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Waiver and Intraleague Drafts occur in all historical seasons where they were actually used, and can also optionally be added via the League Edit screen on July 1 of a game that has Commissioner Mode turned on.
These drafts function much like expansion drafts, only all teams in the league protect and draft players, not just the expansion teams.
The main difference between the two drafts is timing: the Waiver Draft occurs just before the start of the regular season, while the Intraleague Draft occurs at the end of the season, after the playoffs.
The drafts runs in reverse order of previous season's standings (expansion teams go first, in random order if there is more than one), the champion goes last.
When a player is claimed in the draft, a no-trade clause is added to his contract if he doesn't have one already (admittedly, simplification of the actual rule, but it should have a similar effect.)