Well, things just got ugly in the NBA

Well, isn’t this a mess?

The NBA Players Association no longer exists, talks to solve the months-long lockout imposed by the league are over and the whole shebang is headed to the courts.

The law courts.

And that’s never a good thing.

Not only did the union reject the league’s latest offer on Monday, it has filed what’s known as a “disclaimer of interest” – effectively ceasing to exist as a union – and will throw the whole thing into the courts.

It is, by all accounts, a risky move that puts the entire 2011-12 season in serious jeopardy but also is the move of last resort by a union that grew tired of what it saw as threats and ultimatums from a league that’s been asking for take-backs since the talks on a new collective bargaining agreement began.

“Ugly” is how one NBA source put it minutes after the union announced its intentions after player representatives from all 30 teams met in New York.

The former union said it would file anti-trust legislation against the league in next couple of days. It has hired lawyer David Boies, who handled the Al Gore side of the U.S. presidential mess years ago, to help fight its battle.

Of course, in what amounts to a game of $4 billion chicken, this latest union salvo could work to spur even more negotiations. There is a window to not only resume talks to salvage a season and this now puts the pressure on the owners to respond. Commissioner David Stern had told multiple media outlets over the weekend that negotiations were “over” but until the first arguments are made in court, nothing is truly “over.”

“It’s never too late for David to call me,” said Billy Hunter, now the head of something called the NBA Players Trade Association, said Monday.

Whatever comes of it, these are uncharted waters for a league that generated about $4 billion in revenues last year.

No, the full membership of the union did not – and will not – get a chance to vote on what was allegedly the league’s final proposal. And, yes, this may not mean the absolute end of any chance at an abbreviated season but it is a mess. An ugly mess.

 

 

 

Comments

[sam]

I'm not surprized. . . . wish I was.

[Paul B]

That's Brutal. Lots of time for the Maple Leaves though...

[The J]

So it turns out nobody likes to be bullied. Who knew? I still think there was time to negotiate in a fair environment, but if Stern thought it was time to release ultimatums who am I to argue. He said it was never an ultimatum, but when you say take this, as we are not negotiating any more, and what comes next is going to be much worse in every possble way, you can't help but consider that an ultimatum. Now Sterns got egg on his face, and his legacy will always contain this at least footnote, or possibly humungous black mark. The season could still be saved, but I'm not sure. Can Stern and the owners back down now, or is their collected pride to strong to get back to being reasonable?

So this hockey thing? Something I should look into?

[Dave in BG]

If this doesnt get straightened out soon, the season is gone. If that happens, then the Jonas V draft pick isnt nearly as "dumb" as some posters here made it out to be.

[Mike kovacs]

This is actually good news for The London and Oshawa NBL teams. If there are no Raptors games this year we will be going to more Lightning games. We saw the Lightning's first loss yesterday.

[Dave]

A sad day instead. It is unfortunate that the proposal didn't go to a full vote. I understand why the players who have already made millions would go this way. It is unfortunate that the younger worker- bees didn't get to vote.

As I have seen in my personal experiences, the players are reading too many of their own press clippings and believe they have more leverage than the reality. A good example was the tweet on the weekend by Etan Thomas. He discussed the current political movement across the country and the world in which some are protesting against big business. "Who is in the same position of power as the 1 percent ? Who wants a bailout for their own mismanagement decisions? Who is more closely aligned with the corporate interests from which the Wall Street occupiers are looking to reclaim the country?"

In my opinion, the players are in the 1 percent with the owners and are spoiled beyond belief. I have lost all respect for them and have very little empathy for their situation. They are now to blame for all the collateral damage caused to the people who depend on this game (a part of the 99 percent} for their livelihood. While the offer wasn't to their liking, most rational people would consider it more than fair for any employee.

[Sam R.]

Good for the players. It's not for them to save the owners from their brainless decisions. Eddy Curry didn't not offer himself that bloated and disaterous contract, the owner did.

We can debate BRI Splits all we want but until the league's ownership agrees on a proper revenue sharing model, then the league will never be as successful as it wants.

If I was asked to give back 7% of my income to cover my employer's crappy business management, I'd tell them to go jump in the lake too.

[Eric]

While I have no sympathy for the players, I also don't blame them for rejecting the latest offer. When I spend hundreds of dollars to take our son to see a basketball game, it's not to get a glimps of Larry Tanenbaum or the other nameless board members. Why the players would share billions of dollars with the owners who bring nothing tangible to the table is a mystery to me. The hardliners among the owners will rue the day they pushed the players into a corner.

[Penguin]

I love basketball, but can live without the NBA. Obviously, both sides, and particularly in my view the players, need to learn a lesson (the same one that it seems the NHL players had to learn). I'll focus on the NCAA and other sports and hope the NBA comes back a year from now the stronger for it.

