Mr. Rothenberg is Los Angeles Chairman of 1st Century Financial institution, a division of MidFirst Financial institution and Chairman of Premier Partnerships. Rothenberg spearheaded soccer’s rise within the U.S. through the Nineties as Chairman and CEO of the 1994 World Cup; Chairman of the 1999 FIFA Ladies’s World Cup; President of the U.S. Soccer Federation; Chairman of the U.S. Soccer Basis; and founding father of Main League Soccer. For his accomplishments, FIFA bestowed upon him its coveted Order of Advantage and he was inducted into the U.S. Soccer Corridor of Fame. Rothenberg was additionally a prime govt within the NBA through the Nineteen Seventies and Nineteen Eighties. Whereas serving as Vice President and Common Counsel of Jack Kent Cooke, Inc. and California Sports activities, Inc., he represented the Lakers on the NBA’s Board of Governors from 1971-79, and was a member of the Board of Governors throughout his tenure as President of the Clippers from 1982-90. In his authorized profession, he was managing accomplice of Manatt, Phelps, Rothenberg & Phillips and a accomplice in Latham & Watkins earlier than he retired in 2000.
Shayna Toh sat down with Mr. Rothenberg to talk to him about his early work, bringing soccer to America, and his ideas on the way forward for the authorized panorama of sports activities.
Shayna Toh: Did you at all times know that you just wished to enter sports activities legislation?
Alan Rothenberg: Once I was in legislation college there was no such factor as sports activities legislation. I wished to be a litigator as a result of that was the one factor I knew from watching films and tv. I used to be a sports activities lawyer earlier than there have been sports activities attorneys.
Once I graduated from legislation college, I labored for a significant legislation agency as a litigator, and it simply so occurred that they represented the proprietor of the Los Angeles Lakers who later turned the proprietor of the Washington Redskins (now Washington Commanders), and he wished to have a right-hand man inside as common counsel. At the moment, managing skilled sports activities groups was very unsophisticated. There have been no large TV or labor contracts, folks weren’t constructing arenas or stadiums, and it didn’t take greater than information of the game to be answerable for the group. Managing the group was separated into sports activities and enterprise – house owners of groups typically needed to speak to attorneys, accountants, and executives. They have been going by way of a transition interval, and I bridged the hole by getting extra concerned on the sports activities aspect.
These days, there are such a lot of alternatives in sports activities for attorneys. It’s vital as a legislation pupil to know what you need to do. Whereas many individuals are huge sports activities followers, working in sports activities is extra than simply the glamor of sports activities of it; it’s arduous work. On the similar time, it’s attention-grabbing work as a result of it’s common in nature, and there are such a lot of methods to do it. You’ll be able to go right into a legislation agency with plenty of sports activities purchasers, you will get a job with a group or the league, you’ll be able to be a part of a TV community or promoting company. For those who’re , there are a number of autos to pursue this.
Toh: Do you’re feeling just like the sports activities panorama has modified a lot in order that your profession path again then may be arduous to copy now? Are there too many obstacles to entry now?
Rothenberg: I don’t assume there are obstacles to entry as a result of there are such a lot of extra entry factors at this time. For those who’re actually fascinated with sports activities as a profession, it could assist to slender it: do you just like the participant aspect or administration aspect? The media aspect or the monetary aspect? There are such a lot of huge organizations and virtually all of them have internships. I at all times inform everyone to seize something you’ll be able to. For those who do a very good job, you’ll both be promoted or any person will uncover you and also you’re in your manner. There’s no substitute for good arduous work.
I grew up in Detroit (hockey city) as an enormous sports activities fan. I used to be conscious there was one thing referred to as soccer in the remainder of the world, however soccer wasn’t the place I used to be. In 1967, Jack Kent Cooke, who was the proprietor of one of many groups I described, determined to start out knowledgeable soccer league, and requested me to affix him. I used to be 28, and I had by no means seen, performed, or coached a soccer recreation. That enterprise occurred too early and solely lasted for 2 years.
Within the Nineteen Seventies, it appeared like the game was taking off. In Los Angeles, a bunch of us determined it was the best time to start out a partnership, however it nonetheless misplaced some huge cash, and we ended up promoting it.
Issues actually modified when the Olympics got here to LA in 1984. Peter Ueberroth, who ran the Olympics, wished to ensure that the folks concerned in our group have been concerned within the Olympics. He got here up with the idea of getting a Commissioner for each sport, and requested me to try this for the soccer event. I agreed primarily as a result of soccer, even to this present day, was one of the best organized sport internationally due to its dimension, so I knew it could be a lighter carry.
Soccer on the Olympics turned out to be an enormous success, and that’s when FIFA determined it was secure to convey the World Cup to the USA. I turned the President of the USA Soccer Federation to run the World Cup. Whereas getting concerned in soccer was actually an accident for me, I used to be capable of name on my managerial expertise in sports activities and put it to good use.
Toh: Did you’ve got a way that after soccer got here to America, the general public would confide in it? What have been the difficulties opening the American market as much as soccer and the way did you get round that?
Rothenberg: The American public loves an enormous occasion. I knew that if we may persuade them this was an enormous occasion, it could be a must-see factor. Whereas we might have vacationers coming in from Europe or Latin America, the place soccer was a faith, I needed to persuade the Individuals that it was an enormous deal. We wrapped the video games with plenty of leisure occasions to get folks’s curiosity, all of which was a primary for FIFA as a result of they’d solely ever operated in soccer-crazed nations the place they didn’t have to try this. A part of my pitch was: “There are 209 members of FIFA, and 209 members of the United Nations. For those who advised all of the nations they may solely be a member of 1, all however 5 or 6 would select FIFA and never the United Nations.”
