Article 32 SYSTEM ARBITRATOR

32.1 Jurisdiction and Authority.

The NBA and the Players Association shall agree upon a System Arbitrator, who shall have exclusive jurisdiction to determine any and all disputes arising under Articles VII, VIII, X, XI, XII, XIII, XIV, XV, XVI, XXXVI, XXXVIII, and XXXIX of this Agreement; provided, however, that any claim or dispute arising under such Articles involving the NBA, any Team, the Players Association or any player, which is specifically under the terms of this Agreement to be determined in accordance with the Expedited Procedures described in Article XXXI, Section 12 above, shall be determined by the Grievance Arbitrator provided for in Article XXXI. The System Arbitrator shall hold hearings on alleged violations of the foregoing Articles, subject to review by the Appeals Panel, in the manner set forth below.

The System Arbitrator shall make findings of fact and award appropriate relief including, without limitation, damages and specific performance.
The System Arbitrator shall have authority to order the production of documents, the conduct of pre-hearing depositions, and attendance of witnesses at the hearing with respect to any party to this Agreement, and/or any player or Team. The System Arbitrator shall have the authority to compel the attendance of witnesses and the production of documents at any hearing within the jurisdiction of the System Arbitrator in accordance with the New York C.P.L.R.
Rulings of the System Arbitrator shall upon their issuance constitute full, final and complete disposition of the dispute, shall be binding upon the parties to this Agreement and upon any player(s) or Team(s) involved, and shall be followed by them unless a notice of appeal is served by the appealing party upon the responding party and filed with the System Arbitrator within 10 days of the date of the decision of the System Arbitrator appealed from. If and when a decision of the System Arbitrator is reversed or modified by the Appeals Panel, the effect of such reversals or modification shall be deemed by the parties to be retroactive to the time of issuance of the ruling of the System Arbitrator. The parties may seek appropriate relief to effectuate and enforce this provision.
The System Arbitrator shall not have jurisdiction or authority to add to, detract from, or alter in any way the provisions of this Agreement or any Player Contract.

32.2 Costs Relating to System Arbitration.

The compensation of the System Arbitrator and the costs and expenses incurred in connection with any proceeding brought before the System Arbitrator shall be borne equally by the parties to this Agreement; provided, however, that each party to such proceeding shall bear its own attorneys’ fees and litigation costs.

32.3 Procedure for System Arbitration.

All matters before the System Arbitrator shall be heard and determined in an expedited manner. An enforcement proceeding may be commenced upon 72 hours’ written notice (or upon shorter notice if ordered by the System Arbitrator) served upon the party against whom the enforcement proceeding is brought and filed with the System Arbitrator. All such notices and all orders and notices issued and directed by the System Arbitrator shall be served on the NBA, counsel for the NBA, the Players Association, and counsel for the Players Association, in addition to any counsel appearing for individual NBA players or individual NBA Teams. The Players Association and the NBA shall have the right to participate in all such enforcement proceedings, and the Players Association may appear in any enforcement proceedings on behalf of any NBA player.

32.4 Selection of System Arbitrator.

In the event that the Players Association and the NBA cannot agree on the identity of a System Arbitrator, the parties agree to submit the issue to the Center for Public Resources (or such other organization as the parties may agree) which shall submit to the parties a list of eleven (11) attorneys (none of whom shall have nor whose firm shall have represented within the past five years players, player agents, labor organizations representing athletes, sports leagues or governing bodies, sports teams, team affiliates, or owners in any professional sport). If the parties cannot within seven (7) days of receipt of such list agree to the identity of the System Arbitrator from among the names on such list, they shall return said list, with up to five names deleted therefrom by each party, to the Center for Public Resources (or such other organization as the parties may agree), which shall choose from the remaining names on the list the identity of the System Arbitrator. The first System Arbitrator selected under the provisions of this Agreement shall serve for a two-year term. Thereafter the System Arbitrator shall serve for two-year renewal terms unless notice of termination is given either by the NBA or by the Players Association. Notice of termination of the System Arbitrator shall be given to the other party, and to the System Arbitrator at least forty-five (45) days preceding the end of any two-year term. Following the giving of such notice, a new System Arbitrator shall be selected in accordance with the procedures set forth in this paragraph. The System Arbitrator whose term has ended shall continue to hear all disputes filed prior to the date of the appointment of a new System Arbitrator.

32.5 Selection of Appeals Panel.

There shall be a three member Appeals Panel for each appeal noticed from a decision of the System Arbitrator. To select such a panel, the parties will ask the Center for Public Resources (or such other organization as the parties may agree) to submit to the parties a list of fifteen (15) attorneys (none of whom shall have nor whose firm shall have represented within the past five years players, player agents, labor organizations representing athletes, sports leagues or governing bodies, sports teams, team affiliates or owners in any professional sport). If the parties cannot within 7 days of receipt of such list agree to the identity of the Appeals Panel from among the names on such list, they shall meet and alternate striking one name at a time from the list until three names on the list remain. The three remaining names on the list shall comprise the Appeals Panel for that particular appeal. The compensation of the members of the Appeals Panel and the costs of proceedings before the Appeals Panel shall be borne equally by the parties to this Agreement; provided, however, that each party shall bear its own attorneys’ fees and litigation costs.

32.6 Procedure Relating to Appeals of Determination by the System Arbitrator.

A party seeking to appeal a determination of the System Arbitrator must serve on the other party and file with the System Arbitrator a notice of appeal, within ten (10) days of the date of the determination of the System Arbitrator appealed from. The timely service and filing of a notice of appeal shall automatically stay the determination of the System Arbitrator pending resolution by the Appeals Panel. The party seeking the appeal must serve on the opposing party and file with the Appeals Panel its brief in support thereof within twenty-five (25) days of the date of the System Arbitrator’s decision from which the appeal is taken. The responding party shall serve the appealing party and file with the Appeals Panel its responding brief within fifty (50) days of the date of the decision of the System Arbitrator from which the appeal is taken. The Appeals Panel shall schedule oral argument on the appeal within sixty (60) days of the date of the decision of the System Arbitrator from which the appeal has been taken and shall issue its decision within 90 days from the date of the System Arbitrator’s decision.The Appeals Panel shall review the findings of fact and conclusions of law made by the System Arbitrator using the standards of review employed by the U.S. Court of Appeals for the Second Circuit. The decision of the Appeals Panel shall constitute full, final, and complete disposition of the dispute, and shall be binding upon the parties to this Agreement and upon any player(s) or Team(s) involved.