[SY]

I really don't know what the players are thinking. They already have an agreement on 50/50 split and they are willing to throw the deal away because of system issues? Wow....I mean if they are fighting over a 5% - 10% difference on a 10 year deal I would probably agree they should not accept the deal but over system issues? Do they know they could lose up to $2 billion in salaries if the entire season is lost?

Can someone explain to me the thought process here?

[D-Mac Ottawa]

Well, there goes the goose that laid the golden eggs: cooked and scrambled.
Go Carleton! Cheers.

[Jacques]

Suck it up Sally.

[Tim]

So the players "hired lawyer David Boies, who handled the Al Gore side of the U.S. presidential mess years ago"? I'd rather have the guy who handled the George W. Bush side. That was a heckuva win for Dubya.

[Rob]

This was inevitable. If I hadn't resigned myself to a lost season months ago, I might be disappointed now, but I'm not.

[Mike]

I had to write in on this one.....

@ Eric re: "Why the players would share billions of dollars with the owners who bring nothing tangible to the table"

Are you kidding? The owners assume ALL OF THE RISK, the players assume NONE OF THE RISK of the business. and you say they bring nothing? Man come on.

[joeu]

Well, if you're going to get an anti-trust Lawyer, Mr Boies would seem to be a good one. He's the one that prosecuted Microsoft for being a monopoly.

I don't think there's a good comparison to the NHLPA here - no -one is inviting Michael Jordan and Mario Lemieux to broker a non-existent deal out of desperation, there isn't any confusion about the union leadership, and there doesn't seem to be a huge rift among the members, nor do the players seems as unprepared for the realities of the strike.

[Harley]

What an idiotic move by the NBPA. They are blowing up an offer that 12 months from now is going to look fantastic relative to what they will get, both for the players in the league today (who will never see this lost income again), as well as for future generations of players who will have something that will be far more oppressive -- talk about making a move that will REALLY give away everything they have fought for in the past, all just to "send some kind of a futile message" to the owners. Stop whining about the last CBA -- that is over. The new baseline is the financial reality of the average NBA club and the overall economy. Look, the current offer did not roll back any salaries, still gives them a 50% share of the revenues (that's revenues guys, not profits !!), provided the "middle class" with an average salary of $5M per year, and provided for increases to something around $7M over the proposed term. Compare this to the realities of the economy, where austerity measures have been implemented in Greece, Italy, and where the average fan in North America is facing unemployment, salary cutbacks, losses of their homes and livelihoods. Get real !! Unbelievable sense of entitlement by the NBPA -- and the offer didn't even get into the hands of the rank and file to review or vote upon. A totally irresponsible move by Billy Hunter and the NBPA.

[doug]

I for one am happy that the players made this move, and in fact Stern has boggled these "negotiations" from day one, with his ultimatum after ultimatum and playing out his every move in the press, those aren't negotiations, he's trying to play the fans and players for fools, so good for the the union, and also let's have a quick overview on 4 of these owner "hardliners"....first off there is Gilbert with the Cavs, he had LeBron made millions upon millions off of him, then sulked when he left town, (as was LeBron's right) but in there he was a absolute failure in trying to build a team around him (Moon,Parker, West etc, come on), he wants to go back to the times where teams had rights over players for years and years, sorry those times are gone, he is a complete flop as a executive....then you have Paul Allen although against advice from Dr's etc gives 2 huge contracts to Roy and Oden, again a failure as a executive, and wants or needs protection from himself....then their is Sterling, well enough said there, if he could pay players $8 a hour he would and feel fine about it, no conscience and defines the word slimeball....and last but not least is Michael Jordan, to confuse MJ as a player with MJ as a executive is a mistake, MJ as a executive has shown he is more like MJ the baseball player, a complete failure as a executive...so these 4 men who have shown they have no ability as executives, are the one's playing hardball....come on, why is it the well run teams want to settle, maybe because they make money as they run good organizations....just saying....Stern needs to learn he isn't a principal at a public school talking to his students which he thinks the union and players are, go pound salt, and get serious Stern, you got what you wished for, so welcome to the dance...

[qd]

Months ago I commented on Billy Hunter's intellect, and Doug told me I should apologize as he is well educated, well appointed and in some realms, well respected.

I apologize for nothing. This guy is an idiot, plain and simple. To not even allow your full union to vote on a proposal, is irresponsible and shows how this fight is not in the interest of over 3/4 of players, only those elite players looking to cash in even more in future years.

4 billion dollar game of chicken.........oh its going to be much much less than that going forward. Welcome to 2013 where the stands are half empty, the TV viewership is down, TV contracts are scaled back, and sponsorship will be ultra hard to find.

Congrats Billy Hunter for leading the sheep to slaughter, as no Judge in their right mind is going to now side with the former NBAPA and give them a sweetheart deal greater than 50/50 split of anything.

