Lawyer must wait his turn to sue Erika Jayne Girardi, trustee says

(Reuters) – A individual bankruptcy trustee overseeing the estate of Tom Girardi’s defunct law firm is asking a decide to hold off a lawsuit versus Girardi’s estranged spouse, “Real Housewives of Beverly Hills” star Erika Jayne Girardi.

Chicago law agency Edelson sued the Girardis in federal court docket in December, alleging they misappropriated settlement resources to fund their “glitz-and-glam” existence. The lawsuit triggered a flood of promises led by Girardi’s previous partners that compelled Girardi Keese into bankruptcy.

Edelson earlier this month asked a Los Angeles personal bankruptcy decide to permit it to pursue its statements towards Erika Girardi inspite of an automated pause in the case brought on by the Girardi firm’s individual bankruptcy.

But Chapter 7 trustee Elissa Miller stated in a Tuesday filing that the continue to be is desired for her to investigate no matter whether law agency assets had been fraudulently transferred to the truth star.

“Edelson’s motion will disrupt the GK trustee’s administration of the GK estate,” Miller wrote.

U.S. Personal bankruptcy Choose Barry Russell has scheduled a Nov. 2 listening to on the make any difference.

Miller declined to remark. Jay Edelson, the founder and CEO of Edelson, claimed his agency is performing on a reply to Miller’s submitting.

“One particular matter that the trustee misunderstood was our firm’s fiscal desire in this scandal,” Edelson claimed in an e mail. “We are not, as the trustee instructed, trying to ‘cut in line.’ Rather, our perspective is that the clients will need to be paid out initial.”

Erika Girardi, represented in the personal bankruptcy by Evan Borges from Greenberg Gross, opposed Edelson PC’s motion in a Wednesday submitting. Borges did not react to a request for comment.

Lawyers for Tom Girardi and Girardi Keese have acknowledged in federal court docket that the settlement resources at situation in the Edelson lawsuit ended up not distributed. Erika Girardi has not responded in that circumstance, nor have attorneys entered appearances for her.

Jason Rund, the Chapter 7 trustee overseeing Tom Girardi’s own estate, reported in his very own Tuesday submitting that he experienced no objection to the Edelson organization pursuing statements from Erika Girardi as extended as Russell retains “unique jurisdiction” to decide whether Erika Girardi’s property truly belong to her estranged partner.

The circumstance is In re Thomas Vincent Girardi, U.S. Bankruptcy Courtroom for the Central District of California, 2:20-bk-21020.

For Elissa Miller: Philip Strok, Kyra Andrassy and Timothy Evanston, of Smiley Wang-Ekvall

For Jason Rund: Timothy Yoo and Carmela Pagay of Levene Neale Bender Yoo & Brill

For Edelson: Rafey Balabanian of Edelson

For Erika Jayne Girardi: Evan Borges of Greenberg Gross

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