-60 days. The NBA preseason is supposed to begin in a bit more than 60 days.
But that path could result in getting the two sides back to the negotiating table in earnest, Berger reports, citing the successful use of a NLRB decision in pushing Major League Baseball and its union toward resolution in 1995.
The [Norris-Laguardia Act] does not apply in labor disputes brought before the NLRB, meaning the NBPA's current strategy could be its quickest route to an injunction lifting the lockout. If the NBPA is successful in getting the NLRB to issue a complaint against the NBA, the board could follow up by asking a federal judge to reinstate terms of the previous agreement -- thus forcing the two sides to engage in serious bargaining. This is how the baseball strike ended in 1995.
To this extent, the NLRB also provides the players with as close to a home-court advantage as they could hope for, given that the 8th Circuit precedent stands in the way of having the lockout lifted through an antitrust action. The NLRB also is decidedly labor-friendly, especially in its current makeup of four Democrat appointees and one Republican.
A cadre of NBA agents, however, continue to push for decertification, believing that filing an anti-trust suit against the NBA will result in quicker action. Stay tuned.
Top officials from the NBA and the players' union will meet Monday for the first time since the league's owners instituted a lockout on July 1. Derek Fisher, Los Angeles Lakers point guard and the president of the union, told reporters at his youth camp on Friday that he hopes the sides will put off the great economic battle for now and focus on other issues that need to be worked out to get a new collective bargaining agreement in place.
From Mark Medina of the Los Angeles Times:
"I don't know if there's going to be any major movement on Monday," Fisher said Friday outside of his camp at Roybal Learning Center. "I think we've agreed maybe to table some of the economic issues and really focus on the system issues and non-economic items that are still extremely important to rounding out a collective bargaining agreement. Hopefully we can get some of those things done on Monday."
Of course, everything comes back to the economics: negotiating the firmness of the salary cap means little without some discussion about how high that cap will be and how it will be determined. Contract length is an issue that could be discussed without getting into revenue-expense talk, as well as bumping up the age minimum and restructuring roster size (which the union will always be in favor of increasing).
The first bargaining session of the NBA lockout is indeed scheduled for Monday, reports ESPN.com's Chris Sheridan. SBNation.com reported Tuesday that the session would be held within the first two weeks of August (despite concerns it could be delayed further). SI.com's Zach Lowe reported on Wednesday that next week was the target, and that Monday was possible.
Sheridan reports that the heavy hitters -- NBA commissioner David Stern, deputy commissioner Adam Silver, San Antonio Spurs owner Peter Holt, players' union president Derek Fisher and executive director Billy Hunter -- will all participate. To date, meetings between the sides have been limited to mid-level staff and lawyers, who have been working to finalize the audit of the 2010-11 ledger. The results of that audit, noting a 4.8 percent increase in league revenue, came out last Friday.
Whether progress can be made before the league gets to the brink of canceling games -- the deadline for that would appear to be late September, when training camps are due to open, or early October, when preseason begins -- remains to be seen.
The first bargaining session since the NBA lockout began July 1 could be held as early as Monday, and will likely be held sometime in the first week of August, reports Zach Lowe of SI.com. SBNation.com had reported on Tuesday that the first bargaining session since June 30 was in the works for sometime in the first two weeks of August.
The delay of negotiations has been the source of a great deal of consternation among fans -- at least those most vocal -- and at least a few writers have noted that NBA commissioner David Stern once lamented that in 1998 (when the league last locked out its players) the sides took so long to get together. (The timelines are stirringly similar.)
It's not yet clear exactly who will attend the bargaining session beyond NBA deputy commissioner Adam Silver and members of the NBA players' union's executive committee. It wouldn't be a surprise to see either Billy Hunter (the union's head) or Stern in attendance; both were integrally involved in negotiations in the run-up to the lockout.
The NBA will present evidence and provide witnesses to combat the players' union's unfair labor practices claim, reports Sports Business Daily (via PBT). The union filed the claim with the National Labor Relations Board in May and amended the complaint in July. Reports suggested resolution on the charge -- which, if it supported the union's claims, would amount to little more than a public flogging for the league -- could be had quickly.
But Sports Business Daily reports that the NBA's entrance into the matter will delay a ruling by at least a month. The specific charges included that at least one owner spoke to a player about the lockout outside of bargaining process and that the league hadn't come to the table willing to negotiate in good faith.
The league dismissed the charges as baseless in May.
Now, the league will officially try to beat back the charges. The potential for the union to decertify and file anti-trust litigation remains in the background. NBPA head Billy Hunter met with agents pushing decertification last week.
A National Basketball Players Association spokesman confirmed to SBNation.com that the union and NBA are hammering out details for the first bargaining session of the NBA lockout, to be held within the first two weeks of August.
Recent reports have suggested that neither the players or owners have shown an inclination to get back to the bargaining table, given the vast gap said to separate the sides. But staff from each side have been communicating, and a bargaining session that includes NBA deputy director Adam Silver and members of the union's board will be held in early August.
The NBA officially locked out players on July 1. When the NBA last locked out players in 1998, the sides didn't meet until the second week of August.
News of the coming meeting arrives as the NBPA considers decertifying as a union and filing anti-trust litigation against the league. The NFL Players Association decertified as that league's lockout began last spring; the NFL ended its lockout on Monday after 136 days.
No one covers the big picture of the NBA lockout as well as NBA.com's David Aldridge -- isn't that some irony? -- and D.A. has a doozy today, explaining why the players' union has hesitated to follow in the footsteps of the NFL Players Association and decertify as a union, opening the door for anti-trust litigation. Aldridge reports that union officials fear the NBA would respond to decertification by voiding all existing NBA contracts, unilaterally setting rules for next season and daring the players to strike or play under those rules.
Of course, that'd be a double-edged sword for the NBA, one that at least a few owners would likely be opposed to signing on to. From Aldridge:
At any rate, the agents do not believe that the league would actually go ahead and void all of those contracts. Such a move could, at least theoretically, make every player in the league a free agent, able to go wherever they wanted. And owners like, say, Miami's Micky Arison, might have a problem with that.
"Think of the chaos of that," a prominent agent said Sunday afternoon. "All of a sudden Kobe and Chris Paul and Deron Williams are free agents? Some owners would lose their marbles. If your top 20 players in the league could, all of a sudden, do what they wanted?...can you imagine Oklahaoma City? (Kevin) Durant and Westbrook? See ya."
Aldridge also reports that agents could seek to decertify without NBPA head Billy Hunter's consent, by having 30 percent of the league's player base signing a petition to bring the matter to vote, and by earning at least 50 percent of that vote. That'd be a huge blow to Hunter and his player leadership (including president Derek Fisher), and would be seen as a clear division within the union (or ex-union, rather).
But it may never come to that, as Hunter has shown to be sympathetic to the decertification idea for months, even if the NBPA didn't file before the league even instituted a lockout, as NFL players did. The NBPA received permission from players via vote during the regular season, which could allow the union to move quickly should the leadership decide to decertify. Then we'll see whether the NBA is bluffing regarding the voiding of existing player contracts.
The NBA lockout is not close to being a good thing, but it has yet to really escalate due to both sides seeming like they are willing to take their sweet time before making sure basketball starts on time next season. If the agents managing a majority of the NBA Players Association get their way, however, the end of the lockout would be fast-tracked.
A majority of the top NBA agents met with union head Billy Hunter to discuss numerous topics, as reported on Friday, with decertification of the union was likely to be the biggest obstacle. That meeting went alright, according to Adrian Wojnarowski of Yahoo! Sports, but the agents are indicating that it could get ugly.
"Right now, it's a respectful disagreement with [the agents] and Billy," an agent briefed on the meeting told Yahoo! Sports. "But it's getting to a ‘[expletive]-you' point. We will blow this thing up."
When said agent says they "will blow this thing up," it means that the agents in attendance should be able to get the votes needed to decertify the union among their players alone, regardless of what Hunter wants. Reason being, the agents would rather be able to push the NBA into figuring out an early end to the lockout -- via the courts -- rather than waiting until their players are out of money and the owners have all of the leverage.
"Until now, the union's strategy has been basically hoping [NBA commissioner] David Stern wakes up one morning in a good mood, and decides he wants to cut a fair deal for the players," one agent told Yahoo! "We have one weapon left, and that's decertification. We need to use it."
It makes sense that the agents would like to put an end to the lockout sooner rather than later, but playing hardball might not be the best way to go about endearing themselves to NBA commissioner David Stern and friends as he has already indicated that decertification could have some ugly consequences if the players decide to go that route.
Still, if Hunter is indeed okay with waiting until the owners are ready to make a deal rather than trying to force their hand, I see no problem with the way the agents are thinking. The sooner the basketball, the better.
On Friday, the NBA announced its revenue numbers for the 2010-11 season, with the league racking a record $3.8 billion in basketball-related income. It also released the NBA's final player salary numbers, which came to $2 billion. Under the now-expired collective bargaining agreement, players were guaranteed to receive exactly 57 percent of league revenue; an escrow system has been in place to ensure that if salaries came in over 57 percent, owners would be refunded the correct amount, and that if salaries came in under 57 percent, players would be compensated.
As it turns out, player salaries came in just under 57 percent for the 2010-11, meaning that owners now have to pony up an addition $26 million to be split between players, reports Ken Berger of CBS Sports.
The news belies the NBA's assertion that rising player salaries have led to regular and massive losses for the NBA's 30 teams. It has instead been non-salary expenses which have been rising at a pace greater than revenue.
This is the first time that salaries have fallen below 57 percent, but it indicates that the current salary cap system is working, given that it's aim is to "cap salary" at 57 percent of revenue. Whether that threshold should be lower is a matter of debate. Players included a decrease to 54.3 percent of revenue in one of their proposals to the league.
The NBA sent out a press release right around closing time on Friday alerting the world that the league did in fact have a great season, increasing total basketball-related income to $3.817 billion, a 4.8 percent bump. Included in the brief release were four bullet points, three of which are quite obviously written to help frame the NBA's pleas about suffocating losses due to (you guessed it) rising player salaries.
Those bullet points with some annotations are below.
The NBA lockout is not nearly as close to coming to an end as its NFL brethren. In fact, the exact opposite could be happening following a meeting scheduled for Friday between Billy Hunter and agents of some of the league's top players.
Hunter, the Executive Director of the NBPA, will meet with agents including Mark Bartelstein and Arn Tellem in New York on Friday according to Bloomberg News. Among the topics of discussion will be decertification of the union -- a move the NFL players made much earlier in the process.
Decertification is rumored to come with some grave consequences, according to an earlier report, but making that move would send a new message to the owner's side according to sports law professor Paul Haagen of Duke University.
"Decertification is potentially an expression of lack of confidence in the existing union and its effectiveness in negotiation," Haagen said in a telephone interview. "Or it is a strategy about unions and collective bargaining all together, the belief that it might be better to operate outside of the federal labor laws and have a much more open labor market."
Either way, let's hope this is more of a bluff than something that might actually be on the table as it doesn't seem to have helped the NFL straighten their mess out.
The first negotiations dealing directly with drafting a new collective bargaining agreement have been scheduled for July 22, Bloomberg News reports:
It will be the first face-to-face negotiations since the owners locked the players out on July 1 following failed talks over how to split money from a league that generated about $4.3 billion in revenue last season.
