Seitz decision

The Seitz decision was a ruling by arbitrator Peter Seitz (1905–1983)[1] on December 23, 1975, which declared that Major League Baseball (MLB) players became free agents upon playing one year for their team without a contract, effectively nullifying baseball's reserve clause.

Hearings were held on November 21, 24 and December 1, 1975, before an arbitration panel composed of MLB Player Relations Committee chief negotiator John Gaherin, MLBPA executive director Marvin Miller, and Seitz—the chairman and impartial arbitrator—agreed upon by both opposing parties.

Absent such a contract, their clubs had no right or power, under the Basic Agreement, the Uniform Player Contract or the Major League Rules to reserve their services for their exclusive use for any period beyond the renewal year in the contracts which these players had heretofore signed with their clubs.Seitz's opinion further stated:[8] The leagues involved in these proceedings, without delay, shall take such steps as may be necessary to inform and instruct their member clubs that the provisions of Major League Rules 4-A(a) and 3(g) do not inhibit, prohibit or prevent such clubs from negotiating or dealing with respect to employment with the grievants in this case; also, that Messersmith shall be removed from the reserve list of the Los Angeles Club and McNally from the reserve or disqualified lists of the Montreal Club.In essence, the players were free to bargain with other teams because organized baseball could maintain a player's services for only one year after expiration of the previous contract.

[3][5] Messersmith signed with the Atlanta Braves on April 10, 1976,[5] and went on to play in MLB through the 1979 season,[4] completing his 12-year major-league career with 344 games pitched (295 starts) and a 130–99 win–loss record.

[5] McNally did not play professionally after 1975,[2] having finished his 14-year major-league career with 424 games pitched (396 starts) and a 184–119 record.