2011 Nba Cba By Nate Duncan--Article I--Definitions

Front 1

Active List

p. 1

Back 1

List of players eligible to participate in a Regular Season game

Front 2

Definition of Audit Report/Final Audit Report

p.1

Back 2

Report submitted prior to the end of the Moratorium Period each July by independent accountants. Includes BRI, and Total Salaries and Benefits for the preceding Salary Cap Year and well as Escrow calculation

Front 3

Definition of Average Player Salary

p.1

Back 3

Total Salaries /(# of Teams)(13.2)

Note, expansion teams in their first two years don't count towards number of teams.

Note: Total salaries includes amounts paid by teams to reach the salary cap floor.

Front 4

Definition of Base Compensation

p.1

Back 4

Compensation not including bonuses

Front 5

Definition of Current Compensation

p.2

Back 5

Any player Compensation that isn't Deferred

Front 6

Definition of Deferred Compensation

p.2

Back 6

Any compensation for a given season that is payable to a player after May 1 of that season.

Front 7

Definition of Designated Player/Designated Player Rookie Scale Extension

p.2

Back 7

--A 5 year Maximum Extension (6 years from date extension is signed. If Rookie gets to be restricted FA, does it mean designated is 6 years?)
--25% of the cap, or up to 30% of cap if it meets Rose Rule criteria
--7.5% annual raises
--Team may only have 1 Designated player that it signed, plus another acquired. Applies to current or any future year.

Front 8

Definition of Early Qualifying Veteran Free Agent

p.3

Back 8

--Played under one or more contracts covering some or all of preceding 2 seasons.
--Has to have played exclusively w/ Prior Team during those seasons, or changed teams via trade, waiver (including amnesty), or signing with team during first of the 2 seasons.

Front 9

Definition of Early Termination Option (ETO) and Effective Season

Back 9

ETO is player option to shorten a contract. Effective Season is the first season that would be terminated by the ETO. E.g., Effective Season for ETO after 2015-16 season is 2016-17.

Front 10

Definition of Estimated Average Player Salary (for particular Salary Cap Year)

p.3

Back 10

104.5% of the prior Salary Cap Year's Average Player Salary

Front 11

Definition of Exception

p.3

Back 11

Exception to the rule that a Team Salary may not exceed the Salary Cap. E.g., Mid-Level Exception

Front 12

Definition of Extension

Back 12

Amendment to a Player Contract lengthening the term of the Contract for a specified period of years.

Front 13

Definition of Generally Recognized League Honors

p.4

Back 13

MVP, Finals MVP, Defensive Player of the Year, Sixth Man, Most Improved, All-NBA 1-3rd team, All-Defense 1-2nd, All-Star selection.

Front 14

Definition of Inactive List

p.4

Back 14

List of players, maintained by the league, who have signed contracts but are ineligible to participate in a regular season game.

Front 15

How to calculate salary for partial season minimum contracts?

p.5

Back 15

--Rest-of-Season Contract: Minimum Annual Salary x (days remaining in Regular Season/total days in Regular Season)
--10-Day Contract: Minimum Annual Salary x (10/total days in Regular Season)

Front 16

Definition of Minimum Team Salary

p.5

Back 16

Minimum salary a team can have for a Salary Cap year. 90% of the salary cap for rest of CBA. (Was 85% for 2012-13)

Front 17

Definition of Non-Qualifying Veteran Free Agent

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Back 17

Veteran Free Agent who is not a Qualifying Veteran Free Agent or an Early Qualifying Veteran Free Agent. I.e., a Free Agent without Bird rights.

Front 18

Definition of Prior Team

p. 6

Back 18

Team a free agent last played for.

Front 19

Definition of Qualifying Veteran Free Agent

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Back 19

Veteran Free Agent who played under one or more contracts covering some or all of the 3 preceding seasons. He has to have played exclusively with Prior Team, or changed teams via Trade, Amnesty Waiver, or signing with Prior Team during first of the 3 seasons.


Note: Difference from Early Qualifying FA: 3 years instead of 2, and can't have been waived--only amnestied.

Front 20

Definition of Regular Salary

p. 7

Back 20

Salary, less any signing bonus or incentive.

Front 21

Definition of Regular Season

p.7

Back 21

The period beginning on the first day and ending on the last day of regularly scheduled (as opposed to exhibition or playoff) competition between NBA Teams.

Front 22

Definition of Renegotiation

p.7

Back 22

Contract Amendment providing for an increase in Salary and/or Unlikely Bonuses

Front 23

Definition of Replacement Player

p.7

Back 23

A player acquired via Traded Player Exception (TPE) or Disabled Player Exception

Front 24

Deadline to offer Required Tender

p.7-8

Back 24

Contract offer to a Draft Rookie. Deadline is July 15 for 1st rounders and "in the 2 weeks before Sept. 5" for 2nd rounders.

