ADV 378S Lecture Notes - Lecture 16: Signing Bonus, Deferred Compensation, Revenue Sharing
Document Summary
Mlb: the reserve clause: owners could keep players for an infinite amount of time while dictating their contract. Curt flood vs. bowie kuhn: flood, an all star, refused a trade to the phillies, challenging the federal baseball. Ruling which upheld the reserve clause: supreme court rules 5-3 against him, saying the rule was archaic but protected because congress had chosen to do nothing about it. Charles finley and catfish hunter: players understood what was possible and union solidarity ensued. Players held out for free agency planning to use arbitration. Arbitration interpreted the reserve clause as relevant for one year, not life. Marvin miller: exec director of the mlbpa in 1966, from struggling/ineffective to most influential union is sports, 1966: fix. 1976 cba: players didn"t want total free agency, allow owners to discriminate against newer/declining players, union went to free agency for veterans, believing if they received market level salaries, others would benefit from ripple effect.
