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Rachel Returns Hush Money

Threatens Gloria Allred

7/18/2011 12:30 PM PDT BY TMZ STAFF

TMZ has learned ... Rachel Uchitel has given Tiger Woods back most of the settlement money he paid her ... and now Rachel is preparing to sue Gloria Allred, the lawyer who struck the deal, allegedly because Gloria sold her out for money.

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As TMZ reported, Gloria negotiated a $10 million settlement for Rachel ... just hours before Rachel was going to hold a tell-all news conference about Tiger Woods.  The settlement included a confidentiality agreement, which prohibited Rachel from talking about Tiger.

We've learned the agreement stated ... if Rachel violated the confidentiality clause ... she would not only have to return the money she received but Tiger could sue her for damages as well.

Sources tell TMZ ... several months ago Tiger's lawyer, Jay Lavely, contacted Gloria and said they were going after Rachel because they believed she violated the confidentiality agreement by allegedly speaking with TMZ and going on "Celebrity Rehab" to treat her "addiction to love" -- though she never talked specifically about Tiger on the show.

We're told Rachel felt strongly she had not violated the agreement, but Gloria allegedly convinced her she would lose if push came to shove, so Gloria struck a deal with Lavely -- that Rachel would return the lion's share of the settlement money.

But our sources say ... what has Rachel fuming is that Gloria allegedly made a deal with Jay Lavely -- that Gloria would still get all of her attorney's fees. Rachel believes Gloria sold her out ... allegedly making a deal with Tiger's lawyer to strong-arm Rachel into giving the money back and in return Gloria would get her fee -- a fee Gloria would not have received if Rachel went to arbitration and lost.

We're told Rachel went along with the deal, but as time went on she felt she had gotten screwed, and then hired a malpractice lawyer who has made a demand on Gloria to either pay Rachel what she gave back or get sued.

Sources tell TMZ ... Rachel's lawyer has given Gloria a deadline, and if Gloria doesn't ante up ... a legal malpractice lawsuit will be filed.

We contacted Gloria, who said, "No comment." Ditto Rachel, who was also mum.

UPDATE: TMZ asked Gloria if her law partner, Nate Goldberg, was the lawyer who negotiated Rachel's big give-back to Tiger. This time she said she couldn't answer because of "attorney-client privilege."

UPDATE:  Gloria just told TMZ, "Our law firm no longer represents Ms. Uchitel and we have no comment on this story at this time.  However, we are confident that we have always acted appropriately and in her best interests."

UPDATE:  Gloria just gave TMZ another statement:  "I was not involved in any way in the allegations set forth in the TMZ story which appears today and which references me.  I have not had a conversation with or communicated with Jay Lavely about any client in more than a year.  I am reserving all of my legal rights and remedies against anyone who defames me."


234 COMMENTS

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136.

Will    

Gloria is just bitter that Harvey Levin was prettier than her when he dressed as her in drag.

1138 days ago
137.

Puckett    

What!? Gloria Allred has no comment for a change?

1138 days ago
138.

Azzkicker    

Rachel UGH-itel will be giving random dudes BJ's for rent money very soon; it's apparently the only thing she's good for. What a stupid b*tch; all she had to do was keep her trap shut & she'd have been set for life. But, that's what happens when you permanently do the famewhore stroll. As for WHOREia allred, I hope she loses her license over this. IMO, she's the most reprehensible, dishonest, lacking integrity piece of trash on planet earth...

1138 days ago
139.

Puckett    

Oh well, i guess being sued for malpractice isn't the kind of publicity she wants. /snicker

1138 days ago
140.

KicksandGiggles    

Big deal - the tramp should be used to getting screwed. Good enough!!! Yahoo Karma!!!

1138 days ago
141.

bob    

Rachel Uchitel, sold out by Gloria Allred, for Money, Gasp!

Ummm, isn't this what Allred does for a living?

1138 days ago
142.

Rob    

FINALLY someone is going after and suing Gloria '' Ambulance Chaser'' Allred and the best part is it is her former Client hopefully a judge will tell Gloria you will have to pay Rachel that will make Gloria's day lol.

1138 days ago
143.

James    

Gloria Alldred is lucky Nancy Grace is around, or she'd be the biggest parasitic bitch in the country

1138 days ago
144.

kp    

James 4 minutes ago
Gloria Alldred is lucky Nancy Grace is around, or she'd be the biggest parasitic bitch in the country

Isn't that the truth, +
Nancy disGrace is back peddling now trying to save face.

1138 days ago
145.

KAP    

karma karma karma, karma karma karma, karma karma karma!

Hahhahahahahahaaaaa!

They deserve each other. What nonsense, suing men for misbehaving; women thinking that messing with a married man somehow makes them deserving of some special treatment! Now all the money's gonna go elsewhere and poor ol' Tiger can't win a game if his life depended on it. Karma all the way around. I really, really hope that the lawyers that come to Rachel's defense have something personal against ol' Gloria...because the only way this comes out right is if Gloria loses BIG and Rachel's money goes to the lawyers that come to her aid.

1138 days ago
146.

JugEars McKenyan Sr..    

Gloria HatesALLMEN is a freaking skanky disgrace of a human being and every time I see or hear her voice I wanna take a bat to her head.

This sub human woman has been raping other women for decades and anyone who gets tangled up with this devil in the red dress deserves what they get.

As far as Tigger whore number 4, she can rot with this other tramp.

1138 days ago
147.

Puckett    

kp 19 minutes ago
James 4 minutes ago
Gloria Alldred is lucky Nancy Grace is around, or she'd be the biggest parasitic bitch in the country

Isn't that the truth, +
Nancy disGrace is back peddling now trying to save face.

----

Well it's about 30 years too late for that... just sayin'.

1138 days ago
148.

Jim    

Did you really think Gloria Alred was concerned about you or her publicity and money? Geesh, you were pretty stupid.

1138 days ago
149.

Superman    

Both of them deserve to be in the poor house.

1138 days ago
150.

ed    

where are the mexican gang bangers when you need them. come on guys, gloria must have 'disrespected' you on some way esse, don't you want to exact your ghetto revenge on her? i heard she called your chica a puta. thats the truth.

1138 days ago
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