Donald Trump, one of the most powerful businessmen in the United States, wants his name stripped from two land based casinos in New Jersey and filed a lawsuit on Tuesday, August 5, 2014 in New Jersey Superior Court. In the lawsuit he says that the Trump Taj Mahal and Trump Plaza, which were once owned by him, are very dilapidated and damage the image of his brand.
According to reports, Trump accuses Trump Entertainment Properties that runs the two casinos for allowing the properties to fall into an utter state of disrepair. He also points out that Trump Plaza has failed to meet the industry standards across a couple of categories.
The Plaza was founded by Trump in 1984 and it used to be very popular destination for many casino fans. However, since then it has suffered a decline in revenue because of the tough competition from neighboring states.
When Trump Entertainment Properties filed for bankruptcy in 2009, Trump’s name was wiped out. However, he emerged with a 10% stake and a licensing agreement allowing the two casinos to continue to use his name. Trump himself has no input in the operations of the casinos, according to the lawsuit.
Trump Plaza Hotel is performing very poorly in 2014. In the first quarter of the year, less than a half of the rooms were booked and it has the lowest gaming revenue than all other casinos in May. In July, the owners of the casino announced that it would close its doors in mid-September, leaving 1,100 people without job.
The Atlantic Club casino in Atlantic City shut down in January. The Showboat also announced it will close at the end of August. Revel casino may also close in September if a buyer is not found.