The meeting at the league office in New York won't include owners or members of the National Basketball Players Association's Executive Committee, union Executive Director Billy Hunter, who also will not be in attendance, said in an interview.
Although owners, Stern and Hunter won't be there, this is terrific news. The big guns don't need to be there until the talks get serious, and considering one of the last times figures were discussed, Billy Hunter said they were $7 billion apart, the talks aren't nearing a deal anytime soon.
CBS Sports says Stern, owners and players likely won't meet again until August.
The NFL is near a deal, but they'll likely be losing preseason games. While NBA players don't need to study playbooks whose page counts soar over triple digits, as the Miami Heat showed at the beginning of last season, it takes time for teams to develop chemistry together. All practice time lost means when/if the games start up again this season, they're going to be that much uglier.
NBA commissioner David Stern will meet Tuesday with top officials from FIBA, the international governing body. But despite reports to the contrary, the meeting was not set to discuss ramifications of the ongoing NBA lockout and the potential for NBA players under contract to play in FIBA-sanctioned league abroad during the stoppage.
The meeting was set in advance to discussed the 2014 FIBA World Championship, according to an NBA spokesman. ESPN's Chris Sheridan reports that Stern and the FIBA officials -- secretary general Patrick Baumann and president Ivan Mainini -- will discuss player insurance for Olympic qualifying tournaments to be held this summer and the legal ramifications of FIBA clearing players under NBA contract to play in Europe and China.
The NBA said neither item is on the agenda, but could come up as a part of a discussion. Stern has said, however, that it does not intend to fight players' attempts to play in foreign leagues during the lockout. As such, it's not clear what there would be left to discuss on that issue; it's possible that FIBA's leadership seeks personal assurance that it won't be a party to a lawsuit by an angered NBA franchise owner.
The Portland Trail Blazers are a franchise not known for consistency in the executive suite. The team has fired two general managers in the past 13 months, and while the churn on the business operations side of the franchise seems to be slower, it would appear to be a dicey existence in the employ of Paul Allen. To bolster that concern, Dwight Jaynes of CSN Northwest reports that the Blazers have parted ways with two executives with more than 20 years apiece in the organization: Scott Zachry, the team's executive producer of broadcasting, and Chris Dill, who runs Portland's IT unit. (Via Blazer's Edge.)
It's unclear whether these are specifically lockout-related firings; if they were, it'd hardly be a surprise. On Thursday, the NBA announced 114 employees in the league's central operations and overseas field offices were laid off, cutting the league's workforce by 11 percent. Earlier this week, the Charlotte Bobcats laid off seven employees, including their radio play-by-play announcer.
The NBA lockout is only two weeks old, and therefore still pretty messy, as there are plenty of issues that still need to be ironed out before the owners and Players Association are able to come to an agreement.
That agreement sounds like it might be far off in the distance, however, as an attorney for the players union recently told Sports Illustrated's Zach Lowe that the league is withholding important documents that the union has requested -- this despite the league frequently making claims related to how open they've been regarding their financials.
According to Lawrence Katz, the union's lead attorney in its case with the National Labor Relations Board, the players have requested three documents that the owners have either ignored or responded to with less information than was actually requested.
The three documents are relating to franchise valuation information, sales prospectuses and financial information on related-party entities, according to the Sports Illustrated article.
That's not including quite a few smaller requests, either, according to Lowe.
In addition, Katz said the union has made about 20 requests for various financial tidbits, and that the league has failed to respond adequately to those requests. He would not get into the details of those requests. The league declined a request to comment on the NLRB case.
The two sides are scheduled to meet Friday, and while this probably isn't on the docket, hopefully either the owners or players loosen up a bit before more jobs are lost.
Staffers from the NBA and its players' union will meet Friday to discuss issues related to the league's two-week-old lockout and schedule the next official bargaining session between the sides, reports Zach Lowe of SI.com. The union and league have not met in any capacity since June 30; after an official bargaining session in New York City on that day, the NBA announced it would lock out the players effective July 1. At a press conference on June 30, NBA deputy commissioner Adam Silver said that he anticipated staff from each side would meet the following week. That did not happen.
Lowe reports that among the issues to be discussed Friday include an announcement on final revenue numbers for the 2010-11 NBA season. That number is expected to come in quite high after the NBA announced this week that player salaries totaled less than 57 percent of basketball-related income last season, triggering a return of $160 million in escrowed salary to the players.
Despite the booming revenue, the NBA claims it will lose roughly $300 million on the 2010-11 season.
The NBA has laid off 114 employees, some 11 percent of its workforce, reports Brian Mahoney of the Associated Press. The pink slips came in the league's New York, New Jersey and international field offices. Mahoney reports that the NBA said that the layoffs were not a direct result of a lockout the league and its owners instituted almost two weeks ago.
According to Mahoney, league spokesman Mike Bass said that the layoffs are "a response to the underlying issue that the league's expenses far outpace our revenues." It's unclear exactly how much money the layoffs will save the league.
In the throes of the global economic crisis in 2008, the NBA eliminated 80 jobs, roughly nine percent of its workforce. NBA revenues have boomed in recent years, but non-player salary expenses have far outpaced revenue growth. It's unclear what share of these expenses are piled up by the league office.
UPDATE: Here's the full statement from the NBA's Bass:
The layoffs are not a direct result of the lockout but rather a response to the same underlying issue; that is, the league's expenses far outpace our revenues. The roughly 11% reduction in headcount from the league office is part of larger cost-cutting measures to reduce our costs by $50 million across all areas of our business.
The NBA lockout has taken its first foray towards the courtroom as the National Basketball Players Association has filed an unfair labor practice charge with the National Labor Relations Board (NLRB). The charges were filed in May but have since been amended to include failure to bargain concerns. The initial charge, brought in late May, accused the NBA of "making harsh, inflexible and grossly regressive 'takeaway' demands ... not supported by objective or reasonable factors or balanced by appropriate trade-offs."
On July 1, the NBPA amended the charge to include an allegation that the league cancelled the annual summer league without bargaining with the union as it was required to do. The amended allegation includes accusations that the league imposed the lockout in spite there being no impasse in negotiations. The law requires that a lockout be imposed after impasse and if not that would be a violation of Section 8(a)(1) of the National Labor Relations Act. Impasse occurs when "the concept of agreement is impossible to imagine" and there is hopeless deadlock. Given the way these "negotiations" have gone lately, some NBA fans may view the concept of agreement as impossible to imagine.
This labor charge differs from the NFL labor charge in that the NFL filed the charges against the union claiming their decertification was a sham. If the NBPA elects to decertify as they seem to be considering, it would not be at all surprising to see the NBA file its own unfair labor practice charge.
Amidst all this chaos, the NLRB has begun its investigation into the NBPA charges. The NLRB is a very unique government entity in that it operates as a prosecutor, judge, jury and executioner all in one fell swoop. The administrative law judge and prosecutorial department are distinctly separate in their operations but it is still different from the normal court experience.
When charges are brought by an employee, union or employer, they file the charges in a regional office. In this case, the NBPA filed the charges in the New York regional office. Generally, the case is assigned to a field attorney or field examiner to conduct an investigation to determine whether there is sufficient evidence to take the case before an administrative law judge. Once the case is brought before a judge, there will be an attempt at mediation before the case goes to a judicial hearing. The sides can settle at any point up until the judge issues his ruling.
Given the high profile nature of this case, it is also possible the case will be assigned to the national office in Washington, D.C., for disposition. The national office often takes on such cases so as to devote sufficient resources to its disposition.
If the board does decide there is sufficient evidence and moves forward, the end result would be primarily a public relations victory for the NBPA. If the league lost the case there are certain punishments that can be imposed by the judge, although generally it involves posting a notice of violation and being required to conduct the necessary bargaining. There are not huge fines or jail time imposed for violations of the National Labor Relations Act. The most significant punishment comes with back-pay cases and that is not applicable in this instance. Rather, an outcome in favor of the NBPA allows them to trumpet to the world that the NBA has been determined to be an unfair employer.
Mark Cuban appeared during Wednesday's ESPYs award show with players from the Dallas Mavericks, drawing a chorus of questions as to whether the team would be subject to a $1 million fine under the league's strict rules against team-player communication during the NBA lockout. But an NBA spokesman tells SBNation.com that the joint appearance was cleared in advanced by the league office.
As the lockout began July 1, reports surfaced suggesting that David Stern had warned team owners and executives that communication -- direct or indirect -- with players during the stoppage could result in fines as hefty as $1 million and even the potential loss of draft picks. But as has been the case with the NFL lockout, the league is making exceptions for promotional and personal events cleared in advance.
The Mavericks won the ESPY for "Best Team," narrowly defeating the Minnesota Timberwolves. Rick Carlisle took home the ESPY for "Best Coach/Manager" and Dirk Nowitzki won both "Best Male Athlete" and "Best NBA Player." The ESPYs are an annual excuse for athletes and celebrities to mingle and get hammered on ESPN's dime.
Ethan Sherwood Strauss of HoopSpeak is on an interesting line of NBA lockout inquiry, wondering how big a role in the league's financial predicament the association's current long-term national TV deal plays. Strauss notes that while most TV networks broadcast major sports as loss leaders -- the nets collectively pay the NFL $4 billion for rights and sell ad space during NFL broadcasts for just $3 billion -- the NBA actually earns the networks (ABC, ESPN and TNT) more in ad revenue than the NBA receives for rights.
With a slow flood of NBA players voicing their willingness to play overseas should the lockout extend through the 2011-2012 season, executive director of the Players Association Billy Hunter sent a letter out this week to 450 union members indicating that the NBPA fully supported the movement. He emphasized that playing abroad would put pressure on owners fearing a risk on their investment.
"This lockout is intended to economically pressure our players to agree to an unfavorable collective bargaining agreement," Hunter said in the letter, a copy of which was obtained by The New York Times. "It is important for owners to understand that there may be significant consequences to their decision to put their own players in these difficult economic circumstances."
The letter arrived to players five days after New Jersey Nets superstar Deron Williams became the first high-profile union member to agree to preliminary terms with a foreign team. In the immediate aftermath, several players have already referred to the stunning decision as extremely brave, with Thunder star Kevin Durant proclaiming, "I am sure you are going to see a lot of guys kind of follow his footsteps."
Hunter fully backed that claim, confidently stating, "If the owners will not give our players a forum in which to play basketball here in the United States, they risk losing the greatest players in the world to the international basketball federations that are more than willing to employ them."
NBA commissioner David Stern has communicated that the league has no power to stop any players that wish to take their talents overseas. Still, the issue will remain up in the air until FIBA -- the sport's international federation -- reaches a decision whether to allow the impending migration.
In the first move from either side since the NBA lockout began, the owners declared late Tuesday afternoon that they would return $160 million from the NBA's escrow fund to the players.
Under the old NBA collective bargaining agreement, players submitted eight percent of their yearly salaries to the fund, with the premise that it would ensure that the total amount of player revenue would not exceed the agreed upon cap -- 57 percent. Following the end of the season, the escrow fund would be allocated out to the athletes accordingly.
However, the owner's initial pre-lockout proposal detailed a plan to return the entire 2010-2011 fund, totaling $160 million, straight to the pockets of the owners, rather than the players. As you can imagine, the player's union scoffed at the idea of giving away money that was already contractually theirs.
Now the NBA had backed off of those plans, issuing a statement that confirmed they will send out the escrow fund money to the players.
