User blog comment:IamJakuhoRaikoben/Chapter 418: Challenger, Review./@comment-1359322-20150202145352/@comment-9595671-20150202154304

I think they did in the anime if you recall that seen with Hisui telling her father about it and everyone defending her. (He only makes her wear the pumpkin hat for a week ^^)

Plus since Fairy Tail won last year maybe they don't feel like its worth entering, I mean if you don't beat Fairy Tail then are you really #1?