A unanimous appellate panel has affirmed the dismissal of a malpractice suit accusing two attorneys of taking too long to wrap up a cosmetics retailer’s bankruptcy case, a delay the retailer claims resulted in a $350,000 insurance settlement being lost to Marc Dreier’s Ponzi scheme.

Justice Angela Mazzarelli (See Profile) of the Appellate Division, First Department, wrote yesterday in Cosmetics Plus v. Traub, 11324/09, that the now-defunct retailer, Cosmetics Plus Group Ltd., had failed to show that attorneys Paul Traub and Steven Fox had deviated from the standard of care and skill expected of New York bankruptcy lawyers.

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