Born in Nelson County, Virginia, Allen was the son of Loretta M. and Earl Raymond Allen, who was recorded in the 1920 and 1930 U.S. census records for Wayne County, Michigan as working as a chauffeur to a private family. He earned varsity letters in football, track and basketball at Lake Shore High School in St. Clair Shores, Michigan; having graduated in 1940. Allen went to Alma College in Michigan and later at Marquette University in Milwaukee, Wisconsin, where he was sent as an officer trainee in the U. S. Navy's World War II V-12 program. He graduated with a B.S. in education from Michigan State Normal College (now Eastern Michigan University) in Ypsilanti, and then attended the University of Michigan in Ann Arbor, where he earned his master's degree in physical education in 1947.

After rejecting a $1 million, four-year contract offer throughout the 1977 season, Allen was dismissed by the Redskins in mid-January. He was replaced by one of his favorite players, Jack Pardee, by then the promising young head coach of the Bears, who had gained the wild card playoff berth ahead of the Redskins; both had finished at 9-5.  Rams owner Carroll Rosenbloom was searching for a new coach after parting ways with Chuck Knox, and decided to bring Allen back. Allen's hiring was announced on February 1, and he returned to Los Angeles in 1978 with much media fanfare. His second stint as the Rams' head coach was an unfortunate experience for all concerned. Unlike his first stint, Allen did not have full authority over personnel. He thus worked with general manager Don Klosterman to oversee a talented roster that had made the team a perennial playoff challenger.  Allen brought with him his scrupulous discipline and attention to detail, which extended to practice-field protocol and dining-hall decorum. However, his coaching style did not play well with the new generation of NFL players, and a group of Ram players chafed at the regulations almost immediately. Some made their grievances public; a few, including standout linebacker Isiah Robertson, briefly left camp. As newspaper reports were quoting players expressing confidence that differences would be resolved, the Rams played listlessly and lost the first two games of the 1978 exhibition schedule. Rosenbloom decided that for the season to be salvaged a change must be made, and the announcement of Allen's abrupt dismissal was made on August 13. Many of Allen's own players were surprised by the decision. Defensive coordinator Ray Malavasi, well-respected and liked by players (and the only holdover from Chuck Knox' staff), replaced him; the Rams ultimately advanced to that year's NFC Championship Game and the following year to the Super Bowl. Rosenbloom died in April 1979.  Allen soon joined CBS Sports as an analyst for NFL network telecasts, and worked in the broadcast booth from 1978 to 1983. With former Cleveland Browns great running back Jim Brown and play-by-play announcer Vin Scully, they were the network's only three-man announcing team.

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