U.S. Bankruptcy Judge Burton R. Lifland barred plaintiffs A&G Goldman Partnership and Pamela Goldman from filing a securities class action against a former Bernard L. Madoff Investment Securities LLC (BLMIS) client's estate and others who had already reached a $7.2 billion settlement with a trustee, Law360 reported on June 20 (“Madoff Client Immune To Securities Class Action, Judge Says”).
According to the article, the judge denied their motion which sought a ruling that neither an injunction the Bankruptcy Court entered as part of the 2011 settlement nor the automatic stay provision of the Bankruptcy Code would prevent them from suing the estate of Jeffry Picower in Florida federal court.
The judge found that, like another plaintiff's similar attempt at filing a class action against the Picower defendants, the plaintiffs here are also barred from filing the same claims that BLMIS Trustee Irving Picard had already filed and settled against the same parties, said Law360.
The article also named David J. Sheehan, lead counsel to the SIPA Trustee for the liquidation of BLMIS, as well as attorneys Deborah H. Renner, Tracy L. Cole, Keith R. Murphy, Marc Skapof, Amy E. Vanderwal, Matthew J. Moody and George Klidonas.