That cash could ease or delay the point at which some players begin to feel financial hardship from the lockout. Based on the "average" NBA salary of $5.7 million, the escrow rebate would be worth $456,000. A minimum-salaried player ($473,604) would be due $37,888 while a $16 million superstar could expect $1.28 million coming back.
While any form of agreement is a significant sign of progress, this development will likely do little to soften the bitter relationship between the two sides. In reality, the NBA's concession will be accorded very little merit, as it was somewhat baseless from the beginning. Still, it is almost guaranteed to David Stern will use this elevated platform to call for a demand of his own, one that will further push the players away from the bargaining table.
The NBA lockout has no immediate end in sight -- the owners and players have yet to make arrangements to even meet -- but the chance either side takes it to court like their NFL brethren seems to be small.
The NBA Players Association could choose to decertify its union, as the NFL players did right before the NFL owners chose to go the lockout route, but union head Billy Hunter told Howard Beck of the New York Times on Saturday that the players would rather negotiate than take their chances settling their disputes in court.
That doesn't mean dissolving the union and filing an antitrust lawsuit isn't still a possible for the NBPA, however.
"It's not off the table in any way," Jeffrey Kessler, the outside counsel for the Players Association, told The Times. "There's no immediate urgency to that issue. It's an option the players are actively considering. But they have time to decide whether it makes sense to end the union or not."
Kessler said that decertifying might help the NBA's rookies and free agents, actually, based on Friday's court rulings in the NFL lockout case.
"The decision obviously indicates that one option available to NBA players is to end their union and seek an injunction against the NBA's lockout for all free agents and rookies," Kessler said in the story. "And that's something that the players will consider in the future, with all of their other options, as things proceed."
If that ultimately does happen, though, Beck writes that there are plenty of other consequences that would happen as a result.
The decertification and antitrust route is a risky one. Without a union, or a collective bargaining agreement, the players lose benefits like minimum contracts and guaranteed salaries. The owners can impose work rules. Commissioner David Stern has also implied that decertification would jeopardize existing player contracts.
Decertifying allows the players to challenge the N.B.A.'s system through antitrust litigation, but the real value is to gain leverage at the bargaining table.
It seems the players, at least for now, are better off negotiating at the bargaining table rather than through the court system. The first step, however, is to actually sit down at said table.
The NBA lockout is over a week old, but there have yet to be any reports on how far the team owners and NBA Players Assocation have come since suspending operations last Friday. Apparently, according to CBS Sports' Ken Berger, that's because they haven't discussed anything since -- and neither side has plans to do so anytime soon, either.
Berger reported late Friday that there has been no contact between the two sides since the lockout was imposed on July 1 and that no future bargaining sessions are scheduled, either.
Considering the owners and the NBA Players Association couldn't come to an agreement for the entire year they had been working on it, fans probably should not have expected any breakthroughs in the short term anyway. With the way both sides are making it seem like they want to come to a quick agreement, though, not talking -- or even scheduling any talks -- probably isn't the best way to go about that.
It might be time to buy the European version of League Pass if watching professional basketball during the 2011-12 season is in your plans.
The New Jersey Nets lost more than $40 million in the 2008-09 season according to an analysis of public financial documents by CNBC's Darren Rovell. The documents, available because the previous owner of the Nets, Forest City Enterprises, is a publicly traded company, show a paper loss of more than $70 million, but Rovell notes that a big ticket item included in the balance sheet -- amortization of intangible assets -- isn't actually included in the league's operating income figures.
The Nets finished 14 games under .500 in 2008-09, and had the sixth-worst total attendance in the NBA. The Nets were still playing in the awful, antiquated and awful Izod Center at that point, despite constantly brewing plans to move to Brooklyn. (Those plans should be realized after the 2011-12 NBA season.) The Nets of East Rutherford -- they now play in Newark -- were always considered to be uniquely cursed: they had all the media costs of New York City and all the earning capacity of, well, East Rutherford, New Jersey. After trading Jason Kidd and Richard Jefferson, the Nets could no longer even boast a decent team.
It's in that context that the Nets lost a reported $44 million, which -- according to Rovell's numbers -- represent 9 percent of the NBA's losses in 2008-09.
Adweek reports that the NBA Lockout could turn into a huge mess for ESPN and TNT, which broadcast the games. In fact, ESPN/ABC and TNT could end up being out as much as $1.25 billion.
ESPN/ABC Sports and TNT stand to lose as much as $1.25 billion in ad sales revenue if the labor dispute negates the entire 2011-12 NBA campaign. Indeed, the NBA audience has become so valuable that the postseason inventory alone accounts for nearly a fifth of the full-season take.
Adweek points out that, obviously, these costs come in addition to the money the NBA itself will lose in tickets and merchandise. Also, this doesn't include local TV rights, which will be affected as well.
The NBA claims that the outgoing collective bargaining agreement has caused its teams to bleed money, and needs to be changed. Any lockout that ends up causing the NBA to shorten its season, though, would not only cause the NBA to lose even more money in the short term, but could cause damage to the league's reputation could take quite a while to repair.
As is the ancient tradition during a major lockout, secondary basketball leagues have officially begun to lob their fresh tendrils into the NBA talent pool. Smelling blood in the water, the National Basketball League of Canada (NBL) issued a plushy press release encouraging any NBA players in need of some hoops-action to hop over to the other side of the border.
The president of the National Basketball League of Canada would like to invite locked out NBA players to come to Canada and continue professional play, should the NBA season not start as many are predicting.
"What a great opportunity for NBA players," says Andre Levingston. "NBL Canada can provide them with highly competitive play in professional arenas with great fan bases, while still being relatively close to home."
According to the press release, one of the primary selling points for NBA athletes looking to jump ship was the fact that four players within the NBL have played in the Association. Those esteemed four: Toree Morris, Erick Barkley, Kirk Snyder, and "sniper shooting guard" Desmond Ferguson. That's right, when Toree Morris and Desmond "Sniper" Ferguson are your big guns, you might not have the strongest leg to stand up.
Though, you can't blame Levingston for trying. With all the talk of players taking their talents to Spain or China if the lockout drags out as it is expected to, who's to say some wouldn't want to move up north and stay closer to home.
Stay tuned to this StoryStream for more NBA lockout news, updates and explanations.
The New Orleans Hornets, currently owned by the NBA, are getting creative this summer when trying to drive season ticket sales during a lockout. Like all teams will do, the Hornets plan on refunding season ticket holders their money should the lockout extend into the season and cancel games, but the Hornets are going one step further to help drive sales. They will issue refunds with interest.
They plan on offering two deals: the first is to provide one percent on top of the total cash refund for each game. The second is:
to take refunds in the form of credit toward purchases of tickets for the playoffs or future seasons, [fans] can receive an additional 10 percent, plus another 5 percent toward the purchase of tickets for charities.
This sounds like a great initiative to grow basketball in the region. By bringing the game to the many children who otherwise couldn't attend, as the Hornets' president says in the article, this would help build long-term roots for a franchise that could move elsewhere if new owners don't want to stay in New Orleans.
Stay tuned to this StoryStream for more NBA lockout news, updates and explanations.
The NBA released a statement late Tuesday disputing league revenue and expense data published by Forbes and compiled in a detailed analysis by Nate Silver of the New York Times' Five Thirty Eight blog. The league has long disputed Forbes' annual valuation and revenue analyses, but doesn't typically go into as much detail as it did in attempting to dispel Silver's piece.
In the statement, the NBA reiterates its claim that the league has not been profitable in a single season under the now-expired collective bargaining agreement. It also disputes specific figures in Silver's piece, most notably that ticket sales have grown only 12 percent over the past 10 years, not the reported 22 percent, and that 11 teams lost at least $20 million in 2009-10, a shocking revelation that may very well have been floated by the league before but largely forgotten.
Silver's study found that the league had earned an average annual profit of 7 percent over the past 10 years.
As the NBA Lockout continues to throw the future of professional basketball into flux, ESPN NY’s Jared Zwerling got a chance to speak with NBA players’ union vice president Roger Mason Jr. to find out his take on the lockout.
While Mason admits that the two sides are “far apart,” he does think both sides are working towards a common goal.
They know where we stand and we know where the NBA stands, and I think the biggest thing now is rolling our sleeves up and trying to work through it. It’s always positive to know that both sides want to make a deal. I don’t think anybody wants this to last throughout the whole year, so I guess that’s the biggest positive you can take from it.
Mason also says that, while the union doesn’t question whether or not 22 NBA teams lost money last year, it does question whether or not the current system is the true culprit.
Nate Silver of the New York Times' Five Thirty Eight put together the best piece of analysis on NBA finances we've seen since the NBA lockout began on July 1. Silver uses public data from Forbes and Financial World to piece together a puzzle we're otherwise left taking the NBA's word on: is the league actually losing hundreds of millions of dollars despite soaring revenue, rising popularity and a new golden age?
Silver asserts that according to the data at hand, no, the NBA is not losing money. In fact, it has earned a tidy profit every year since the 1998-99 lockout, to tune of about 7 percent annually. We wrote about Silver's study in our burgeoning NBA lockout StoryStream, but something in particular stuck out and, I felt, was worth investigating.
It is the mystery meat known as "other expenses."
Despite arguments to the contrary spurring the NBA lockout, the league has seen annual profits of 7 percent over the life of the current collective bargaining agreement according to a study by Nate Silver of the New York Times based on data from Forbes and FInancial World.
Silver dug deep into the publicly available numbers and found that despite the NBA's claims of $370 million in losses in the 2009-10 season, data suggests the league made $183 million in profit. Silver's work suggests that the NBA made a 5 percent profit that season, its lowest margin since the modern salary structure was created after the 1998-99 lockout but still a solid profit margin for an entertainment company.
Silver points out that while, adjusted for inflation, player salaries has remained on par with revenue growth, non-player expenses has shot up at more than double the rate of revenue and payroll over the past five years. It's unclear exactly what is driving the sharp uptick in those expenses. Some have suggested accounting "tricks" have been a major factor in confusing the profit-loss situation.
On Thursday, Deadspin and ESPN.com each reported that some NBA franchises include in their balance sheets two items that would certainly help make operating profits look like losses in some cases, but may represent actual, legitimate expenses: the amortization of franchise purchase prices and a "roster depreciation allowance."
The purchase amortization effectively allows NBA team owners to claim a portion of the purchase price as a business expense over 15 years, reported Deadspin. But the NBA tells SBNation.com that amortization costs for franchise purchases are not included in the claimed $300 million in collective 2010-11 losses the owners have cited in labor negotiations.
The roster depreciation allowance, which effectively allows franchise owners to claim losses on player depreciation, works just like a parcel delivery service would claim depreciation on its delivery trucks. This effectively counts player payroll, a huge slice of NBA teams' expenses, as a team expense twice. Depending on how legitimate you consider this allowance, which is written into federal code for tax purposes, team owners' claimed losses could be considered exaggerated by no small amount.
The NBA lockout has jokes, improbable centers of knowledge, head-shaking web design and now, delicious irony! Via @soupydavis, the front page of NBA.com, scrubbed of current players, now features a fairly prominent photo of Oscar Robertson.
You know, the Oscar Robertson who led the NBA's players union in its greatest and most important battle ever: the one that resulted in the creation of free agency.