I attempted to clarify that you just’ll by no means see the kind of fan fervor as you do within the World Cup. Even within the Olympics, you don’t see the identical kind of ardour because the followers with painted faces waving flags. Loads of work was in exposing most of the people to the game and advertising it as an occasion that you could’t miss.
Toh: What occurred once you got here up in opposition to individuals who may need thought that you just couldn’t pull it off? Have been you ever involved about that affect in your profession?
Rothenberg: I by no means left my legislation agency. They thought it was good to have me doing this, particularly as a result of we have been operating this as a non-profit. I used to be not independently rich sufficient to have left my legislation agency simply to do that, and I don’t know if I might have taken that danger.
I used to be in all probability over-confident that it could succeed, however we have been additionally cautious within the budgeting, and it was a problem to take action as we didn’t have any cash up entrance and needed to get a line of credit score. We took benefit of fervent soccer followers and had an early ticket sale for them on a restricted foundation, and that set the tone of tickets getting offered out instantly with a excessive demand. There have been a ton of challenges, however all of them labored out.
Toh: Moreover soccer, you’ve additionally labored as authorized counsel for the Lakers and as President of the Clippers. How has sporting a number of hats knowledgeable your work and technique in every position?
Rothenberg: I bought plenty of various experiences out and in of sports activities. The perfect case of placing them collectively when it comes to authorized information and my expertise was after I began Main League Soccer. I shaped that as a single-league entity as a result of my authorized information of how the NBA was sued by the Nationwide Basketball Gamers Affiliation beneath the antitrust legal guidelines. There was an amazing vulnerability right here as a result of the League was began by a bunch of membership house owners, who have been by definition a bunch of rivals deciding to carve out the market—a per se violation of antitrust legal guidelines.
This problem actually made me put all my years of varied experiences collectively. I keep in mind speaking to David Stern about an outdated case involving Common Motors and one in every of its divisions the place they mounted costs. The Supreme Courtroom dominated the division was a part of the entity of Common Motors, not a separate entity, due to this fact there was no conspiracy. We realized that if these Leagues have been shaped as a single entity, the groups would all simply be operators beneath the company, and that will be secure beneath the antitrust legal guidelines.
Subsequently, MLS began as a single-league entity which allowed us to place controls by which we couldn’t put in in any other case. The League owns all of the gamers and allocates them to the groups. The League dictates what the sponsorship classes are and that they’re unique to the League, which suggests the groups can’t enter into sponsorships on their very own. From a authorized antitrust and control-of-product foundation, that has labored. This was examined in courtroom, we received the lawsuit, the Supreme Courtroom denied cert for an enchantment, and that’s the established legislation at this time. Ever since then, all the opposite Leagues which have popped up have adopted this sample.
Toh: What’s the commonality throughout all of the positions you maintain now?
Rothenberg: I’m at a special section of my life now, so it’s about if I prefer it and if I just like the folks. Earlier in my life, I used to be opportunistic, and if one thing that appeared good got here up in entrance of me, I might say, “Why not?” However I additionally at all times had my legislation observe whereas I labored on different tasks on the aspect. With the Lakers, I used to be their lawyer. With the Clippers, though I used to be President, I acted as their exterior lawyer and did every thing from the legislation workplace. I by no means gave up the legislation observe; I at all times loved training legislation.
Again then, I used to be additionally a generalist. Whereas I used to be a litigator, I did a little bit of every thing, which is what it’s important to do as common counsel of a league. Folks at all times ask me: “What’s the one factor you really liked doing greater than anything?” And I at all times inform them: attempting jury circumstances.
Toh: What are your ideas on the upcoming World Cup? What do you assume are the largest challenges?
Rothenberg: There are two components: sports activities and enterprise. For the sports activities half, it’s going to be essentially the most superior fan-experience ever. It’s so huge and nice—there’ll be extra video games, extra groups, and now we have now greater than sufficient educated soccer followers so it’s going to turn into a spectacular success. There can be so many fan festivals and watch events—it’ll be a celebration for a straight month.
Financially, will probably be a problem as a result of FIFA modified the system. Once we did it in in 1994, FIFA saved the worldwide sponsorship, advertising, and media rights, however turned every thing else over to us. We had a centralized group which meant we had all of the dangers and rewards. Now, FIFA has given virtually no alternatives to native host cities for the income. All of the totally different host cities are scrambling to give you cash to handle their prices—they’re interested by tourism, hospitality, and sponsorships, however it’s not open the best way it was in 1994.
The host cities can be lucky to interrupt even, however they’re nonetheless doing it. Some cities, like New York, don’t want the publicity to place them on the map, however for a Kansas Metropolis, followers from each nation can be coming in and their metropolis can be telecasted all over the world. Followers can be paying for lodge rooms, eating places, bars, and so forth. There’s an actual worth for all these cities to encourage tourism.
Toh: The character of the sports activities world appears to be ever-changing and ever-growing. How ought to somebody who desires to affix this world put together themselves?
Rothenberg: Since you’ll by no means know what to anticipate, plenty of it’s doing all your job and reacting to what occurs in entrance of you. As busy as legislation college students are, as early as attainable, get hooked up to some components of the sports activities trade as an intern because it provides you some publicity. They’re so many people who find themselves followers and have an interest, however what employers need is to check the depth of the curiosity that you’ve got. Put in time as a volunteer or intern to get some publicity so your profession selections turn into a bit extra educated and knowledgeable. Hold doing issues. They need people who find themselves critical concerning the work.
This interview has been frivolously edited for size and readability.
