The judge said that Seinfeld’s 32-day delay was “not insignificant” in the context of bankruptcy code rules that demand diligence on the part of counsel. In any case, she said that Seinfeld suffered little prejudice from the dismissal since it was unlikely that he would have prevailed on arguments that had been considered and rejected by three courts.
Seinfeld is represented by Irving Bizar of Ballon Stoll Bader & Nadler in Manhattan. Bizar declined to comment on the decision or on whether his client plans to appeal.
“This case has a long procedural history,” Cote wrote in Seinfeld v. WorldCom, 06 Civ. 13274. “Since 2002, Seinfeld has attempted to bring a shareholder derivative action against various former directors and officers of WorldCom … and WorldCom’s bank, Bank of America, alleging state law claims of breach of fiduciary duty, aiding and abetting breach of fiduciary duty, and waste.”
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