Donald Trump’s Bold Antitrust Battle Against The NFL In The 1980s

Today, Donald Trump is a real estate magnate, reality TV host, and Republican presidential candidate, but back in the 1980s, Trump was a businessman in his 30s who took on the NFL in a high-stakes antitrust case. In doing so, he showcased the brash confidence that has become the trademark of his presidential campaign. This is how it went down…

The USFL was founded with a clear principle: avoid confrontations with the NFL. However, as an upstart league, it aimed to be more entertaining and attract a wider audience. Featuring marquee players like Heisman Trophy winner Herschel Walker, Jim Kelly, Reggie White, Steve Young, and Doug Flutie, the league started strong in 1983. Yet, by its second season, interest in spring football waned, leading to struggles for some of its biggest franchises.

In this turbulent environment, Donald Trump entered the scene by purchasing the New Jersey Generals. Initially, he was not a recognizable figure in the football world, primarily known for his real estate ventures. However, the media attention garnered by the Generals' cheerleading squad tryouts propelled Trump into the spotlight. In the first six months of his ownership, his name appeared in newspapers 161 times, surpassing his media presence from the previous four years combined.

The USFL faced financial challenges, burning through substantial funds in its initial seasons. The league expanded too quickly for its smaller audience, leading owners to overspend in an attempt to attract NFL-caliber talent. Before Trump's involvement, the league had managed to maintain a crucial tenet: steering clear of direct competition with the NFL. However, Trump had different ideas.

Trump was determined to challenge the NFL rather than settle for being part of a lesser league. He made headlines by poaching players like linebacker Lawrence Taylor. When Taylor's contract dispute with the New York Giants arose, Trump wired $1 million into the star player's bank account, signing him to a contract with the Generals. This move created a lasting enmity with the NFL.

Relentlessly, Trump urged USFL owners to pursue antitrust litigation against the NFL, claiming that the NFL's existence was financially crippling the USFL. Eventually, the owners capitulated to Trump's demands, agreeing to move forward with a lawsuit against the NFL, as well as changing the league's schedule from spring to fall.

The USFL's viability relied on not competing directly with the NFL. While the USFL played in the spring, the NFL operated in the fall. Trump's vision for the Generals was to transform them into an NFL franchise, leading to pressure on other USFL owners to adjust the league's schedule to compete directly with the NFL.

In order to compete effectively, the USFL needed comparable talent. This led to Trump embarking on an extravagant spending spree, recruiting talented players, including Doug Flutie, for the Generals. Unfortunately, this reckless financial strategy led to the bankruptcy of several other USFL teams, which struggled to keep up with Trump's spending.

Trump's actions toward the USFL were not without consequences. He pressured the other owners to disregard guaranteed TV contracts for a more ambitious plan: moving games to the fall to challenge the NFL directly. He argued that this strategy could ultimately lead to a merger between the two leagues.

The USFL based its hopes on the potential for substantial financial settlements from antitrust litigation, which would triple damages in successful cases. However, Trump's focus seemed more on his financial gain rather than the league's survival. He recklessly led the USFL into a perilous situation, risking the jobs of thousands of people.

The trial began in the spring of 1986, lasting for 42 days. On July 29, 1986, the jury's verdict was both a victory and a crushing blow for the USFL. While they acknowledged the NFL as an illegal monopoly, they awarded the USFL only $1 in damages, which amounted to $3 due to antitrust settlement rules. By this time, the USFL was $160 million in debt, with many players leaving for the NFL and Canadian Football League.

The fallout from this situation can be attributed largely to Trump’s actions. His public persona and aggressive tactics against the NFL led the league to view the antitrust case as a personal vendetta against him. The NFL felt Trump was merely after financial gain, and this influenced the court's decision.

The ruling indicated that the USFL chose to compete directly with the NFL in the fall, abandoning its original spring model. This decision deprived the USFL of any grounds to seek damages, hastening its inevitable demise. After the court ruling, the USFL never played another game, and Trump quickly moved on.

Many former USFL team owners have expressed regret over allowing Trump to push them into this contentious battle with the NFL. His ambition seemed to overshadow the well-being of the league. The USFL eventually received a settlement check for $3.76 in 1990, including interest accrued over time, but that check has never been cashed.

Now, three decades later, those involved in the USFL are concerned that Trump’s political journey may echo his tumultuous time in the league. In this scenario, the United States could be viewed as Trump's USFL franchise. Only time will tell how history will repeat itself!