The suit against Sterling Equities, a real-estate developer, was sealed as the parties are currently in negotiations, CNN said. The suit was filed in U.S. bankruptcy court in New York.
"We are currently engaged in good-faith negotiations with the Sterling Defendants," Picard's law firm said in a statement.
Sterling Equities declined to comment on the case but assured fans that the Mets' finances were not under threat.
"Regardless of the outcome of these discussions, we want to emphasize that the New York Mets will have all the necessary financial and operational resources to fully compete and win. That is our commitment to our fans and to New York," Sterling Equities said in a statement.
One Madoff client, Carl Shapiro, agreed Tuesday to pay $625 million that will be made available to Madoff victims.
"For almost 40 years, Carl Shapiro invested hundreds of millions of dollars with Bernie Madoff but withdrew far more," Manhattan U.S. Attorney Preet Bharara said in a statement. "By requiring him to forfeit this money -- more than he is currently worth -- the Government and the SIPA Trustee have sent an important message."
Madoff is currently serving a 150-year prison sentence in North Carolina.