During the NBA lockout, team officials are not allowed to communicate with players, but also agents, relatives, personal staff and trainers and players' sneaker reps, reports Marc Spears of Yahoo! Sports. The NBA will fine teams who violate the prohibition of community, Spears reports, and has even threatened termination for officials who talk to players or their proxies behind the scenes.
In the event of a chance encounter between a team official and player, the official is required to document the meeting and report it to the NBA.
ESPN's Ric Bucher reports that team officials can continue to follow players on Twitter, but are prohibited from "mentioning" or "retweeting" them.
The context of Spears' news comes in the case of Chris Paul and Randy Greenup, a security guard for the New Orleans Hornets and CP's close friend. Greenup and Paul can no longer hang out until the lockout is resolved; it's unclear whether Greenup will be allowed to attend Paul's wedding in September. (For what it's worth, the NFL granted Cowboys owner Jerry Jones permission to attend QB Tony Romo's wedding during that league's lockout.)
The National Basketball Players Association -- the NBA's players' union -- released a statement late Thursday responding to the league's decision to institute an NBA lockout as of 12:01 a.m. on Friday, delaying the start of free agency, putting player movement on hold and threatening the season.
Union officials said players would continue to negotiate with franchise owners despite the lockout.
"While today's decision by the owners to lock out the players is unfortunate, our players will continue to stay focused on a fair outcome," said Derek Fisher, the union's president and L.A. Lakers point guard. "We will continue to negotiate and work towards a resolution that will bring the fans the game they love so much."
In a Thursday press conference announcing the decision to institute a lockout, NBA deputy commissioner Adam Silver said the sides will likely meet on Tuesday at the staff level to attempt to make progress on the economic issues that separate owners and players. A fuller bargaining session could follow in the week of July 11.
If there's one thing the NBA lockout has confirmed already, it's that the players are all recycling jokes. As soon as the clock struck midnight and the lockout began, you just knew players were going to use the "I need a job card." And while the delivery was different from player-to-player, that assumption held true as players attempted humor by joking about being unemployed.
After the jump, superstars begging for jobs, passing along resumes and the Gilbert Arenas show.
The NBA lockout is officially upon us. As of 12:01 Friday morning, the association lacks a collective bargaining agreement for the first time since 1998.
As expected, Thursday's last-ditch negotiations quickly fell apart. The high point of the meeting came when the players -- clearly frustrated by the owners' staunch unwillingness to smear the party line -- attempted a new persuasive tactic that essentially boiled down to ‘lets just start over and not talk about how much money you're going to take away from us'. After which, the two sides split into private discussions.
Peter Holt, owner of the San Antonio Spurs and head of the labor relations committee, tried in vain to lead the conversation. However, the conversation quickly tailed back to the owner's unwavering belief that the players make too much money, versus the players belief that the owners simply do not know how to correctly spend their money -- aka ‘the Eddy Curry defense'.
By the end of it all, both sides were farther apart than when the meeting started.
The players insist they shouldn't be held responsible for debt and interest incurred by owners, as well as by the recent financial anomalies created by the recession.
The truth, driven home by the final three-hour meeting here Thursday, is that neither side feels urgency to make the big gesture in pursuit of a deal. To do so now would be to admit surrender, and neither side could sell it to its constituency at this time.
It seems dangerous for the owners to play with fire at this point. After a season marked by the largest growth the association has seen since the heyday of Michael Jordan, burning down the castle could lead the NBA down a road from which there is no return.
It's often said that nothing happens in basketball until the fourth quarter. Perhaps that will ring true, and both sides will agree upon some last-minute understanding. Given that scenario, the country would happily forgive, forget, and jump back aboard the bandwagon.
But should that sentiment fail to come to fruition, and this lockout turn as vile as some are predicting it to be, the once-in-a-lifetime momentum the NBA gained this year will be impossibly lost. Showing a blatant disregard to the millions of hands that feed you is never a wise strategy.
Fans are fickle like that. Just ask the Gary Bettman. The NHL dealt with this exact scenario seven years ago, and only now is the sport starting to recover. Take heed David Stern, there are no winners in the battle you have chosen.
The NBA lockout is on and as the clock struck 12:01 a.m. on Friday, NBA.com immediately changed. Gone were the images of players and the wire-frame we were accustomed to on the NBA's flagship website. Instead, the site was completely stripped of just about everything, replaced by a statement from David Stern and a whole lot of WNBA. While the lockout is in-place, the league and players will stay at arms length, only meeting at the bargaining table, with contact elsewhere prohibited.
After the jump, a comparison of old and new.
The NBA Lockout officially began at 12:01 AM Friday. This means that free agency will be put on hold as the players and the NBA try to reach an agreement. Given that the NFL Lockout has been going on for quite a while now, we have at least some sense of what to expect.
But what would it mean if a long stretch of regular-season basketball were lost? Obviously, to most of us, that would simply mean we'd find other ways to spend our evenings. For many, though, the lockout could prove to be a lot more troublesome - lots of bars and restaurants would lose business, city governments would lose out on revenue, and arenas and TV stations would be left out in the cold.
"TV networks and marketers are in a difficult position because they cannot control the talks," said Brad Adgate, an analyst at advertising firm Horizon Media. "For them it's frustrating that they invested hundreds of million in rights fees and they have to stand by like the fans" ...
The regional sports networks that carry NBA games, such as the YES Network in the New York area, would have less flexibility and a tougher time finding alternate programing.
Of course, there's a chance that none of this will be a problem, but there's nothing to do at this point but wait and see. Dealing with a lockout as a fan is bad enough, but it's even worse for those who are investment in the game but are no less helpless than the fans in stopping the lockout.
Stay tuned to this StoryStream for more NBA lockout news, updates and explanations.
Don't expect the players to respond to the 2011 NBA Lockout in the same way they did during the 1998-99 work stoppage, Cleveland Cavaliers forward Antawn Jamison said on the eve of the lockout. Jamison explained (via USA Today):
"You had guys saying one thing and you had other guys going behind their back and saying another thing," Jamison said. "The owners knew then they eventually would buckle."
Eventually the players did give in and then played a 50-game season. What will be far more interesting during the lockout is not news of endless negotiations without any real updates, but stories of what the players will be doing during the lockout. As Jamison points out:
"You're going to hear stories about guys that didn't save their money and so forth, but I think collectively guys have done a good job being prepared for this lockout."
Recall in 1998 that then-Boston Celtics guard Kenny Anderson had to think about selling one of his Mercedes by Oct. 1998. It certainly does appear that the players are well prepared for this lockout.
Stay tuned to this StoryStream for more NBA lockout news, updates and explanations.
NBA deputy commissioner Adam Silver has been cited in a statement published by the league, commenting on the impending lockout. The league confirms the news that the lockout will take effect at 12:01 pm ET, July 1. Silver, as expected, gives the NBA's side of the story while casting the players union as being the less-agreeable of the two sides.
Here's Silver:
The expiring collective bargaining agreement created a broken system that produced huge financial losses for our teams. We need a sustainable business model that allows all 30 teams to be able to compete for a championship, fairly compensates our players, and provides teams, if well-managed, with an opportunity to be profitable.
We have made several proposals to the union, including a deal targeting $2 billion annually as the players' share -- an average of approximately $5 million per player that could increase along with league revenue growth. Elements of our proposal would also better align players' pay with performance.
We will continue to make every effort to reach a new agreement that is fair and in the best interests of our teams, our players, our fans, and our game.
Stay tuned to this StoryStream for more NBA lockout news, updates and explanations.
An NBA lockout was the league's "only option" at this point, said commissioner David Stern shortly after news broke that the franchise owners would institute a work stoppage beginning at 12:01 a.m. ET Friday. Stern and deputy commissioner Adam Silver spoke in a televised press conference just before 4 p.m. ET Thursday.
Silver said that even the last-ditch bargaining remained concillatory; the sides will reconvene at the staff level on Tuesday to continue discussions. More bargaining could comes in the following week.
Stern appeared exhausted by the issue, but said the decision made Thursday didn't necessarily strike fear into him with regards to potential damage to the NBA.
"I'm not scared, I'm resigned to the potential damage it could cause to our league," Stern said.
The NBA Players Association made an updated proposal on Thursday, one that Stern claimed would have increased average salary six years into the deal. It's unclear whether that's an accurate representation of the union's proposal. Stern said the NBA provided no new proposal in Thursday's session.
The long-dreaded NBA lockout will begin at midnight Friday, according to a report by CBS Sports' Ken Berger. League officials, owners, players and union officials met for a last-ditch bargaining session in New York on Thursday, just hours before the NBA's collective bargaining agreement was scheduled to expire. But the session didn't result in an agreement or, apparently, enough progress to extend the deadline further.
That means that as of midnight Friday, NBA teams will be prohibited from doing business as it relates to players. Free agency, which typically begins July 1, will be delayed indefinitely and trades will be prohibited. If the NFL lockout is any indicator, players will be barred from NBA facilities (such as team-owned practice facilities) as well.
Berger also reported that the NBA players' union does not plan to decertify and file an anti-trust suit against the league, instead choosing to continue negotiations. The NFL's players' union did decertify and sue, but that case is tied up in the courts with no resolution in sight.
With all eyes shifting to the NBA Lockout this week, even NBA players can't help but compare the NBA's collective bargaining situation to that of the NFL. In the latter scenario, NFLPA President DeMaurice Smith reduced his salary to $1 as a symbolic show of sacrifice. Some NBA players have wondered whether their union's president would do the same.
So Shane Battier asked Billy Hunter. Yahoo! Sports reports:
The mere suggestion seemed to offend Hunter, players witnessing the exchange privately told Yahoo! Sports. After Hunter told Battier he hadn’t given it much thought, members of the union’s executive board came to Hunter’s defense. Hunter had taken the union from the red to the black in his term, done a good job, they said. Hunter never did give Battier a firm answer...
If nothing else, the story paints a tense picture. Hunter makes around $2 million-a-year, and players want to be sure that he has every incentive to get a deal done as soon as possible.
Hunter, for his part, has what might be the toughest job in sports over the next 6-12 months. But more than anything, the exchange above just paints a scene that's full of frustration and uncertainty. In other words, the lockout hasn't even begun, and we're already seeing the effects.
The NBA's collective bargaining agreement expires at midnight on Thursday, and with the league bracing for a lockout, both sides are ready to dig in their heels. Witness the latest dispatch from Adrian Wojnarowski at Yahoo! Sports, which centers on Billy Hunter and the players association, but begins with this scene:
After Kevin Garnett delivered an inspired sermon in the NBA players union meeting a week ago, declaring his willingness to sit out the season and forfeit $18.8 million in salary, a far more measured voice spoke up with 60 rank-and-file players in a New York hotel ballroom.
The "more measured voice" was belonged to Shane Battier, who went on to ask Billy Hunter about sacrificing his salary. But on the eve of a lockout, Garnett's "sermon" certainly strikes a more memorable chord. The gulf between the players and owners is wide, and the closer we get to the NBA's worst case scenario, the clearer it becomes that both sides are prepared to fight.
It'd be one thing for the NBA's rank-and-file to fight the owners, but a superstar like Garnett threatening to sit out the season speaks volumes. The message? This could get really, really ugly.
The NBA lockout is creeping ever closer to the midnight deadline. While basketball fans are up in arms about this development, the players are apparently prepared for a long-lasting lockout.
Almost half of the players in the NBA this past season, give or take 200 of the world's best basketball players, will continue to receive paychecks through October according to Mark Heisler of the Los Angeles Times.
