Lindsay Lohan supposedly settled a lawsuit she filed against her former fashion partners.
The Mean Girls star brought a US$1.1 million (NZ$1.28m) case against D.N.A.M. Apparel Industries over the actress' botched legging line 6126.
According to Radar Online, Lohan has settled with D.N.A.M. and the company has been ordered to pay her $150,000 in damages as part of their legal agreement.
The clothing business, which manufactured Lohan's 6126 collection between 2009-2010, sued her for US$5 million in May 2013.
According to court documents obtained by TMZ, executives claimed Lohan's "drug-addled image" made their products "unsellable".
Apparently Lohan asserted the clothing line licensed the collection's trademark without paying her an agreed-upon sum.
Lohan was in rehab at the time D.N.A.M filed their case against her last year and she didn't respond to the lawsuit for several months.
The court found her in default for not responding, but she is said to have pled with the judge for mercy, citing her commitment to remain sober and a recent miscarriage as distressful situations which prevented her from engaging with the case.
But a source told Radar this alleged statement was a ploy to "to garner sympathy and explain unprofessional behaviour".
The 27-year-old actress has fought a well-publicised battle with addiction, which was in part documented in her recent reality TV show for Oprah Winfrey's OWN network.
At the moment Lohan seems to be focused on getting back to work.
In a photo she posted on Instagram last week, the star showed herself clutching a screenplay, writing in the caption: "New script! #werk #ily."
Recent reports have also suggested Lohan is looking forward to relaunching her music career following the release of her 2004 debut album, Speak.
- Cover Media