Tropicana Trouble

A bankruptcy court will decide a chicken-or-egg question thanks to Carl Icahn’s contention that the spun-off Tropicana Las Vegas hotel-casino owes his Tropicana Entertainment $10 million in royalties for use of the name it’s had for 52 years.

The billionaire investor filed suit in Delaware bankruptcy court to force the issue of whether the hotel has been using its name for free and owes royalties – despite the fact that the hotel predates the entertainment company by more than 20 years.

Tropicana Entertainment LLC went bankrupt in 2008 and was bought by Icahn. The resort hotel was spun off to investors.

During the bankruptcy, Icahn proposed the resort pay $10 million to use the name for five years. Hotel officials say they shouldn’t have to pay to use the casino’s own name.