Players apparently asked to have their salaries spread out over a 12-month basis, and considering the current economic climate, the team's were probably more than happy to oblige.
It's difficult to read too much into this newly-reported development considering that it probably promotes a more responsible way for the players to handle their money regardless of it being a lockout year, but the fact that half of the players will continue to receive paychecks probably won't make them too eager to agree to a new collective bargaining agreement that isn't in their favor.
Either way, it looks like the lockout might be in it for the long haul.
The NBA owners and players are having one last meeting before the current collective bargaining agreement expires and the lockout beings, but don't expect anything major to happen before midnight. It appears that the players and owners are still very far apart on what they want the potential new CBA to include, and it seems highly unlikely that those issues will be resolved on Thursday evening. This will be the eighth meeting this month between the two parties, and the previous seven meetings have reportedly yielded few positive results.
There is good news for basketball fans, though, and that is that the disagreement between the owners and players seems like a genuinely respectful disagreement where two reasonable parties see things different ways. This is in stark contrast to the early days of the NFL lockout, which was dirty and nasty, to say the least.
On salary cap structure, the income split, and revenue sharing, the two parties are still miles apart. It's way too early to guess whether or not the fans will get to see basketball this season, but at least the players and owners appear willing to talk to each other in a respectful way.
If the NBA lockout takes place, NBA.com and other team websites will take on a drastically different look. Players' names, images and videos will have to be taken down -- creating quite a headache for webmasters -- if no deal is reached before the current collective bargaining agreement expires on Thursday.
The reason for this drastic move? Well, apparently it's the way the league and teams are interpreting "fair use." Depending on that interpretation, team's may not even be allowed to mention a player's name on their official sites. Apparently, the gray areas in this are considerable. Even showing a picture of a fan wearing a current player's jersey could be off limits. The league has even gone as far as providing teams with a simplified template that they can use to replace their current sites.
"We're going back to the stone ages of the Internet," one team website administrator told ESPN.com. "It's all going to be very dumbed down."
The NBA lockout appears to be all but imminent at this point, apparently, unless the owners and players union can come to some sort of conclusion on their many differences by the end of the week. It doesn't look good, however.
The NBA's Board of Governors are meeting in Dallas this week to figure out their side of the story, and while they didn't outright vote to begin the lockout once the league's current Collective Bargaining Agreement expires on Friday at 12:01 a.m.
Instead of a binding vote to impose a lockout Friday, NBA deputy commissioner Adam Silver told ESPN's Marc Stein on Tuesday that team owners gave the go-ahead to the league's Labor Relations Committee to do "whatever that committee believes is necessary in order to ultimately get a successful new collective bargaining agreement for the teams and the players."
"That committee has the full authority of all 30 teams to act in whatever way they deem appropriate," Silver told Stein.
With the sides so far apart, one would think that a lockout is certainly looming, if not altogether imminent, if business doesn't pick when the owners meet again on Thursday. There were no plans to meet on Wednesday.
NBA players' union president Derek Fisher and chief Billy Hunter told reporters Wednesday that a proposal floated by league owners on Tuesday would cost players $7 billion over the next 10 years and amounts to the creation of a "hard salary cap." CBS Sports' Ken Berger reports that player reps from all 30 teams had been scheduled to meet Thursday in New York to discuss the NBA's most recent proposal ahead a Friday bargaining session. Players could begin to look at legal options to fight a lockout by owners.
Hunter released another detail from the NBA's proposal: owners sought to keep $160 million in 2010-11 salary withheld from players via an escrow system in a new deal. This is salary already earned by players, but kept in reserve until the end of the season in case total player payroll exceeds 57 percent of the league's revenue. If it doesn't -- and it didn't -- that money goes to players. If payroll does exceed the threshold, team owners split the pot.
The NBA's plan would have split the pot despite the current system calling for it to go to players.
NBA owners plan to meet Tuesday in Dallas to discuss the path forward. The current collective bargaining agreement is scheduled to expire a week from Thursday, with a potential lockout to begin July 1.
The NBA lost 32 regular season games and All-Star Weekend in a lockout in 1998 and 1999. The league avoided a similar fate in 2005 by finalizing a new CBA in the hours before the expiration of the 1999 deal. (Free agency was actually delayed about a week in 2005 because the league cut it so close.)
The NBA's owners and players' union continued to make progress on a new labor agreement Tuesday after a nearly four-hour session in New York City. The sides exchanged proposals and will meet again on Friday. The biggest move in Tuesday's session came with the league's proposal for not a hard cap, but a flex cap.
It's unclear, however, whether a flex cap isn't just a hard cap with a new name. Ken Berger of CBS Sports reports that union officials are skeptical the owners have made a real great concession here.
Billy Hunter, the executive director of the National Basketball Players Association, union president Derek Fisher of the Lakers, and executive committee member Chris Paul of the Hornets, however, minimized the owners' gesture as simply another version of a hard cap - which Hunter reiterated was a "blood issue" for the union.
Nevertheless, things look a lot better Tuesday than they did Monday. That's been a theme of the labor talks, which is a complete shock. Team representatives to the union will meet Thursday in New York to discuss the NBA's latest proposal. The sides will bargain again on Friday, and the league's owners will meet Tuesday. The current collective bargaining agreement it set to expire a week from Thursday.
Whether there is an NBA Lockout could hinge on a Tuesday bargaining session between league owners and players, reports Howard Beck of the New York Times. The sides have met multiple times in the past few weeks, with minimal progress to show for it. The franchise owners are determined to remake the league's financial system, while the players are willing to concede some salary but refuse to consent to a hard cap as proposed by the NBA.
Beck reports that NBA commissioner David Stern said that Tuesday's meeting will dictate whether the gulf can be bridged by June 30, the date that the league's current agreement expires.
"It’s just important because of the substance of our conversations today," Stern said of Tuesday’s meeting, "and because time is running out, and because both parties still remain, at least to me, intent on doing the best they can to make a deal before June 30."
Asked if a breakthrough was critical Tuesday, Stern said, "Yes, yes."
On Friday, the NBA reportedly backed off of its bid to eliminate guaranteed contracts, a minor victory for the players' union. But the league remains wedded to a hard cap, something the players have rejected under current bargaining. It's unclear how the NBA proposes to implement a hard cap with guaranteed contracts.
Sad news came Friday for basketball junkies, as the NBA announced its traditional Vegas Summer League will be canceled for 2011. After the NBA's bargaining session with players and union officials on Friday, the league's deputy commissioner Adam Silver told reporters that summer league, which draws thousands of fans to Las Vegas over a few weeks in July, would be canceled "as a function of the calendar."
Reports have suggested for months that summer league would die this season based on the assumed NBA lockout, which could begin July 1. If there is a lockout, free agency would be pushed from its normal July 1 start and teams would not be allowed to contact players under contract or sign rookies from the 2011 NBA Draft, scheduled for June 23. That kind of kills the point of summer league, which is to give rookies, young players and unsigned free agents a chance to get acclimated to their team and play under an NBA coaching staff.
It's also become a popular way for fans to see pro-level (if sloppy and inconsistent) basketball in an intimate, affordable setting.
NBA owners, league officials, players and union officials continue to meet to negotiate a new labor deal before the current agreement expires June 30. A nearly five-hour session in New York on Friday resulted in at least one bit of progress, according to reports by New York Times' Howard Beck: the NBA has dropped its demand for the end of guaranteed contracts in the new deal.
The guaranteed contract has long scarred the records of NBA GMs; currently, contracts can be signed for up to six years, and most are fully guaranteed until, in some cases, the final year. Unlike the NFL's salary system, NBA teams have no way of excising payroll without a mutually agreed upon buyout (rare) or trade. Recoveries from bad contracts tend to be slower in the NBA; one bad contract (or injury) can handcuff a team for years.
The NBA had sought to eliminate the very idea of the guaranteed contract in the league, but reportedly gave up that chip. But the league is still working toward ways to diminish the risk involved with long-term contracts: by shortening the maximum length of contracts, by diminishing the share of revenue from its current 57-43 split that favors players, by instituting a hard cap. Those are still major obstacles to a deal. Ending the guaranteed contract was the most outrageous concept in the NBA's proposal; to see it gone 13 days before the deadline is good news, but not quite enough yet.
The NBA and its players' union are meeting reguarly to hash out a new collective bargaining agreement before July 1, when a lockout could begin. While that's a positive step, no one is getting the circumstances twisted, as both NBA commissioner David Stern and union head Derek Fisher told the media after Wednesday's bargaining session that the two sides are "far apart" on major issues.
Ken Berger of CBS Sports reports that Stern said "we're apart on everything, despite both sides having moved." Mike Bresnahan of the Los Angeles Times quoted Fisher as saying, ""We still feel that we're very far apart in some of the major components." That's a bit bleak.
The major issues are considered to be the current soft salary cap vs. a hard one, the share of revenue players should claim and how "guaranteed" contracts should be. These are no small issues, and remain a sobering coda as the sides try to hammer something out.
NBA owners and players are meeting Wednesday for a full bargaining sessions on labor issues ahead of a feared lockout now just a month away. David Stern announced Tuesday that he'll participate in the bargaining session, and player representative Roger Mason -- who "plays" for the New York Knicks -- tweeted about the exercise.
Whether the collective will make headway on a seemingly impossible task remains to be seen. The National Basketball Players Association last week filed a fair labor practices complaint against the league, seeking to pre-empt a lockout by the NBA. The league's current collective bargaining agreement is set to expire on June 30.
In its filing with the National Labor Relations Board, the union alleged the league had not engaged in good faith negotiations for a new CBA. Union head Billy Hunter has said owners presented essentially the same non-starter proposal proffered a year ago, involving a hard cap of $45 million and drastic salary rollbacks. The only major difference in the new proposal was that the payroll cuts would be phased in over three years.
The NBA quickly responded to the National Basketball Players Association's Tuesday complaint to the National Labor Relations Board alleging that the league's owner were negotiating in bad faith. The NBA, in a brief response released in the hours after the union's complaint went public, refuted the claims made in the NBPA's complaint.
"There is no merit to the charge filed today by the Players Association with the National Labor Relations Board, as we have complied and will continue to comply -- with all of our obligations under the federal labor laws," the NBA said in the statement. "It will not distract us from our efforts to negotiate in good faith a new collective bargaining agreement with the Players Association."
The union also released their NLRB complaint to the media. In it, the NBPA makes a number of accusations, including that the league has threatened players with "draconian" rollbacks if they don't accede to the owners' requests in collective bargaining, and that owners have made direct contact on lockout-related matters to "union employees," with the implication that owners are talking to players outside of structured negotiations.
The NBA Players Association stepped up lockout fever a notch on Tuesday as the union filed an unfair labor practices complaint with the National Labor Relations Board, effectively seeking an injunction against a potential lockout decision by the league on July 1, reports ESPN's Chris Sheridan. The union alleges in the complaint that the NBA has been negotiating in bad faith as the sides try to make up ground on a new collective bargaining agreement.
Last month, union head Derek Fisher of the Los Angeles Lakers complained that the NBA had essentially re-submitted a previously dismissed proposal in returning to the bargaining table. The NBA is pushing for a hard cap of $45 million, substantially lower than the flexible $59 million cap of this season. The newer league proposal would phase the hard cap in over three seasons to give time for players and teams to adjust.
