I’ve gotten several people asking for an update on the plethora of lawsuits the Trustee has filed on behalf of (you & your money) the trust. If you remember, one class action is against the bank Shapiro used, Comerica Bank. The other suits are against various lawyers and law firms which drafted various documents to help Shapiro conduct the Note program and investment units.
The update is Covid.
This means most courts have been more or less on ice for 2020 because they were forbade from calling juries together by the state or county guidelines in place or the chief judge just decided on their own to suspend jury trials until further notice. So that means all of the criminal trials stopped too.
So, the update on these lawsuits is there isn’t much update. Once the courts start operating again, the criminal trials will take precedence and then the civil matters, such as all of the suits the Trustee has initiated, will begin again. These lawyers and law firms have exactly ZERO appetite for going into a jury trial when the initial fact pattern laid out will be “there was a guy named Shapiro and, according to a bankruptcy judge in Delaware, he was running a ponzi scheme and the defendants seated over there aided in that effort with legal advice and legal work products“.
So. the update is everything in the court arena has been on ice, even to include criminal trials. When Covid is more controlled, the court and court cases will start moving forward again. Real negotiations will not start until court dates have been scheduled and there is a hard deadline.