A lawsuit brought by the heirs of a Jewish entertainer and art collector executed in the Holocaust that aims to recover artwork allegedly stolen by Nazis can proceed, a Manhattan appeals court has ruled.

A unanimous panel of the Appellate Division, First Department, on Tuesday affirmed a lower court's denial of a motion to dismiss the heirs' 2015 claims in Reif v. Nagy, 161799/15.

Justices David Friedman, John Sweeny, Dianne Renwick, Richard Andrias and Sallie Manzanet-Daniels said the findings in a separate lawsuit over a related art piece do not mandate dismissal under principles of collateral estoppel.

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