Tag: BRI


Former NBA union head no fan of decertification strategy


A couple months back when PBT spoke with Charles Grantham, former head of the National Basketball Players Association — the players union that is now the players trade association — he said that there were some hills worth dying on for players in these labor talks. Things like guaranteed contracts or the owners’ idea of decoupling revenue and the salary cap were issues the players could not give in on.

But there comes a time when it’s about playing basketball if you get those things.

Which is why Grantham told the USA Today he didn’t love the union’s move of dissolving (via a disclaimer of interest) and having the players sue the league on antitrust grounds. He thinks the union is missing the big picture.

“I certainly think the overall players should’ve had the opportunity to vote on whether or not to proceed. … I’m perplexed as to how we go from agreeing to 50% ready to move forward and not recognizing that you can’t get more than that no matter what the system says. When you start talking about missing the season, you have to consider a cost-benefit analysis. How much is it going to cost me as a player to get a system change? Is it worth me losing up to 25% of my salary?

“I’m not certain this move is good for the them. I can see where it’s good for the antitrust attorneys who might be charging as much as $1 million a week in fees or the agents who see that seven-point swing (from 57% to 50% BRI) as adding up over time as quite a bit of money. But it also is money that hasn’t been earned. Theoretically you’re losing that money, but at the same time the pie is bigger and the average salary is increasing.”

Grantham seems to believe — as do I and some agents, as well as the owners — that if David Stern’s last offer had been put to a vote of the players, it would have passed. Not overwhelmingly, but it would have passed. And in the long haul the players would be better off on the courts than in the courts.

Make no mistake, the owners think they can wait the players out, that the players will eventually cave. Stern tried to get a deal that he thought his owners would approve, but he didn’t give the players a way to save face in there. So the players rejected it and went to the courts. Now multiple sources are saying the owners are dug in and going to let the players miss another check or two (Dec. 1 is the day the players would have been paid). They are going to wait out the players.

When you stand back and look at the big picture, you wonder if Grantham isn’t right and the players shouldn’t have voted on the last deal.

The next NBA legal battle: venue for the legal battles

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When the NBA filed a preemptive lawsuit in New York back in August trying to take the teeth out of decertification of the players union, the union’s lawyers accused the league of “forum shopping.” Meaning the goal of the lawsuit was to choose the venue for future legal battles, not win the suit itself.

Now the venue is the battle. Antitrust lawsuits filed by players this week were in northern California and Minnesota. Where the case is heard could help determine the outcome.

The Sports Law Blog tries to explain this to us non-lawyers.

In both the 8th and 9th Circuits (where the players filed suits), courts have repeatedly held that the non-statutory labor exemption shields from antitrust scrutiny only activities that (1) involve mandatory subjects of bargaining, (2) primarily affect the parties involved, and (3) are reached through bona fide arms’ length bargaining. Based on this standard, the U.S. District Court for the District of Minnesota concluded in McNeil v. Nat’l Football League, 790 F. Supp. 871 (D. Minn. 1991) that the non-statutory labor exemption cannot apply after a union disclaims interest: presumably because after a disclaimer the second and third prongs of the non-statutory labor exemption cannot be met.

By contrast, the U.S. Court of Appeals for the Second Circuit (New York, where the league filed) in Clarett v. Nat’l Football League rejected the 8th & 9th Circuit definition of the non-statutory labor exemption in favor of a far broader non-statutory labor exemption. Thus, in the Second Circuit, the mere act of disclaiming union interest might not impose immediate liability on a sports league for maintaining terms originally implemented before such a disclaimer.

Yea, I start to get lost in there, too. But the idea is that the venue matters — the players filed where they did for a reason, as did the league in August. Whoever wins the coming venue battle will win the first skirmish of this war.

Or, you know, the two sides could sit down and negotiate a deal like adults. Just sayin’.

Another NHL player warns NBA counterparts it’s not worth it

Dave Andreychuk
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The NBA players have chosen their path. It’s a hard path they see as being based on their principles, it’s about fairness and the future

But they are not the first to walk this path — the NHL did it before. The league lost a full season. And now a second NHL players has come out and warned NBA players it’s not worth it.

Long-time NHL veteran Dave Andreychuk spoke to the Orlando Sentinel about it (hat tip Eye on Basketball).

“If players think it’s better to sit out the season, let me tell (you), it’s not. It’s just not,” Andreychuk says. “In the end, it will be worse….

“The deal got worse by us sitting out,” Andreychuk admits. “At the end, we were so willing to sign, we had to agree to what the owners wanted. We gave back a tremendous amount just to get a deal done so we could go back to work….

