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What is the Collective Bargaining Agreement?

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What is the Collective Bargaining Agreement?

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It’s the legal contract between the league and the Players Association that sets up the rules by which they all operate. (It’s commonly abbreviated as “CBA,” which is not to be confused with the Continental Basketball Association. The abbreviation CBA will be used in the remainder of this document.) The CBA defines the salary cap, the procedures for determining how it is set, the minimum and maximum salaries, the rules for trades, the procedures for the NBA draft, and hundreds of other things that need to be defined in order for a league like the NBA to function. Incidentally, the CBA is also what prevents the NBA from being in violation of antitrust laws. Many of the NBA’s practices (salary cap, draft, etc.) would violate the Sherman act were the CBA not arrived at through collective bargaining.

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It’s the contract between the league and the Players Association that sets up the rules by which they all operate. (It’s commonly abbreviated as “CBA,” which is not to be confused with the Continental Basketball Association. The abbreviation CBA will be used in the remainder of this document.) The CBA defines the salary cap, the procedures for determining how it is set, the minimum and maximum salaries, the rules for trades, the procedures for the NBA draft, and a hundred other things that need to be defined in order for a league like the NBA to function. Incidentally, the CBA is also what prevents the NBA from being in violation of antitrust laws. Many of the NBA’s practices (salary cap, draft, etc.) would violate the Sherman act were the CBA not arrived at through collective bargaining.

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