He's saying you should include every clan that DOES play on a regular basis, which is not the same as what you've inferred.Are you saying that we should exclude every clan that does not play on a regular basis or does not play in ROladder or does not practice?
Personally I see no reason why the tournament shouldn't be expanded to accommodate all teams wishing to enter, after all why not? Expanding the tournament requires no further division of the prize money since that's only allocated to the top 2 teams anyway and it improves the depth of competition and credibility of the competition. By handpicking a small number of teams you're only handicapping yourselves when in fact you actually have a perfect opportunity to host a large tournament taking full advantage of the developer support and say to the rest of the world "Hey this is the RO community, look at our big fancy tournament showcasing what we can do!".
I don't know what your selection process is so I can't comment on that, but your comments in this thread have made me slightly wary and anxious that it will not include all 'deserving' teams. I really hope you do the right thing and don't mess up this fantastic opportunity the developers have given you.