The players aren't having it, and have repeatedly called into question the league's numbers, which indicate some two-thirds of the NBA's teams lose money. The union has said it's willing to negotiate the share of revenue players are due -- that level is currently 57 percent; this figure helps set the salary cap, which sets maximum salaries, minimum salaries and more -- but that a hard cap is a no-go.
Tuesday's filing raises the stakes just a bit. As Sheridan notes, the NBA's referee union also filed an unfair labor practices complaint with the NLRB in advance of their negotiations on a new deal. Two years ago, the NBA and refs went down to the wire -- well into preseason -- before reaching an agreement.
If the NBA does adopt a franchise tag in its next collective bargaining agreement, it would be far different from the NFL version from which it borrows its name, reports the excellent Zach Lowe of SI.com.
Lowe cites sources who say the franchise tag under negotiation as the NBA and its players' union work toward a new labor agreement would more incent stars to stay with their home franchises instead of, as the NFL's version does, force stars to remain with their team. In the NFL, teams can slap a franchise tag on their own free agents to prevent them from signing with another team; the cost is high for the one season the franchise tag is in effect, and oftentimes the player will negotiate a longer-term deal to get some stability.
Lowe reports that NBA version would simply allow teams to select a franchise player, and that star's maximum salary and contract length would be higher than for other players. Currently, NBA teams can sign their own free agents (provided they own "Bird rights" on said players) to six-year contracts with 10.5 percent annual raises. Free agents picked up from other teams can sign nothing longer than a five-year deal with 8 percent annual raises.
But players and teams have found ways around this. LeBron James and Chris Bosh, for example, signed six-year deals with the Miami Heat because their former teams sought the bonus of a trade exception and a draft pick that was the result of a sign-and-trade. One assumes the new franchise tag would forbid sign-and-trade deals for "franchise players."
In what can only be seen as a good sign in the attempt to prevent an NBA lockout this summer, commissioner David Stern and NBA Players Association head Billy Hunter have been meeting and negotiating a new Collective Bargaining Agreement, reports ESPN.com's Henry Abbott. This is a significant development because the last two labor disputes in 1999 and 2005 were only solved when the two men dealt with each other directly.
Abbott reports that the two men met with staffers in Chicago last week and will meet again in New York this coming weekend. There is obviously no guarantee of an agreement, and the two men have met before with no tangible results before, but it's an ongoing sign that the situation may not be as dire as it first seemed.
This is the second sign of tangible progress. Last week, the owners submitted a new proposal, though it was criticized by the players as being too similar to the previous one. The current CBA expires on June 30.
The NBA followed up on a recent promise to deliver a new labor proposal to the league's players' union, report Chris Sheridan and Chris Broussard of ESPN.com. But the union isn't exactly pleased with what they see. Union president and Lakers point guard Derek Fisher told the reporters that the league's proposal looks too similar to the NBA's last offer.
The report suggests that the NBA has maintained its quest for salary rollbacks, a hard cap and a serious restructuring of player-team revenue splits, but that the new proposal would phase the changes in over two seasons. The union has expressed a willingness to negotiate down the current 57-percent share of revenue players are guaranteed, but rollbacks on current contracts are not believed to be on the table.
As it stands, the league and union have until June 30 to reach an agreement on a new collective bargaining agreement. If not, we could see the league lock out the players on July 1, delaying free agency and killing Vegas Summer League. The union could then decertify and take the battle to the courts, as has happened in the NFL.
Monday's ruling in favor of NFL players who had decertified their union in response to a league-ordered lockout and who can now file antitrust complaints against the NFL was a boon to NBA players, who are likewise locked in a labor battle with their league. Ken Berger of CBSSports.com reports that the NBA union has already received permission from its members to decertify if the NBA orders a lockout on July 1 or thereafter.
The NBA has the benefit of watching the NFL's saga play out before engaging in its own war. In fact, the decertification ruling released Monday sets a federal precedent that NBA players will lean on if their own negotiations break the way the NFL's have. The Eighth Circuit Court of Appeals could reverse the ruling and essentially rule that despite decertification players still function as a union with regards to NFL rules. But the onus is on the NFL owners to prove that should be the case.
The NBA battle is expected to be more bitter because, unlike the NFL, some NBA teams are actually losing money under the current system. The NFL, however, has much wider revenue sharing and profit parity than the NBA does.
The NBA and its players' union are already quarrelling over income splits, contract guarantees, payroll caps, revenue sharing and myriad other financial issues. There's another issue that will crop up when the sides get down to brass tacks, though. Marc J. Spears of Yahoo! reports that while the players want to end the NBA's age minimum, approved in 2005 collective bargaining, team owners are pushing to make it a two-year delay between players' high school graduation and entry to the NBA draft (via PBT).
Several high-ranking NBA team executives told Yahoo! Sports they wouldn't be surprised if the age limit in the new CBA is pushed to two years in college and 20 years old by the end of that calendar year. One NBA general manager says about two-thirds of teams are in favor of that change. The current CBA states that an American must be out of high school for at least one year and be 19 years old by the end of that calendar year before entering the draft.
The NBA began restricting new players by age as of the 2006 NBA Draft. Previous to that, high school players had increasingly dotted the top five of the draft. Kwame Brown, LeBron James and Dwight Howard were picked No. 1 straight out of high school, and it's likely others -- like Greg Oden or Kevin Durant, Derrick Rose, Tyreke Evans and John Wall -- could have followed.
In an interview with ESPN.com's Henry Abbott, NBA Players Association head Billy Hunter rejected the league's claim that all but a few franchises are losing significant amounts of money, necessitating a fundamental restructuring of the NBA's revenue and salary system. Commissioner David Stern had previously claimed teams were losing a collective $300 million a year.
Hunter says instead that only a few teams are in the red, and that the problem could be solved with greater revenue sharing between the high-revenue and low-revenue teams.
"Our belief," Hunter said, "is that a small number of teams are suffering, and their problems can be addressed through revenue sharing."
The NBA continues to deny the union's position, with a league spokesman claiming that financial reports submitted to the players' association prove the owners' veritas.
"The NBA has shared with the players' union audited financial reports for all 30 teams which unequivocally demonstrate why Mr. Hunter favors the expiring agreement and why it does not work for us," spokesman Tim Frank said.
If the two sides can't even agree on how much money the teams are or are not losing, there's precious little hope they can agree on how to fix the real or invented problem. This episode perfectly illustrates why so many are so pessimistic about the NBA as we careen toward a lockout.
NBA Players Association boss Billy Hunter and commissioner David Stern went toe-to-toe during an annual chat in the locker room of Staples Center where the league's finest players had assembled before the 2011 NBA All-Star Game, reports Yahoo!'s Adrian Wojnarowski. Woj reports that after Hunter waxed poetic and threateningly about the near-boycott of the 1964 All-Star Game staged by stars seeking medical coverage and pensions, an irate Stern told Hunter and the players that he knew where the bodies were buried in the NBA, because he had put some of them there.
Woj has Chicago Bulls star Derrick Rose confirming the exchange on the record.
"It was shocking," Chicago Bulls star Derrick Rose told Yahoo! Sports. "I was taking off my gear, and when he said that, I just stopped and thought, 'Whoa ...'
"I couldn't believe that he said it."
Woj frames the verbal battle as a sign Hunter, long considered to be overmatched by Stern's phenomenal swag (to put it bluntly), is not messing around as the league and union scream towards a lockout on July 1. Other anonymous All-Stars in the room when Stern lashed out tell Wojnarowski they were glad Hunter stood up to the commish, and that it was "the best" they had ever seen Hunter.
Stern is widely considered a hothead; frankly, he does little to hide that side of his personality. That Hunter was able to present that vision of the commissioner in such a celebratory setting and without Stern ready to sanely reply is really something else. What it doesn't do is suggest the men will be able to hammer out a deal without each extracting a pound or two of flesh.
As we watch the NFL trot into a work stoppage, we are reminded that the NBA's own lockout drama is just months away. Just as NFL players decertified their union on Friday, the NBA is in position to do so, having gained player approval in team-by-team votes earlier this season. But a report by Sam Amick's NBA Confidential indicates that the union is taking extra steps to get players motivated, unified and active ahead of the NBA's potential stoppage.
Amick reports that NBA union officials including Billy Hunter met with player agents on Feb. 18 as the league began to assemble in Los Angeles for All-Star Weekend. That meeting preceded the official sessions with NBA players, union officials and NBA team owners on Feb. 19, a meeting that was reportedly cordial but unproductive. But a second unofficial meeting on Feb. 18 draws more interest.
Amick reports that Hunter and his team met with the handlers for a number of NBA superstars privately, without agents or the players present. The handlers and associates invited to the exclusive, secret session included LeBron James' manager Maverick Carter, Kevin Durant's brother Tony, Derrick Rose's brother Reggie, Dwight Howard's cousin Kevin Samples, Chris Paul's brother C.J. and associates for Joakim Noah and Blake Griffin. To say it's unorthodox for Hunter and the union staff to meet with representatives from that set of players is an understatement. Amick reports that at least one agent was angered by the meeting, feeling that by meeting with the associates, Hunter legitimized their power.
Credit Hunter with thinking outside the box, but be nervous that it could show the first sign of internal fracture within the union.
Prior to the events of All-Star Saturday, NBA commissioner David Stern presented his version of the previous day's union-owners labor talks during an hour-long press conference at the Staples Center. Stern opened the media session by noting that the "state of the league has never been stronger; the talent level is as good as it's ever been, and the fan response has been telling." Stern further commented on the need to step back and view the league in proper perspective relative to current world issues. But needless to say, the media's line of questioning brought lockout talk right back into focus.
The most noteworthy section of the press conference dealt with the financial aspect of collective bargaining negotiations. At Friday's union press conference, Billy Hunter specifically mentioned that the Players Association and NBA owners were not in agreement as to revenue and profit specifics. In stark contrast, Stern stated during his conference that "there is no disagreement in the numbers." When questioned by a reporter on the NBPA's skepticism about the league's claims of losing $300 million per year, Stern simply said, "I don't want to force Billy to disagree with me publicly." It was a strange choice of words, given Hunter had done exactly that during Friday's NBPA conference. After Stern's press conference had ended up, Hunter indeed publicly disagreed with Stern that there is agreement on the numbers.
Elsewhere, Stern confirmed Hunter's comments that the idea of a franchise tag has not been brought to the table, nor does he see it being discussed in the near future. When asked about contraction, Stern noted that there are no current contraction proposals on the table. Ultimately, he didn't indicate whether he thought CBA negotiations will indeed be wrapped up by the June 30 deadline.
NBA Players Association officials addressed the media Friday evening in Los Angeles following the union's meeting with NBA owners and representatives that afternoon. The press conference was delayed by an unexpectedly long afternoon meeting coupled with a rare day of inclement weather in L.A. During his opening remarks, Fisher lightened the mood by likening rain in L.A. to snow on the East Coast.
Union chief Billy Hunter began the press conference by detailing the events of the afternoon labor negotiations. The meeting lasted two hours, with more than 50 people in attendance. Hunter noted that 25 players attended, including 15 All-Stars. As Adrian Wojnarowski reported earlier in the day, these All-Stars included New Orleans' Chris Paul, Utah's Deron Williams, Atlanta's Al Horford and Joe Johnson, and Miami's LeBron James, Dwyane Wade and Chris Bosh.