Greed has just ruled the day in regards to players. Greed and a false sense of entitlement.

Blogger's note: You should have apologized for what you said and shame on you that you didn't. One has nothing to do with the other. You were wrong and off-base then and you know it

[Harley]

It drives me nuts, when I hear people talking about how the players are being shafted because they are being asked to roll back their salaries to 50% of BRI, or that the owners and players would be splitting the revenues on a 50/50 basis. Guys, that is 50% of REVENUES -- not 50% of PROFITS !! Mature, well run businesses are doing well if they make profits of 10%-15% of REVENUES, after paying for the expenses of the business (inluding employee salaries and benefits). Then you pay the tax man his share, and only then is the remainder then paid out to the owners and shareholders of the business. That's just Business 101.

So, let's understand what the players really turned down here. They were to receive 50% of the revenues, going directly into their pockets, whereas the owners were to receive 50% of the revenues from which to pay for all of the other expenses of the business (facillities, leases, insurance, coaching, trainers, management, other staff, travel expenses, sales & marketing, operating costs, administration AND Taxes), leaving them with probably less than 5% of Revenues as their share of the proceeds -- and only if the club was not losing money. Most clubs that were losing money, which means that the business is not paying for itself, and that owners are forced to write additional cheques every year to pay for the business expenses. That is simply not sustainable, and irrational for any business owner to sign up to.

At the end of the day, the players have shot themselves in the foot by not swallowing their pride and dispensing with their sense of entitlement, by taking the deal that was on the table. The deal that they will end up taking 12 months from now will be far worse, but far more balanced so that the business can be self-sustaining going forward.

[doug]

@qd before you go on a mindless rant maybe try to understand what is happening...first off no judge is being asked to to decide the terms of the contract, it is a anti-trust suit plain and simple, my god I get sick of people shooting off their non-loaded mouths without having a clue...i have my opinion and it is strong, but I know and weigh the facts....it is now a anti-trust matter and remember this years ago two players that forever altered the landscape of professional sport were laughed at,mocked at the time but they won, those 2 players that made a stand and all players in every league should thank everyday are Curt Flood, and Andy Messersmith, read about them and what they did....

here is a overview for you in what a judge is being asked to decide

"By dissolving their union, the players theoretically shift the venue of the dispute from labor law to antitrust law. A lockout, which is legal under labor law, could be deemed an illegal group boycott under antitrust law. Hunter indicated that the players would seek a summary judgment (a determination made by the court without a full trial), asking the court to bring the lockout to a quick end,"...okay understand, go look in the mirror now and utter what you said about Hunter, "idiot"...cheers...

[Lake Simcoe]

Who offered the dumb contract to Eddy Curry? That guy is not any owner!
Are Hawks bosses like to offer the max. contract to JJ.......willingly???
So are Magic to R. Lewis, Portland to Roy & Oden........and hello, Raptor fans---Calderon, Barg., Amir....

Oh yea, LJ, Kobe make big money, but our beat grunt will be very tired to remind you....they will never come to play for Toronto....
If LJ told Dan. Gilbert: "Get Wade for me", you think he would grasp Moon instead?

We could not keep Mightly mouse, T-Mac, HWSNBN, CB4, Mourning refused to report, Olajuwon refused to play, J. Salmons, M. Barnes jumped ship, Hedo in club but HeDont on court.......

So who is/are the dumb guy(s) in Raps board responsible for these? (I agree Babcock is bad, but is he a fool?)

Someone must love the Melo farce (and CP3 farce if no lock out), and enjoy Raps & Clavs free fall over "Crying games in south beach".

---------------------
MJ sucks in draft, we all know, but it seems to me that he makes no less money now than he was a player, as compare to Pippen, Rodman, Dr. J....

[Lorie]

Hey Doug,
So, just got out of a long meeting...did I miss anything? :) Well, you successfully avoided Lobby Duty: do you think you'll you be asked to do some Court Room reporting? And just how keen would you be to do it??? (What a mess indeed. I can't even imagine how it'll all get resolved, nor how long it's going to take to get to a resolution.) Cheers. But judicious ones tonight in keeping with the litigious theme.

[David Morton]

Quite simply, I am sad tonight that the season is likely shot. Frankly, I miss basketball and the Raptors and, of course, Doug's comments. That said, the greed on both sides is shocking to me. If I were allocating a dose of stupidity to the sides, I would give them equal quantities. I do not know if the fans will be back in anywhere near the same numbers next year. Time will tell.

In the meantime, " a pox on both of their houses".

[Cluck Kent]

Well, at least this means no 60 loss season for the Raptors. On paper, the Jonas V pick is looking better and better.

What can be said that hasn't been said. Almost everyone who has posted here is correct. Both sides are responsible. The losers are the fans and the arena workers and really, what do the owners and the players care about them?