Front 25

Delivery Requirements for Required Tender

Back 25

Has to be signed by the team. Must be personally delivered to player or his rep or sent by pre-paid certified, registered, or overnight mail to last known address of player or rep.

Front 26

Terms of First Round Required Tender

Back 26

--Player has until first day of the FOLLOWING Regular Season to accept.
--Satisfies requirements of Rookie Scale Contract (See Article VIII, Section 1 or 2)
--Can also include Exhibit 6 requiring player pass a physical as condition precedent.

Front 27

Terms of Second Round Required Tender

Back 27

--Afford the player until at least the immediately following October 15 to accept
--Has a stated term of 1 season
--calls for at least the Minimum Annual Salary
--Can also include Exhibit 6 requiring player pass a physical as condition precedent.

Front 28

Definition of Required Tender

p.7

Back 28

Contract that must be tendered to a draft pick to hold onto his rights.

Front 29

Definition of Rookie

Back 29

Player who has never signed with an NBA team.

Front 30

Definition of Room

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Back 30

Available room under the Salary Cap, either the amount the team is below the cap or the amount a team is entitled to use under exceptions to the salary cap.

Front 31

Definition of Salary

p.9

Back 31

Player's Compensation in a certain Salary Cap Year. Does not include:
--Unlikely Bonuses
--Benefits, including per diem, moving, etc
--Compensation attributable to another Salary Cap year

Salary can also include consideration received by retired players that is deemed Salary under Article XIII (Circumvention)

Front 32

Definition of Salary Cap Year

p.9

Back 32

July 1 thru following June 30

Front 33

Definition of Team Affiliate

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Back 33

Basically anyone under the sun who could be deemed to own, manage, or be affiliated with an NBA team. But more specifically:

1. Individual or entity holding an ownership entity (except stockholders w/ less than 5% in publicly traded team stock)
2. an individual or entity which controls, is controlled by, or is under common control w/ a team, or is affiliated with or is an individual related to a team
3. Any individual or entity which controls, is controlled by, or is under common control with any individual or entity described in 1 or 2.
4. any entity as to which (x) an Owner, or (y) an individual or entity that holds (directly or indirectly) an ownership interest in an entity described in Section 1(mmm)(ii) above, either (a) holds (directly or indirectly) more than five percent (5%) of its ownership interests, or (b) participates in or influences its management or operations.

Front 34

Individual is "related" to a team when:

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s/he's an officer, director, trustee, or executive employee of such Team or entity, or is a member of such individual’s immediate family

Front 35

Team is controlled by an individual or entity when:

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Back 35

The individual or a Team or entity has or can exercise effective control.

Front 36

Definition of Total Salaries

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Back 36

Salaries included in the Team Salary of all NBA Teams in a given year.

Note: Does not include expansion teams in their first two years.

Front 37

How Total Salaries Are Calculated:

p. 10-11

Back 37

1. Includes only incentives actually earned, doesn't matter whether they are Likely or Unlikely.
2. Includes payments to NBAPA because NBA as a whole failed to average 14 players per team.
3. Includes salaries paid to players excluded from the cap under the long-term injury provision
4. Includes salaries paid to amnestied players
5. Includes payments a team makes to players when it fails to meet the salary floor
6. Any consideration received by a retired player that qualifies as circumvention and is added to Team Salary.

Front 38

Definition of Traded Player

p.11

Back 38

Player assigned from one team to another via trade. Does not include a player picked up on waivers.

Front 39

Definition of Unlikely Bonus

p.11

Back 39

Incentive not included in a player's Salary. See Article VII Section 3(d)

Front 40

Definition of Veteran

p.11

Back 40

Player who has signed at least one contract with a team.

Front 41

Definition of Veteran Free Agent

p.11

Back 41

Player who has completed his contract by rendering playing services called for thereunder.

Note: Doesn't include players who complete 10 days

Front 42

Definition of Years of Service

p.11-12

Back 42

Number of years of NBA service credited to a player. Player gets one year of service for each year that he is on an NBA Active List or Inactive List for at least a day during the Regular Season

Front 43

When players do not receive a Year of Service despite meeting normal criteria:

Back 43

1. Player holds out for more than 30 days after season begins.
2. A restricted free agent who has received a qualifying offer extended to March 1, but does not sign with anyone prior to March 1.
3. If his contract is disapproved by the Commissioner

Notes: Can't get more than 1 Year of Service per season. This definition doesn't determine years of service under the NBAPA Pension Plan. Definition only applies to seasons covered by this agreement.