Extension of time limit due to Corona

The NBA continues to struggle with the effects of Corona. Now the CBA has reached an agreement with the players’ union NBPA to extend the notice period.

The NBA and the players’ union NBPA agree on further action in the Corona pandemic.

Due to the existing uncertainty as to how the season will continue, the league and the players’ union extend the notice period for the Collective Bargaining Agreement (CBA). Originally, the notice period would have expired on 11 May – two months after the corona-related closure on 11 March.

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According to ESPN, the new deadline is September 2020. The station cites several sources that report a conference call between NBA commissioner Adam Silver and representatives of the NBPA. Decisive for the extension is said to be the unclear situation and the gloomy financial prognosis of the league.

Great financial uncertainty
“The CBA is not designed for a pandemic,” Silver told NBPA representatives. “There are no mechanisms in it to define a serious financial ceiling when such uncertainty exists. Nobody knows whether the revenues will be ten or six billion dollars – or even less.”

The extension of the deadline allows the NBA and NBPA to get a better picture of the situation and to come to a common understanding on financial issues. This includes the salary cap and luxury tax for the teams.

The current collective agreement runs until the 2023/24 season, but there is an option for both sides to terminate the contract after the 2022/23 season.