Attorney David Boies, who
represented the NFL during that sport's work stoppage and now has been brought aboard
by basketball's players, said the NBA lockout violates antitrust laws by
refusing to allow players to work.
Boies added that Stern's
ultimatum to the now-disbanded union to accept the owners' last economic model
or face a harsher proposal "turned out to be a mistake" that
strengthens the players' case because it proves that the collective bargaining
process had ended.
"If you're in a
poker game, and you run a bluff, and the bluff works, you're
a hero. If someone calls your bluff, you lose. I think the owners overplayed
their hand," Boies said at the players' association headquarters.
"They did a terrific job of taking a very hard line and pushing the
players to make concession after concession after concession, but greed is not
only a terrible thing - it's a dangerous thing."
Dangerous enough to cost
the league billions of dollars in damages if players win.
The players are seeking
"treble damages" -- meaning triple the amount of the more than $2 billion they would have made under a full
2011-12 season -- for what they argue is irreparable harm by preventing them
from playing in their "very short" NBA
careers.
"We haven't seen Mr.
Boies' complaint yet, but it's a shame that the players have chosen to litigate
instead of negotiate," NBA spokesman
Tim Frank said in a statement. "They warned us from the early days of
these negotiations that they would sue us if we didn't satisfy them at the
bargaining table, and they appear to have followed through on their
threats."
Boies acknowledged that
the case could take months, but hoped there would be a settlement before too
long.
"Nobody can tell you
how long it's going to take. We all know it's possible to delay lawsuits for a
while, but I think it is in everybody's interest to try to resolve this
promptly," said Boies, speaking on behalf of the California filing. "The longer it goes
on, the greater the damages that the teams will face,
the greater the damages that the players will suffer, and perhaps most
important of all, the longer basketball fans will be deprived of basketball. So
we hope that this will move quickly."
He insisted the players
have shown their willingness to negotiate throughout.
"You can't negotiate
by yourself," he said. "You can only negotiate if you've got somebody
who's willing to sit down and negotiate with you."
The two suits -- one
filed in conjunction with the players' association in the Northern District of
California and another filed in Minnesota
(PDF of suit) -- likely were filed with a
favorable venue in mind.
The Minnesota district court has been favorable
to the NFLPA during litigation dating to the 1980s. The federal court in San Francisco is under
the jurisdiction of the 9th U.S. Circuit Court of Appeals, considered the most
liberal of the 13 circuit courts.
The NBA already has filed
a pre-emptive lawsuit in New York seeking to prove the lockout is legal and
likely would push for cases to be moved there to gain the legal home court.
Though Stern has
ridiculed the players' "losing" strategy, Boies said he believes NBA
players have a stronger case than NFL players did. Their decertification, he
said, could have been argued as a sham because they walked out on the
bargaining process before it was technically over and brought litigation. He
said Stern's actions left NBA players without options beyond seeking legal
relief.
"Here you had an
ultimatum from the owners that made absolutely clear that the collective
bargaining process was over," he said, adding that Stern's threat is
quoted in the lawsuit. "That's not collective bargaining, and so you have
a very distinct set of facts here."
The California filing says that in 2007, Stern
met with union negotiators and demanded the players reduce their revenue share
from 57 percent to no more than 50 percent
and "insisted on a much more restrictive salary cap, which would restrict
the market for player services."
Stern threatened at that
meeting, according to the lawsuit, that the league was "prepared to lock
out the players for two years to get everything" that the NBA owners sought and that "the deal would
only get worse after the lockout."
The league locked out its
players on July 1. Tuesday marked the 138th day of the lockout and the players'
first missed paycheck. The season was scheduled to start Nov. 1, but already
games through Dec. 15 have been canceled - a total of 324 or 26 percent of the
season.
The league's latest
proposal, which was rejected by the players on Monday, called for a reduced
72-game season to start Dec. 15.
Although the NFL was able
to get its recent labor dispute resolved quickly enough to lose only one
preseason game, the NHL lost the entire 2004-05 season, and the NBA's last work
stoppage led to a 50-game season in 1998-99.
Boies said players will
not seek a preliminary injunction to lift the lockout. Because the lockout
"arguably grew out of prior collective bargaining discussions," Boies
said he believes it would be very difficult to get a court to immediately halt
the lockout and such a path would delay the case.
Anthony and Chauncey
Billups of
the Knicks, NBA scoring leader Durant, rookie Kawhi
Leonard and
Grizzlies forward Leon
Powe were
listed as plaintiffs in the complaint filed in conjunction with the players'
association in the Northern District of California against the NBA and the
owners of its 30 teams. That case has been assigned for now to U.S. Magistrate
Judge Donna M. Ryu in Oakland ,
Calif.
Timberwolves forward Anthony
Tolliver, Pistons guard Ben
Gordon, free agent forward Caron
Butler and Derrick
Williams --
the second overall draft pick by Minnesota in June who has yet to sign a rookie
contract because of the lockout -- were listed as plaintiffs in another lawsuit
filed against the league and owners in Minneapolis, where NFL players had some
level of success in a similar court proceeding this summer.
Boies said there might be
other, similar cases to those filed on behalf of NBA players in California and Minnesota .
The ideal scenario, he said, would be to bring them all together in the
Northern District of California.
The plaintiffs represent
various types of players affected by lockout - those under contract, free
agents and rookies.
They argue in the Minnesota filing 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."
Boies said the lawsuit
was an attempt to restore competitive free-market conditions
Players made numerous
economic concessions and were willing to meet the owners' demands of a 50-50
split of basketball-related income - a transfer of about $280 million annually from their feeling the
league's desires to improve competitive balance would hurt their guaranteed 57 percent under the old deal - but only if the
owners met them on their system wishes.
Owners wanted to keep
more of the league's nearly $4 billion in
basketball revenues. And they sought a system where even the smallest-market
clubs could compete, believing the current system would always favor the teams
who could spend the most.
And Boies said it was
those owners who put the league in this position.
"If it were up to
the players, there would be games being played right now," he said.
"There is one reason and one reason only that the season is in jeopardy
and that is because the owners have locked the players out and have maintained
that lockout for several months.
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