This chapter examines the origins of the BAA, which was fraught with disappointment and difficulties. The nascent BAA sought the two advantages of territorial rights and the reserve clause that other professional team sports league owners possessed, but the league faced competition from an incumbent league—the National Basketball League (NBL). The two basketball leagues contested just one or two cities and were largely able to avoid a ruinous bidding war for players, including graduating college talent. This low level of strife was unique to professional basketball and may have contributed to the eventual success of those teams that survived. The BAA owners also made crucial decisions regarding revenue sharing, team salary caps, and differentiating their product from the college game.
