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It's been 50 years since a lawyer's decision unlocked free agency in MLB and changed sports forever

The 1975 ruling by Peter Seitz ended perpetual player contracts, leading to a 112-fold salary increase and reshaping labor relations across professional sports.

  • Arbitrator Peter Seitz ruled on Tuesday that baseball's reserve clause was invalid, prompting owner backlash and legal challenges, with courts affirming the decision in early 1976.
  • Andy Messersmith and Dave McNally grieved after renewals after the 1975 season, arguing the player-agreement renewal clause bound them for only one year, while owners resisted change.
  • Baseball's average salary jumped from $44,676 to about $5 million this year, while Catfish Hunter signed a five-year, about $3.2 million contract and Reggie Jackson and Rollie Fingers were early beneficiaries.
  • That July 12, players and owners approved a four-year CBA creating one-time free agency after 1976 or 1977 and six seasons of major league service, but labor conflict persisted with nine stoppages since 1972.
  • Sports were turned upside down 50 years ago Tuesday by a man who never played as a man who never threw or kicked a ball, Peter Seitz, shifted economic stakes measured in billions, prompting decades of bargaining to re-establish equilibrium, union leaders said.
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It's been 50 years since a lawyer's decision unlocked free agency in MLB and changed sports forever

Sports were turned upside down 50 years ago Tuesday by a man who never threw or kicked a ball. A lawyer with expertise in labor relations struck down Major League Baseball’s reserve clause, which had bound players to their teams since the 1870s.

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Herald-Banner broke the news in on Monday, December 22, 2025.
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