The NBA and the NBA Players Association have agreed to a tentative labour contract that still needs to be ratified by both sides, the league and the union said late on Friday.
Details of the agreement will be made available once the term sheet is finalized, the sides said.
The deal includes the addition of an in-season tournament, the removal of marijuana as a banned substance, and a second luxury tax tier, the New York Times reported, citing a person familiar with the terms of the agreement.
The age limit to enter the NBA will remain at 19 years old, which means most players coming out of high school will have to wait at least one year before entering the league, the paper reported.
The NBA's last work stoppage came in 2011 when the players were locked out for more than five months.
The NBA and NBPA did not immediately respond to a request for comment.