Hunter stated that despite expectations to the contrary, the meeting was "somewhat amicable," and that both players and owners "kept the rhetoric and volatility down." Hunter emphasized that one of the players' first priorities is to avoid a labor lockout in general. To this end, Hunter indicated that the union and owners agreed this afternoon to "meet much more often." Before this afternoon, it had been two and a half months since the two groups last met.
Before turning the podium over to Derek Fisher, Hunter praised Derek Fisher and his role in the meeting, stating that Derek Fisher "never ceases to amaze [him]." This was a sentiment that both Hunter and board member Keyon Dooling would echo many more times through the course of the press conference.
In his statement to the media, Fisher primarily addressed the impact a lockout would have not only on NBA players but also on various related jobs in NBA cities. Of these, he emphasized the importance NBA arenas have relative to their respective cities. Dooling's subsequent statement focused on the diversity of players present at the labor talks. He mentioned that "every demographic of player was represented," a departure from previous labor meetings. Hunter later mentioned he felt that the presence of so many NBA players would impact the way NBA owners view negotiations in the future.
After their opening remarks, Dooling, Fisher and Hunter accepted questions from the media. As expected, the conversation tended towards the union's stances on revenue sharing, guaranteed contracts, the proposed additions of a hard cap and NFL-style "franchise tag" and talk of contraction.
Hunter addressed the question of the proposed hard cap -- one that would replace the NBA's current soft cap and remove the league's current system of exception-based free agent acquisition. The union has been against the hard cap since its initial proposal. It would impact the extent to which teams extend themselves to offer new player contracts. But Hunter also spoke at length on another potentially negative angle, saying:
A hard cap would impact basketball much more than it would the NFL. Rosters are larger [there]. 25 to 30% of an NFL team turns over every year or every couple years. If you apply that to basketball and 5 to 15 players, the reality is you would turn over much quicker, and the ability to develop a good team would be almost impossible.
When asked if the hard cap would make it easier for smaller market teams to compete with larger ones, both Hunter and Fisher responded that multiple small market teams have found success in recent years while staying under the salary cap. With the advent of "super teams" such as Miami's Big 3 and New York's move for its own Big 3, that argument isn't one that basketball analysts will take very seriously.
Fisher also addressed the issue of guaranteed contracts. NBA owners have come out in favor of moving towards a non-guaranteed contract system, similar to the one employed by the NFL. Fisher noted that "every NBA contract is negotiated; every team has the opportunity to negotiate a non-guaranteed contract." Fisher went on to claim that by clamoring for non-guaranteed contracts, owners are simply trying to protect themselves from themselves. Fisher also mentioned that the concept of a "franchise tag" is one that is yet to be discussed by either side.
In a larger sense, it would be tough to say that significant progress was made at today's labor talks. However, as indicated by Hunter's and Fisher's rhetoric, both sides understand that time is now of the essence. The commitment to more frequent future labor meetings would seem to indicate as much.
Journalists like to say that without deadlines, nothing would ever get done. Today's labor talks may have opened both players' and owners' eyes to the fact that the lockout deadline is right around the corner. Whether things get done remains to be seen.
As reported by Yahoo! Sports' Adrian Wojnarowski earlier in the day, multiple NBA players and representatives met with team owners this afternoon in Beverly Hills for continued labor talks. Wojnarowski reports that among those present were New Orleans' Chris Paul, Atlanta's Al Horford and Joe Johnson, Miami's trio of LeBron James, Chris Bosh and Dwyane Wade, and Utah's Deron Williams.
The NBA Players Association has announced a press conference scheduled for Friday evening in downtown Los Angeles with NBPA Executive Director Billy Hunter, NBPA President Derek Fisher and members of the NBPA executive committee, of which Paul is the only star player.
The union and franchise owners are locked in a dispute over revenue splits and other issues. If an agreement is not reached by June 30, the league could lock out players on July 1. A lockout cost the NBA 32 regular season games and All-Star festivities in 1998.
LeBron James will be at All-Star Weekend to play in the Sunday showdown as he is every year. But he has something else on the schedule: the NBA players' union's meeting with franchise owners. The Associated Press reports that LeBron, who hasn't been too involved in labor negotiations in the past, will show up at the planned bargaining session between franchisees and players, and if the opportunity strikes, he'll let his voice be heard.
"I'm going to listen a lot, because it's not like I'm there on every conversation or every phone call that they have," James said. "I don't know all, but as a player, as a person of this league, I know a lot about this league. If I feel like a comment needs to be said from me, I've never been one to hold my tongue. So I'll definitely voice my opinion."
Engagement from All-Star players who pay the league's bills is something union heads like Billy Hunter and even president Derek Fisher will cherish. That said, LeBron's concerns for a new collective bargaining agreement are far different than those of the rank-and-file of the union; we've seen divisions between top-tier players and the rank-and-file show up in labor negotiations in both 1995 and 1998. Back then, it was David Falk's cadre of stars, led by Michael Jordan, Patrick Ewing and Alonzo Mourning, who were more concerned with limits on a single player's salary than the total player-team share of revenue.
But again, engagement is good. LeBron will likely be joined by other members of the NBA's elite. Chris Paul is the only star-level player who actually sits on the union's board, which is otherwise made up of roleplayers. The board has some influence when it comes to brass tracks, as they will recommend union-wide votes on the final collective bargaining agreement as well as potentially line item concessions.
NBA Players Association chief Billy Hunter is telling players that if there is a lockout come July 1, it will take out the entire 2011-12 season, according to a report by Wendell Maxey of Beyond the Beat.
Maxey's sources within the Sacramento Kings said Hunter spoke to the team two weeks ago, and said that if the league's latest labor impasse reaches the point of a lockout, it won't be resolved before the entire NBA season is lost. Whether that's an alarm to push players to save money or prepare for European travel, or whether it's Hunter's honest assessment remains to be seen.
Hunter had previously said he believed there was a 99 percent chance of a lockout occuring. The league and players will meet in what will surely be a well-covered event at All-Star Weekend in L.A. in mid-February. At last season's All-Star meeting, the union tore up the league's proposal. The sides are not said to be any closer on an agreement today.
The 1998 NBA lockout cost the league 32 regular season games. The 2004 NHL lockout canceled an entire season. The NFL is also careening toward a work stoppage, though it appears more likely that the NFL will avoid a lockout than is the case for the NBA.
NBA owners with meet with an assembly of players at All-Star Weekend in Los Angeles to try to iron out some progress on the the league's next collective bargaining agreement, reports the Associated Press. NBA deputy commissioner Adam Silver, the league's lead negotiator in this round of collective bargaining, said last week he wasn't sure the sides would meet during All-Star Weekend. But union leaders made an objection, and the sides will indeed meet as they did a year ago in Dallas.
Atlanta Hawks guard Maurice Evans told FanHouse's excellent Sam Amick on Wednesday that the union was offended the owners wouldn't carve out some time during a critical stretch in the negotiations.
"They don't want to do it because they don't want to have the LeBron James and the KGs (Kevin Garnetts) and the Kobes (Kobe Bryant) and all these guys in one spot where they can come in and look them in the eye and address them," Evans said. "It's easier to look at Mo Evans and Derek Fisher and Keyon Dooling and Etan Thomas and guys like us and Theo Ratliff (all of whom are members of the NBAPA executive committee).
"It's easy to come in and look at guys who aren't making $20 million (per season) and aren't franchise players, and say, 'Hey we need (salary) rollbacks. We don't have enough money. This model isn't working, blah blah blah blah.' But tell that to LeBron James. You can't lie to those guys, because you know it's working."
That's an incredible rant, and shows that the union is seriously about flexing its muscle as frequently as possible. There's no better opportunity than All-Star Weekend, when the league (and much of its media corps) descends upon a city for four days of undivided post-Super Bowl, pre-baseball attention.
Last year's All-Star meeting didn't go so well, as the union tore up the league's proposal. It had called for unprecedented salary rollbacks and concessions. All through the negotiations, the union has maintained that NBA owners haven't been willing to budge or actually negotiate.
The NBA regular season is nearly halfway over, which means we are racing towards the expected 2011 NBA lockout. The air battle over positive media has been fought for more than a year already. Frankly, neither side can really win the P.R. game -- the NBA is seeing record ratings, teams spent incredible sums last summer and players are doing what players do: making and spending cash.
It may be an impossible game to win, the battle over the white hat in collective bargaining. But notably, NBA deputy commissioner Adam Silver -- the league's so-called lead negotiator (which makes it sound like a hostage situation, which kind of fits) -- unveiled his pitch to fans in an impromptu chat with reporters before Hornets-Rockets on Friday night. NBA.com's Fran Blinebury captured the message.
"I'd like to say, from a fan's standpoint, I don't necessarily expect them to care how money is divided between players and owners," Silver said. "I do expect them to care about the quality of competition in this league and one of the things that we presented to the Players Association is that we believe we can do a better job distributing the money we do pay to the players to insure that all 30 teams regardless of market size are competing for a championship.
"By that, I don't mean to say it in a coded way. It would mean shorter contracts with less guaranteed money to give teams flexibility to improve their rosters."
That last line is frank and direct, and reassures us as observers what this is all about: teams feel as if they have to offer massive contracts to complimentary or sub-superstar players just to compete, because if they don't compete, they will make no money. Shorter, smaller contracts is one way to fix it; players will argue that forcing the teams raking in tens of millions of dollars in profit to share their largess with the less fortunate franchises is the way to go. Both sides are telling fans the same thing -- more parity, better competition -- but there's little common ground in the method for getting there.
The NBA Players Association has begun to vote to decertify as a union, according to the Dallas Business Journal (via Pro Basketball Talk). Union head Billy Hunter is conducting the vote in person inside various NBA locker rooms as he travels to talk about labor issues as the league counts down toward an expected lockout on July 1, 2011. The DBJ reports that at least two teams have voted unanimously to authorize decertification.
What would decertification do? It would allow NBA players to sue the league for antitrust violations if the NBA shut down on July 1. Since teams would stop paying players in the event of a lockout, the union believes that would constitute an antitrust violation by not allowing these workers to engage in their craft (being that the NBA certainly has a monopoly on professional basketball in the United States). It would also give the union justification to sue if the NBA instituted new salary rules outside of collective bargaining.
If the players do eventually decertify, it would mark a first for the NBA. The NFL's players union decertified in 1989, but decertification votes by the NBAPA failed in both 1995 and 1998. It's unclear why the NBAPA feels differently about decertification this time around, though a lack of success in the 1998 lockout and the NFLPA's recent decision to authorize certification may play into it.
Either way, decertification will set up some very interesting potential judicial decision in July, August and September should the NBA push forward with a lockout.
You have to give it to the NBA Players Association: they certainly are finding creative ways to compromise to prevent a lockout from occurring in 2011. Their latest proposal, released in a podcast sent out to players last week that just became public, includes lowering the age limit back down to 18 and "incentivise" players to remain in college.
Via Liz Mullen of Sports Business Journal:
NBPA Exec Dir Billy Hunter revealed previously undisclosed details of the union's counterproposal in an audio podcast sent to every NBA player in the league last week, according to a source. As part of the union's proposal to roll back the age limit from the current one year removed from high school or 19 years old to 18 years old, Hunter indicated that the union would seek changes to the current system "to incentivize high school and college athletes to attend school."
It's not clear what kind of incentives Hunter is proposing, but one possibility is that the rookie salary scale undergoes some changes. Howard Beck of the New York Times speculates that players who come from college would earn a higher salary.
