ABA–NBA merger
On the 18th of June 1970, NBA owners voted 13, 4 to merge with the American Basketball Association. ABA owners unanimously agreed in an 11, 0 vote. They sought congressional approval to bypass antitrust laws and create a single 28-team league. The plan included a common draft for college players and a world championship playoff between the two leagues. Yet the merger stalled before it began. An antitrust suit filed by the NBA Players Association blocked the deal. Oscar Robertson led the lawsuit on behalf of all players. He argued that the merger would trap players in their existing rosters without free agency options. The court case became known as Robertson v. National Basketball Ass'n. It remained active for six years. During that time, both leagues competed fiercely for talent. Salaries rose as each side tried to outbid the other. By 1976, the legal obstacle finally cleared when the suit settled on February 3. Only then could the leagues move forward.
In November 1975, the Memphis Sounds folded after just three preseason games. They had changed names from Hustlers to Claws due to controversy. Their owner failed to post a required performance bond. The team lost every game they played, including matches against Philadelphia 76ers and Virginia Squires. On the 12th of November 1975, the San Diego Sails also collapsed. Attendance was wretched, and owner Jack Kent Cooke refused competition in Southern California. Three players were drafted by remaining teams. Two days later, on the 2nd of December 1975, the Utah Stars went bankrupt. Owner Bill Daniels lacked funds after losing his campaign for Governor of Colorado. He repaid all season ticket holders plus 8% interest. Most players moved to Spirits of St. Louis. Meanwhile, the Virginia Squires struggled through their final two seasons. They posted league-worst records of 15, 69 and nearly identical numbers again in 1975, 76. Payroll issues plagued them daily. Marketing gimmicks kept operations alive until the 11th of May 1976. That day, the league folded the franchise after it failed to pay a $75,000 assessment. Six teams remained standing when merger talks began.
On the 17th of June 1976, four ABA franchises joined the NBA under strict terms. Denver Nuggets, Indiana Pacers, New York Nets, and San Antonio Spurs each paid a $3.2 million expansion fee by September 15. The Nets faced an additional $4.8 million indemnity payment to their rivals, the New York Knicks. These new teams received no television revenue for three years. After that period, they had to give one-seventh of annual TV income to owners of defunct Spirits of St. Louis in perpetuity. For two years, they held no votes on gate receipts or division alignment. Their rosters were largely intact, but some players were sold to meet financial obligations. Julius Erving was traded to Philadelphia 76ers for $3 million so the Nets could survive. Roy Boe later said the agreement killed his team as an NBA franchise. He destroyed the roster just to get into the league. Despite these penalties, all four teams eventually found success over time.
Players from Kentucky Colonels and Spirits of St. Louis entered a special dispersal draft in 1976. Selection order depended on combined win-loss records from both leagues. Chicago Bulls took Artis Gilmore for $1.1 million. Portland Trail Blazers acquired Maurice Lucas for $300,000. Kansas City Kings selected Ron Boone for $250,000. Detroit Pistons bought Marvin Barnes for $500,000. Only one round occurred in most cases. No team used a third-round pick. Two trades happened during the event. One resulted in an immediate championship winner after the 1977 NBA Finals. Twelve players from Spirits of St. Louis played in the NBA beyond that season. Moses Malone became the final ABA player to remain until 1995 at age 39. Others like Jimmie Baker and Mike D'Antoni also saw limited play afterward. The draft redistributed talent across the league while leaving former ABA stars scattered among new owners.
In the first post-merger All-Star Game, ten of twenty-four participants were former ABA players. Five starters in the 1976, 77 NBA Finals came from the ABA: Julius Erving, Caldwell Jones, George McGinnis, Dave Twardzik, and Maurice Lucas. Four of the top ten scorers in that season had previously played in the ABA. Billy Knight, David Thompson, Dan Issel, and George Gervin led scoring charts. Seven of twelve MVP candidates originated from the rival league. Don Buse led the league in steals and assists. Moses Malone finished third in rebounding. Artis Gilmore ranked fourth. Gilmore and teammate Caldwell Jones both placed in the top five for blocked shots. Tom Nissalke won Coach of the Year after leading Houston Rockets to a division title. Hubie Brown took over Atlanta Hawks. Most ABA coaches stayed with their teams upon entering the NBA. These results showed immediate competitiveness despite financial penalties imposed during merger talks.
The three-point field goal existed in the ABA before the NBA adopted it in 1979, 80. Red Auerbach initially opposed the rule but later embraced it after drafting Larry Bird. The slam dunk contest began at the 1976 ABA All-Star Game. The NBA held its first one in 1984. Pressing and trapping defenses were common in the ABA but rare in the slower-paced NBA. After the merger, these tactics became more frequent. Faster pace defined ABA play and carried into modern basketball. Doug Moe stated that today's game derives largely from ABA style. Underclassmen could join the ABA starting in 1969 when Denver Rockets signed Spencer Haywood. Moses Malone entered straight out of high school. This paved the way for future drafts allowing high school prospects. Blocked shots, steals, turnovers, and individual rebounds were tracked by the ABA beginning in 1967, 68. The NBA replicated those categories gradually over subsequent seasons. Shootaround practice sessions introduced by Bill Sharman became standard across all leagues. These innovations transformed how basketball was played and viewed globally.
Common questions
When did NBA owners vote to merge with the American Basketball Association?
NBA owners voted 13-4 to merge with the American Basketball Association on the 18th of June 1970. ABA owners unanimously agreed in an 11-0 vote but the merger stalled before it began due to legal challenges.
Why did the initial ABA-NBA merger plan fail in 1970?
The initial merger plan failed because an antitrust suit filed by the NBA Players Association blocked the deal. Oscar Robertson led the lawsuit arguing that the merger would trap players without free agency options and the case remained active for six years until settling on the 3rd of February 1976.
Which four ABA franchises joined the NBA after the 1976 merger agreement?
Four ABA franchises joined the NBA under strict terms on the 17th of June 1976 including the Denver Nuggets Indiana Pacers New York Nets and San Antonio Spurs. Each team paid a $3.2 million expansion fee by September 15 while the Nets faced an additional $4.8 million indemnity payment to their rivals the New York Knicks.
What happened to the Memphis Sounds and Utah Stars during the ABA collapse?
The Memphis Sounds folded in November 1975 after changing names from Hustlers to Claws and failing to post a required performance bond. The Utah Stars went bankrupt on the 2nd of December 1975 when owner Bill Daniels lacked funds after losing his campaign for Governor of Colorado.
How did the ABA influence modern basketball rules and statistics?
The three-point field goal existed in the ABA before the NBA adopted it in 1979-80 and the slam dunk contest began at the 1976 ABA All-Star Game. The ABA also tracked blocked shots steals turnovers and individual rebounds beginning in 1967-68 which the NBA replicated gradually over subsequent seasons.