The 1926–27 NHL season was the tenth season of the National Hockey League. The success of the Boston Bruins and the Pittsburgh Pirates led the NHL to expand further within the United States. The league added three new teams: the Chicago Black Hawks, Detroit Cougars and New York Rangers, to make a total of ten, split in two divisions. This resulted in teams based in Canada being in the minority for the first time. To stock the teams with players the new teams brought in players from the Western Hockey League, which folded in May 1926. This left the NHL in sole possession of hockey's top players, as well as sole control of hockey's top trophy, the Stanley Cup, which was won by the Ottawa Senators. This was the original Senators' eleventh and final Stanley Cup win. The Senators' first was in 1903.
At the 1926 Stanley Cup Final, WHL president Frank Patrick began shopping the WHL's players to the NHL, hoping to raise $300,000 to distribute to the PCHA owners. Patrick approached Art Ross of the Bruins, who agreed to purchase the contracts of Frank Fredrickson, Eddie Shore and Duke Keats. After the series, Patrick approached the new New York Rangers owner Tex Hammond and their general manager Conn Smythe, but they were turned down. Patrick and Ross approached the Bruins' owner who agreed to purchase the entire lot of PCHA players for $250,000, and gave Patrick a $50,000 check as a deposit. He planned to keep some of the players for the Bruins, sell twelve players each to the new Chicago and Detroit franchises and distribute the rest to the rest of the league.