The album was his first for A&M Records, and is notable for the inclusion of Allen's version of his co-authored hit for Olivia Newton-John, among others, "I Honestly Love You".

Prior to the release of Continental American, Allen had assumed residency in New York City and had become a regular performer at the Reno Sweeney nightclub, owned and operated by composer Lewis Friedman between 1972 and 1977.

[2] A portrait of Allen, taken at Reno Sweeney's, is featured on the back cover of Continental American.

The album was later described by critic William Ruhlmann as involving a "retrospective, world-weary concept" and a "mood of desperate nostalgia", concluding that the album was "a dour singer/songwriter collection that used show business clichés in music and words to express a world view of regret and resignation.

"[3] Metromedia Records had ceased operations as of 1974, resulting in Allen's earlier albums becoming largely unavailable.