Blog Entry

NBA players blow up union, take fight to court

Posted on: November 14, 2011 2:56 pm
Edited on: November 14, 2011 8:54 pm
NEW YORK -- Unable to reach a collective bargaining agreement with the NBA, the union representing the players dissolved Monday and paved the way for a potentially lengthy and ugly antitrust lawsuit to be filed within days.

With a unanimous show-of-hands vote from as many as 50 players, the union sent a disclaimer of interest letter to commissioner David Stern, which effectively ended the National Basketball Players Association's role as the collective bargaining agent for the players. Outside counsel Jeffrey Kessler and star attorney David Boies -- whom the players met for the first time Monday -- will lead the legal team that will sue the NBA alleging antitrust violations.

"We've negotiated in good faith for over two years," said Billy Hunter, who now becomes executive director of the National Basketball Players Trade Association -- no longer the leader of the players' union. "The players just felt that they've given enough."

Stern, speaking live on league broadcast partner ESPN, called the players' tactic "a charade" and characterized it as a "magical trick" that ultimately will fail.

"What they've done is destroyed incredible value that would've gone to the union membership," Stern said. "... We were very close, and they decided to blow it up."

Stern made no pronouncements about further cancellation of games, but added, "The calendar takes care of that." Although the disclaimer action initiated by union executive director Billy Hunter is more expeditious than a decertification vote initiated by the players, the legal fight that will ensue certainly imperils the 2011-12 season.

"Obviously, Mr. Kessler got his way," Stern said, "and we're about to go into the nuclear winter of the NBA."

During a meeting attended by the players' executive committee, player reps from all 30 teams and about 20 more players -- including superstar Kobe Bryant, Tyson Chandler, Carlos Boozer, Rajon Rondo and Elton Brand -- union officials presented and explained details of the league's most recent offer. It had been characterized as the final revised proposal the league intended to offer, and if the players didn't accept it, Stern's negotiating position would revert to a harsher offer -- including player salaries being derived from a 47 percent share of revenues, a hard team salary cap and rollbacks of existing contracts.

The deal on the table for the players Monday included a 50-50 split of revenues -- a 12 percent reduction from their previous share of 57 percent -- and a long list of system and spending restrictions. Hunter said the meeting gained momentum and changed in tone once players raised the option of decertification. They ultimately chose the more expeditious option of a disclaimer, with Hunter saying a summary judgment in the antitrust case could possibly be reached in 60 days -- about the length of time it would've taken the National Labor Relations Board to authorize an election through a player-initiated decertification. 

About 200 players already had signed decertification petitions, displeased with the league's negotiating tactics and the concessions made by the union. Among these were 15 players in the meeting Monday, Hunter said.

The former union executive director said he has no intentions of withdrawing the NBPA's unfair-labor practices charge with the NLRB, although it is not clear how the agency will view it now that the union has been dissolved.

While the route the union chose is quicker than decertification, it is no silver bullet for the NBA players to win what are known as "treble damages" -- three times lost earnings resulting from the lockout -- or to eventually get a better deal. For starters, there will be a significant legal fight over where the union is allowed to file its antitrust case. Presumably, the players would prefer to file it in an employee-friendly district in California, under the auspices of the 9th U.S. Circuit Court of Appeals. For this reason, the NBA in August filed a pre-emptive lawsuit in the Southern District of New York, which falls in the employer-friendly 2nd Circuit. 

Once that is resolved, the league will argue that the players' disclaimer is a "sham" -- in other words, a tactic designed to gain negotiating leverage rather than a serious union dissolution. The NFL Players Association tried the same tactic, and started much earlier in the process -- principally because it had no other choice due to a litigated deadline to decertify or disclaim or lose the option going forward.

The NFLPA never got an ultimate ruling on whether the lockout or disclaimer were legal, but instead got a narrow ruling from the 8th U.S. Circuit Court of Appeals that the federal district court did not have the authority to lift the lockout.

"I felt the combination of Boies and Kessler, from my perspective, would be an unbeatable team," Hunter said. "... We feel extremely confident that we can prevail in this matter. That’s the opinion of both lawyers."

In a statement released by the league office after his live TV interview, Stern said, "The 2011-12 season is now in jeopardy," and immediately began laying the groundwork for what could be the mother of all antitrust lawsuits. Stern alluded to a February 2010 bargaining session in which union attorney Kessler threatened that the players would "abandon the collective bargaining process and start an antitrust lawsuit against our teams if they did not get a bargaining resolution that was acceptable to them."

"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 Mr. Kessler's threat."

Since: Aug 27, 2006
Posted on: November 14, 2011 8:03 pm

NBA players blow up union, take fight to court

Well bye bye NBA. I can't say I blame the players for being upset with the owners tactics but based on what happened with the NFL Players suit, I don't see how the players can win in an anti-trust suit. Both sides in this dispute have brought nothing but shame on themselves.

Since: Oct 16, 2006
Posted on: November 14, 2011 8:02 pm

NBA players blow up union, take fight to court

Good riddance.

Since: Oct 16, 2006
Posted on: November 14, 2011 8:00 pm

NBA players blow up union, take fight to court

The average family man with kids can't afford to take his family to a NBA game but then again why would you want to subject your children to this brand of 'basketball'.  Selfish thug goons with no class at all.  I say good riddance.

Since: Dec 13, 2008
Posted on: November 14, 2011 7:56 pm

NBA players blow up union, take fight to court

I wonder if any of these a.s.s.h.o.le.s will realize that most don't cares if they play or not. I wonder, if any of them were watching when the public was so upsets when the NFL was on strike, but couldn't care less if the NBA comes back or not.

Since: Jul 3, 2011
Posted on: November 14, 2011 7:55 pm

NBA players blow up union, take fight to court

First off, i admit i don't know what the whole collective bargaining agreement is in entirety.  To me, it seems like the employees just want a bigger share of the riches.  Why don't all of the emploees of McDonalds refuse to sling burgers until Ronald McDonald pays them their share of the riches?  A rather large portion of this country hasn't received a raise in years and those that did did not see a significant percentage.  With the way these players spend money, they will all be bankrupt by the time this is resolved which i hope is a long time from now.

Since: Nov 14, 2011
Posted on: November 14, 2011 7:55 pm

NBA players blow up union, take fight to court

The photo says it shelf wardrobes, cell phones, agents...everyone but the fans who used to pay the bills. The courts can solve a lot of problems, but no judge in the world can fill those seats again if or when they want to start playing a GAME again. Poor babies.
Bring on college basketball. It's a LOT more fin to watch anyway. 

Since: Oct 10, 2009
Posted on: November 14, 2011 7:51 pm

NBA players blow up union, take fight to court

Wake Up players. Your union "leadership" is a joke.  Totally clueless.

Since: Nov 14, 2011
Posted on: November 14, 2011 7:48 pm

NBA players blow up union, take fight to court

I have been a die hard NBA fan for 30 years.  I am so disgusted with the players right now.  Perfectly happy to shut down the league for two years.  Start over with new players.  Five years from now, basketball will be great again and we can all debate over which era was better.  As for these players, I am done with them forever.  They clearly do not appreciate us and the feeling is mutual.

Since: Aug 17, 2011
Posted on: November 14, 2011 7:43 pm

NBA players blow up union, take fight to court

Let them find a real job!

Since: Dec 21, 2009
Posted on: November 14, 2011 7:41 pm

NBA players blow up union, take fight to court

Have been in a fantasy basketball league for 22 years. This is ridiculous. I say fold the league and start all over again in 5 years. Looking forward to college ball.

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