“All of the momentum and excitement surrounding the franchise after we won the Stanley Cup was lost,” Andreychuk says (he was captain of the Lightning team that won right before lockout). “Fans who bought tickets and jumped on the bandwagon during the playoffs never came back because the next season was cancelled.”

Bill Guerin, as hardline an NHL union guy as there was during the lockout, also has warned NBA players not to lose a season. You can say that former pro athletes should support the current generation, but these guys are speaking from the heart about how it went for them.

Yes, the NBA lockout is different in a lot of ways. It’s also the same in a lot of ways. You don’t have to heed what NHL guys tell you, but you should listen.

In the meeting Monday when the players voted to dissolve the union, Kobe Bryant reportedly told the team reps that if they went this path it couldn’t be halfway. All in, long haul. Because if the players cave now — like a lot of owners think they will — the price they pay will be very severe. Just ask the NHL guys.

Oddsmakers think we’ll see some NBA basketball after Jan. 1


Because you should be able to bet on anything, we bring you NBA lockout odds.

No Dan Gilbert, you cannot bet because you can control the outcome.

Oddsmakers at Bodog think that there likely will be an NBA season, but not until we’re past the New Year’s Day college bowl games. Although they think it’s nearly even the full season is lost. Here are the three prop bets.

Will a 2011-2012 NBA Regular Season game be played before January 1st, 2012?
Yes                  +200
No                   -300

Will the NBA cancel the entire 2011-2012 Regular Season?
Yes                  -150
No                   +110

What percent of the BRI (Basketball Related Income) will the Players receive during the next Collective Bargaining Agreement?
Over/Under                    50.5%

Bet the under on that one.

When labor talks restart, who can be NBA’s Robert Kraft?

NFLPA Executive Committee Meet In Washington DC To Vote On New Labor Agreement

Right now, the lawyers are the guys putting on the show. The players have their big-gun attorney David Boies filing an antitrust lawsuit. Within a couple days David Stern (a lawyer) and his legal team will respond with their own legal maneuvers trying to crush the rebel alliance, and that will garner headlines.

But the way this will end is with settlement talks.

The argument technically shifts from “how do we build a collective bargaining agreement?” to “what collective bargaining agreement can we reach so we can throw the lawsuit out?” but it is essentially the same — two sides talking across a table. When the owners and players agree on a CBA the lockout and all this will end.

They did that in the NFL when Patriots owner Robert Kraft and Colts center Jeff Saturday threw the lawyers out of the room and agreed to keep negotiating, regardless of what advice they got from said lawyers. From ProFootballTalk, here is what Saturday said:

“The big shift came when owners and players began to negotiate by ourselves,” Saturday told NFL Network. “You really began to see men’s personalities and what they believe in. Robert Kraft was instrumental in getting this deal done. … Each and every one of us understood what he was going through.”

Have the NBA negotiations ever been humanized like that?

The NFL sides met for 16 straight days and hammered out a deal. The NFL season started on time.

For all the legal wrangling (and the differences in the talks), that is how the NBA lockout will end. Lawyers will want to use litigation to solve problems the same way surgeons will want to cut even when it is not the best strategy. Somebody needs to take charge, be rational, put Stern and the hardliners to the side, and just make this happen.

The problem is, who can be the NBA’s Robert Kraft?

Mark Cuban? He has the personality, but would the hardliners really accept the deal from one of the biggest spending owners (The only team that has spent more in the last decade on salary is the Knicks. Thanks, Isiah!). Small-market owners see him as part of the problem, not the solution.

Michael Jordan? He’s a hardliner that the players don’t trust right now so he will not work. It’s not the personality of Jerry Buss (or even Jeanie) to leap into this kind of fray, plus they again are big spenders. James Dolan? Do you really want him to craft a complex business deal about basketball? Same with Micky Arison. He can pick the place I go to dinner anytime but not sure he gets to be the man here.

Could a hardliner from the owners become the voice of reason and pull it off — Ted Leonsis (Washington), Herb Kohl (Milwaukee), or even, gulp, Dan Gilbert? (Insert your own “CBA written in Comic Sans” joke here, I’m not doing it for you.) Maybe a moderate such as Peter Holt (San Antonio) could, although he has been in front the whole time and nothing.

It’s the same on the players’ side — who could be their Jeff Saturday? Derek Fisher, Chauncey Billups, maybe even Etan Thomas?

Both sides are not going to like the ultimate deal struck, that’s how negotiations work. But if the NBA season is to be saved in some form, the sides need to start viewing each other as people not enemies to vanquish. Somebody is going to have to take charge, be rational and not take no for an answer.

Sadly, I just don’t see who can do it.