No specifics are offered, but one possibility would be to adjust the rookie wage scale to reward players who stay in school.
That is just one element of the NBPA's proposal. Via Beck, here are some others:
"The more player movement, the more expensive a league is," a management source said. "Football has very little player movement, and it's less expensive. Baseball has a lot of player movement, and it's very, very expensive."
Amid the promise of the 2010-11 NBA season, there's a very dark cloud cloud hanging over everything: the possibility of a lockout prior to the 2011-12 season. In recent weeks, that cloud has gotten even darker. Now, in what may be the most worrysome sign yet, NBA Player Association executive director Billy Hunter said in an interview with Howard Beck of the New York Times that, at this point, there is a "99 percent chance" there will be a lockout next season.
"I'd be 99 percent sure as of today that there will be a lockout," Billy Hunter, the executive director of the National Basketball Players Association, said in an interview at his Harlem office. "I've said, ‘Save your money because in all probability there's going to be a lockout.'
Hunter tells Beck that no meetings between the owners and the players union are scheduled, since each side has completely rejected the other's proposal. The owners want major changes, including a move to a hard salary cap and a 40-percent reduction in player salaries, saving them $750-$800 million. Hunter and the players' union, predictably, isn't going for that. Hunter said the proposal is like the owners "beat me up and take my lunch," and called it "unreasonable," "extreme" and "intractable."
Hunter said he is willing to accept modest cutbacks on the 57-percent share of Basketball-Related Income the players currently get, as well as modest cutbacks on player salaries, but was emphatic that the union will never go for the owners' proposal.
Hunter called the league's proposal "extreme" and the owners "intractable," and he said if the league maintained its stance, then "the distance I think is just too great to move."
"Because we're going to stay where we are," he said.
Of course, the last time an extended lockout happened in 1999, the owners' hawkish ways eventually overcame the players' inability to sustain themselves financially. Hunter is determined not to let that happen this time, saying he has a "$175 million war chest" to help players in need during the inevitable lockout.
It's still early, but clearly, the dispute is getting serious.
One of the biggest questions that's lingered throughout these NBA labor discussions is what happens if the NBA goes to a hard salary cap and teams are stuck well over it. What happens to the players' salaries then? Would they have to accept pay cuts on deals they negotiated in the old CBA?
As it turns out, the answer to that question is ... yes. At least if you believe deputy commissioner Adam Silver. In an interview with CBSSports' Ken Berger, Silver said that salary rollbacks on existing contracts is a part of the owners' proposal.
On-the-record confirmation that the NBA is looking to do to its players what the NHL did in 2005.
"It's part of our proposal," Silver said. "It included a reduction of existing contracts in addition to a reduction of the maximums going forward."
This means that all 450 players may end up losing a significant chunk of their existing contracts. Yowzers. Berger asked Silver whether that would mean Dwyane Wade, LeBron James and Chris Bosh would have to take sizeable pay cuts in order to keep the Miami superteam alive, and Silver said yes.
"That's what they did in the NHL," Silver said. "That was the system they had. All existing contracts were cut a certain percentage."
NHL players were force to take a 24-percent pay cut on their existing contracts. That's a major chunk of change, and it ultimately led to a lockout in 2005.
If the league's proposal passes through, there are suddenly some major implications at play. Among them:
One of the most surprising pieces of news to come out of the NBA Labor negotiations was yesterday's report that the owners are considering contracting several NBA teams. Today, on a conference call with reporters, NBA commissioner David Stern confirmed the news.
Via Howard Beck of the New York Times:
Stern confirms report that contraction will be discussed in labor talks. But also says he is "not spending a lot of time on it."
I guess we can put that concern to rest, for the most part. However, Stern did stand firm on his one-third player salary reduction stance. Earlier in the day, the NBA Players Association put out the following statement on their Twitter account.
NBPA Excecutive Director Billy Hunter's response to NBA's bargaining position - "The position expressed by the NBA today is regretful, since in February 2010, the players unequivocally rejected the owners' proposal which called for a hard cap, a 40 percent rollback in player salaries, unlimited expense deductions and the elimination of guaranteed contracts. The players and the union would prefer to work towards attaining a fair deal that addresses concerns raised by both sides and the cancellation of part or all of the 2011-2012 season. The players and union will prepare accordingly."
When asked about Hunter's threat of a lockout, Stern had this to say, via Sam Amick of Fanhouse:
Stern on Billy Hunter statement predicting lockout: "I don't believe Billy wrote that because he wouldn't threaten me with a lockout."
Tough talk, David.
As if demanding a one-third reduction in player salaries isn't enough, the NBA owners are reportedly considering an even more drastic step to eliminate a bunch of NBA jobs. According to a report by CBS Sports, the NBA owners are actually considering the possibility of eliminating franchises.
In another staggering development Thursday, CBSSports.com learned that salaries may not be the only area cut as the NBA tries to gets its financial books up to speed with the explosion in popularity the league will experience this season. A person with knowledge of the owners' discussions said the league "will continue to be open to contraction" as a possible mechanism for restoring the league to profitability.
The owners, according to the source, are examining whether the NBA franchises are located in the best markets. I suppose all mechanisms for making the league more profitable should be on the table. But contraction? Is that really the best thing to do right now, when there are so many borderline NBA players fighting for jobs in the league that deserve it?
If the players don't go for the salary reduction, what makes the owners think they'll go for this?
As we prepare for one of the most highly-anticipated NBA seasons in recent memory, we have to keep in mind that there's a dark cloud on the horizon. Yes, the NBA's Collective Bargaining Agreement expires after this year, and already, David Stern has begun digging in the sand.
Today, Stern told the Associated Press that the league is seeking a reduction in player salaries by one third, a pretty large downsizing.
NBA commissioner David Stern says there was no quantifiable progress in collective bargaining talks over the summer, and the league has revealed it is seeking a reduction in player salary costs by about one-third.
Stern says the league wants player costs to drop by about $750-800 million.
The NBA is projected to lose around $350-400 million, according to estimates Stern has reportedly shared with the NBA Players Association. Tom Ziller of Fanhouse was the first to notice the odd fudging of numbers here.
It's worth noting that if Stern is being honest in reporting that the league's 30 teams will lose a combined $350 million, then the proposed salary cut would turn that $350 million deficit for the owners into a $350 million profit. There is no way on Earth, Mars or Jupiter players will accede to such a request.
I realize the owners are drawing lines in the sand here, but that's pretty ridiculous.
For the longest time, we assumed the NBA owners would be as hawkish as they needed to be about switching to a hard salary cap, which would eliminate all the exceptions NBA teams have to go over the salary-cap figure. The idea is that a hard cap would help protect the owners from overspending, since there would be no way a team could have a payroll over a certain threshold. However, according to CBS Sports' Ken Berger, the owners are reportedly willing to concede that stance during negotiations.
There are growing suspicions on the owners' side that their position isn't going to be hard-cap-or-bust. At the very least, whether the cap has exceptions or not isn't the issue the owners are primarily concerned with. They simply want to pay the players less; what system is used to pay the players is somewhat immaterial, at least at this stage of the negotiations.
Of course, there's a reason the owners are softening their stance. According to Berger, a hard cap is, quite literally, a deal-breaker for the NBA Players Association, and it would eliminate any positive momentum the two sides have gained in recent months.
A hard cap, according to a person with knowledge of the NBA's recent labor negotiations, will be "a total deal-breaker" for the National Basketball Players Association.
Not only that, it'll sabotage the negotiations themselves. There are strong indications that the union would break off negotiations if the owners refused to back down from their pursuit of a hard cap. All the momentum gained from two less contentious bargaining sessions after All-Star weekend -- one in August and one in September -- would go up in smoke.
In light of the NBAPA's stance, the owners are considering other ways to more generally lower player salaries. For example, they could push for the abolition of the mid-level exception and fewer guaranteed years in contracts without going to a hard cap. The NBAPA would oppose those measures, but at least they'd listen to the owners' side.
This makes it interesting that Wizards owner Ted Leonsis was fined so heavily for suggesting a hard cap was coming. Before, it was assumed that David Stern fined him for revealing the owners' position. Now, one has to think he was fined because he was actually misrepresenting the owners.
During a random appearance talking to a group of business leaders in Northern Virginia, Wizards owner Ted Leonsis may have let the owner’s Collective Bargaining Agreement plans slip a bit. According to Fanhouse’s Hal Spivack, Leonsis mentioned that he expects the NBA to have a hard salary cap after this season.
“In a salary cap era — and soon a hard salary cap in the NBA like it’s in the NHL — if everyone can pay the same amount to the same amount of players, its the small nuanced differences that matter,” Leonsis said.
Leonsis declined to elaborate afterwards, because he couldn’t, but did say he likes the hard cap the NHL currently employs.
It’s unclear how much the hard cap would be if Leonsis is right, but over the summer, Fanhouse’s Sam Amick mentioned a figure close to $45 million. He added that teams over that line — which is pretty much everyone — would have to release players to get under. That seems pretty unrealistic, but if Leonsis indeed accidentally let the cat out of the bag, it may not actually be that far off.
The NBA Collective Bargaining Agreement expires after this season, and many feel that a lockout is inevitable. The owners and players are far apart, with the Players Association sharply contesting the owner's pleas for poverty after a summer that saw several huge contracts handed out.
Earlier today, the two sides met, and according to Ken Berger, they remain far apart. However, the meeting, which included appearances by several of the league's highest-paid players, went better than expected.
#NBA owners and players have emerged from a 3 1-2 hour bargaining session in Manhattan. The big dogs DID show up. LBJ, Wade, Melo, etc. Bargaining was "more amicable" than at All-Star weekend, sources say, but sides still "far apart." #NBA
That's all nice and good, to be fair, and it's better than a situation where the two sides were shouting at each other. However, it's clear little progress is being made, as Pro Basketball Talk notes:
The owners are pushing for a radical change in how the NBA's financial structure -- a hard salary cap, shorter contracts with not all of them guaranteed, some restrictions on player movement and more.
The players basically like things the way they are now.
Whatever they talked about for more than three hours in Manhattan, neither side was moving off those basic principles, which are so diametrically opposed. The current CBA can run for another couple years but the owners can -- and will -- opt out of it by the end of this year and force a new CBA for next season.
I'll say again -- we are headed to a lockout next summer. This is not a maybe thing if you talk to people in NBA front offices. Everybody on both sides privately expects it. The only question is will it cost regular season games and if so how many.
Here's hoping they're wrong, but right now, it's hard to disagree.
NBA Lockout Ends As Players, Owners Ratify
The NBA Board of Governors on Thursday ratified a new 10-year collective bargaining agreement, clearing the way for the official end of the 2011 lockout. Commissioner David Stern told reporters that the owners voted 25-5 to approve the deal.
Earlier on Thursday, players had ratified the deal by a wide margin, though fewer than half of the union membership elected to vote.
The ratification clears the way for free agency to officially begin at 2 p.m. ET on Friday. Chortles are encouraged, given that half the league has been reported to have handshake deals with specific dollar amounts attached with free agents already, and trades -- including one for a certain Chris Paul -- have already been agreed to.
Training camps will also open on Friday. Preseason games begin in a little over a week. Basketball is back, everybody. Embrace a fan near you and enjoy. (Enjoy it a little more if you're a fan of the L.A. Lakers.)
Dec 08 9:05p by Tom Ziller - 0 comments