The Bank of America was threatening to foreclose on a $1.2 million loan to the team and in August 1969 a group of Washington, D.C. investors led by Earl Foreman bought the team and moved it to Washington for the upcoming season.

With the move came a new identity for the team as the green and gold-clad Washington Caps. Al Bianchi was the team’s coach. A federal appeals court ruled in favor of the Caps regarding Rick Barry’s contract. Barry openly objected to playing in Washington, DC, and sat out the first 32 games of the season, but the courts eventually forced him to report to the team. Barry and Warren Armstrong both played in the ABA All-Star game but injuries limited their playing time for the season.