Joel R. Glucksman
Partner
201-896-7095 jglucksman@sh-law.comFirm Insights
Trump Entertainment Loses Anti-Pensioner Bid
Author: Joel R. Glucksman
Date: October 9, 2014
Key Contacts
Back
Trump Entertainment, the one-time casino enterprise formerly-owned by the millionaire who begrudgingly shares its name, encountered yet another setback in court Oct. 3.
According to The Wall Street Journal, the company lost a bid to immediately stop payments into a pension fund for its 1,135 unionized employees at the Trump Taj Mahal. Trump Entertainment sought emergency relief from these payments, suggesting that they posed a threat to its ability to restructure. The casino company – which now owns only the Trump Taj Mahal – filed for protection under Chapter 11 of the bankruptcy law in September.
Trump Entertainment’s argument was rejected by Judge Kevin Gross, who noted that a debate regarding the company’s contract with Unite Here Local 54 would occur on Oct. 14 and that pension funding would be included in talks then, the news source reported. Until that point, the organizations are required to continue negotiating.
Gross also said that the U.S. Bankruptcy Code prevented him from allowing Trump to permanently reject a portion of its collective bargaining agreement with Unite Here Local 54, according to Reuters. However, while this decision provides some temporary relief, it appears that it would be possible for him to allow Trump Entertainment to reject the agreement as a whole, depriving employees of health benefits as well as pension payments. For its side, Trump Entertainment has said that ending pension payments would save it about $3.7 million annually.
On Oct. 2, a pension fund lawyer said that Trump Entertainment was using this trip through bankruptcy to clean up its business before delivering it to Carl Icahn, the company’s main creditor, the news source reported.
As a tax attorney at Scarinci Hollenbeck LCC, a general practice law firm in the New York/New Jersey metropolitan area, I’ve followed Trump Entertainment’s bouts with bankruptcy, check out my previous posts here:
- Trump Entertainment Seeks To Stop Pension Payments
- Taj Mahal Casino of Atlantic City May File For Bankruptcy
- Practices: Corporate Transactions & Business, Bankruptcy & Creditors' Rights, Bankruptcy Litigation
- Locations: Red Bank, NJ, New York City, Little Falls, NJ
No Aspect of the advertisement has been approved by the Supreme Court. Results may vary depending on your particular facts and legal circumstances.
Related Posts
See all
Crypto Investor Protection: SEC and CFTC Enforcement Trends
Crypto investor protection continues to evolve, with the SEC and CFTC investing resources and coordinating more closely to uphold regulatory standards. Whether you’re a retail investor, an institutional trader, or part of a crypto startup, understanding enforcement trends is essential for navigating this dynamic and high-stakes regulatory environment. Crypto Is No Longer the Wild West […]
Author: Dan Brecher
New Jersey’s Next Manufacturing Tax Credit: Stability Secured, Timing Matters
A Settled Regulatory Environment Enables Confident Capital Planning New Jersey’s new manufacturing incentive program, Next New Jersey Manufacturing Program, enters 2026 with something uncommon in economic development these days: policy stability. The statute is enacted, New Jersey Economic Development Authority’s (“NJEDA”) rules are adopted, and the application portal is open. With the election outcome settled, […]
Author: Michael J. Sheppeard
A Simple Guide to Industry Roll-Up Acquisitions
When done successfully, industry roll-up acquisitions can dramatically grow and strengthen your business. In this post, we break down what an industry roll-up is, why companies pursue it, and what makes it an effective (and sometimes risky) business strategy. What Is an Industry Roll-Up Acquisition? In an industry roll-up acquisition of companies, a buyer acquires multiple companies […]
Author: Dan Brecher
Genesis Mission: How the U.S. Government’s New AI Platform Will Reshape Corporate Innovation, Risk, and Competition
The federal government has launched one of the most ambitious scientific initiatives in decades, and it will redefine how companies develop technology, manage risk, and compete. The Genesis Mission, created by Executive Order and driven by the Department of Energy (“DOE”), is intended to accelerate scientific discovery through a national AI platform that links supercomputers, […]
Author: Michael J. Sheppeard
Stablecoins and the GENIUS Act: How New Global Rules Are Reshaping Compliance
Stablecoins Leave the Grey Zone Stablecoins were supposed to be the “boring” part of crypto: digital dollars that just work. Yet for years they have lived in a regulatory no-man’s-land, classified one day as securities, the next as commodities, and sometimes as something regulators had not even named yet. That uncertainty is finally starting to […]
Author: Bryce S. Robins
Don’t Overlook the Importance of Business License Management
If you operate a business without the proper license, you risk fines, insurance issues, reputational harm, and even business closure. Even innocent mistakes, like forgetting to renew a license, can have significant consequences, such as losing your lawsuit for payment of services that are unlicensed, which makes it imperative to have business license management procedures […]
Author: Dan Brecher
No Aspect of the advertisement has been approved by the Supreme Court. Results may vary depending on your particular facts and legal circumstances.
Sign up to get the latest from our attorneys!
Explore What Matters Most to You.
Consider subscribing to our Firm Insights mailing list by clicking the button below so you can keep up to date with the firm`s latest articles covering various legal topics.
Stay informed and inspired with the latest updates, insights, and events from Scarinci Hollenbeck. Our resource library provides valuable content across a range of categories to keep you connected and ahead of the curve.