Who Really Owns USFL? A Comprehensive Investigation

Introduction

The United States Football League (USFL) was a professional American football league that operated for three seasons, from 1983 to 1985. The league was founded by a group of businessmen who were unhappy with the National Football League’s (NFL) monopoly on professional football in the United States. The USFL was initially successful, but it eventually collapsed due to financial issues and a failed lawsuit against the NFL.

One of the key factors in the USFL’s downfall was the league’s complex ownership structure. Over the course of its three-year existence, the USFL had multiple owners and stakeholders, each with their own interests and motivations. This article will examine the USFL’s ownership history, from its founding in 1982 to the present day, and explore the impact that ownership has had on the league’s fortunes.

The Original USFL Owners

The USFL was founded in 1982 by a group of businessmen who believed that there was room in the American football market for a new league. The league’s founders included David Dixon, a New Orleans-based businessman and sports enthusiast, and Bill Daniels, a cable television pioneer.

The Early Years: The League’s Initial Ownership Structure In its early years, the USFL had a relatively straightforward ownership structure. The league was owned by a group of investors, with Dixon serving as the league’s commissioner. Each team in the league was independently owned and operated, with ownership groups including Hollywood stars like Burt Reynolds and John Bassett, as well as business magnates like J. Walter Duncan and Edward DeBartolo Jr.

The Role of Donald Trump in the USFL’s Ownership One of the most controversial figures in the USFL’s ownership history is Donald Trump. In 1983, Trump bought the New Jersey Generals, one of the league’s most successful teams, for a reported $10 million. Trump quickly became a prominent figure in the USFL, using his wealth and influence to push for expansion and aggressive tactics against the NFL.

Trump’s ownership of the Generals was not without controversy. In 1984, he lured Heisman Trophy winner Herschel Walker away from the Dallas Cowboys with a $5 million contract, sparking a bidding war between the USFL and the NFL. The USFL ultimately lost the battle for Walker’s services, and the league’s financial problems began to mount.

The USFL’s Acquisition by a Media Mogul

In 1984, the USFL was acquired by media mogul John Bassett, who had previously owned the Tampa Bay Bandits. Bassett’s plan for the USFL, known as the Dixon Plan, called for a shift to a fall schedule and direct competition with the NFL. However, Bassett’s health began to decline, and he was forced to relinquish control of the league in 1985.

The USFL’s Sale to David Dixon After Bassett’s departure, the USFL was sold to its original founder, David Dixon. Dixon’s ownership of the league was marked by controversy and financial struggles. Dixon was unable to secure a lucrative television contract for the league, and the USFL’s financial losses began to mount.

The Birth of the Dixon Plan Despite these challenges, Dixon continued to push for the USFL’s expansion and direct competition with the NFL. He proposed the Dixon Plan, which called for a shift to a fall schedule and a direct challenge to the NFL’s monopoly on professional football in the United States.

Dixon’s Control over the USFL Dixon’s control over the USFL was not absolute, however. The league’s owners were increasingly divided over his leadership, and many began to lose faith in the viability of the Dixon Plan

The USFL’s Failed Lawsuit Against the NFL

The USFL’s hopes of challenging the NFL’s dominance suffered a major blow in 1986 when the league filed a lawsuit against the NFL, alleging that the larger league had engaged in anti-competitive practices. The USFL sought $1.69 billion in damages, claiming that the NFL had monopolized the professional football market in the United States and had conspired to prevent the USFL from securing a lucrative television contract.

The USFL’s case was weakened by a number of factors, including the league’s financial struggles and the fact that some of its key witnesses, including Dixon, were seen as unreliable. In 1987, a jury found that the NFL had indeed violated antitrust laws, but awarded the USFL only $1 in damages. The USFL appealed the decision, but the appeal was ultimately unsuccessful.

The Current State of the USFL’s Ownership

Following the USFL’s collapse, the league’s assets were sold off to pay off its debts. While there have been occasional attempts to revive the USFL, none of these efforts have been successful. However, the USFL’s intellectual property rights and trademarks are still held by a company called USFL Properties LLC.

The current ownership of USFL Properties LLC is somewhat murky. The company was originally owned by a group of investors, but it has changed hands several times over the years. In 2010, the company was purchased by a group of investors led by Jim Bailey, a former USFL executive. Bailey later sold his stake in the company to a group of investors led by Michael R. Levy, a sports marketing executive.

In 2021, it was announced that the USFL would be revived as a spring football league, with Fox Sports as its broadcast partner. It is not clear who currently owns the USFL’s intellectual property rights or trademarks, or what role these assets will play in the new league’s operations.

Conclusion

The USFL’s ownership history is a complex and often controversial story, with multiple stakeholders and competing interests. From the league’s founding by a group of businessmen to its acquisition by media mogul John Bassett and its eventual collapse and failed lawsuit against the NFL, the USFL’s ownership has played a key role in its fortunes. While the USFL may be gone, its legacy lives on in the ongoing efforts to revive the league and in the intellectual property rights and trademarks held by USFL Properties LLC.

FAQs

Who founded the USFL?

The USFL was founded in 1982 by a group of businessmen, including David Dixon and Bill Daniels.

Who really owns the USFL’s teams?

Each team in the USFL was independently owned and operated, with ownership groups including Hollywood stars and business magnates.

Who owned the USFL during its failed lawsuit against the NFL?

The USFL was owned by David Dixon during its failed lawsuit against the NFL.

Who currently owns the USFL’s intellectual property rights and trademarks?

USFL Properties LLC currently holds the USFL’s intellectual property rights and trademarks, but the ownership of the company is unclear.