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NBA Collective Bargaining Agreement

What is NBA Collective Bargaining Agreement?

The legally binding agreement between the National Basketball Association (NBA) and the National Basketball Players Association (NBPA) that defines the terms and conditions of player contracts.

Sporting Charts explains NBA Collective Bargaining Agreement

The Collective Bargaining Agreement (CBA) is a document that governs the distribution of basketball-related income between the league and its players, and is usually renegotiated after a specific span of time it is in effect. From the perspective of basketball team owners, they are usually attempting to limit the amount of income given to players to a specific percentage that constitutes a ceiling (also known as a "cap"). Because the actual monetary amount of income tends to rise (or at least vary) year by year, an agreement that settles on a percentage rather than a specific amount is usually preferable to both parties. During the negotiation of this agreement, representatives of the players are generally trying to get concessions or benefits from the NBA while attempting to raise or keep their income at the same percentages. When the NBA and NBPA cannot come to an agreement quickly, it will often result in a "lockout," which has the possibility of delaying or canceling an entire season of basketball.

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