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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

No Avatar
181.

stephanie    

Why shouldn't she retain her fee? She worked for you didn't she? You were the one who couldn't keep her mouth shut about spreading your legs with a known married man. Why should she lose money for services rendered?

1193 days ago
182.

fancypants    

TIger clearly doesn't believe Rachel has any information that can hurt him. For all of you people that let your imginations run wild, Tiger has a girl and Elin has a new man now its time for ya'll to get a life.

1193 days ago
183.

kik    

HA HA HA, that's so good, the bitch is losing all and this horrible lawyer is in trouble...snake against snake, fun fun fun.

1193 days ago
184.

real deal    

If Gloria would have forfeited some or all of her attorneys fees if Rachel was found in breach of the settlement agreement; but gets to keep all of her fees if Rachel gives back a large portion of the settlement, sure sounds like a conflict of interest.

This could be good. Kind of ironic, first Rachel was jilted by Tiger, then by Gloria. I wonder if she'll get a payday from Gloria? A ho's work is never done!

1193 days ago
185.

shahin Sabzehroo    

Although Rachel obviously didn't deserve or earn this money to begin with. I'm really rooting for her on this one. Because Gloria Allred is a HORRENDOUS human being, a man hater, a user and the most miserable lesbian C****T I ever have seen or heard of. I HOPE SHE GOES DOWN BIG TIME!!!

1193 days ago
186.

Sam What Am    

Rachael Uchitel, Gloria Allred, Tiger Woods; isn't there some way EACH of them could lose $10,000,000 in this situation?

1193 days ago
187.

CECESO23    

Why talk to TMZ, why go to Celebrity Rehab, not just everyday rehab? Because she wants further attention and got it via the past affair.

Gloria will be allowed to keep her money.

1193 days ago
188.

dede    

Someone earlier in the comment section said Tiger doesn't get to see his kids alot b/c Elin lives in Sweden w/ them. That's not true Elin STILL lives in Florida w/ their kids....it was part of their divorce agreement [her homes- in Orlando & Palm Beach are like 10 to 20 miles away from both of Tiger's]. Some how that dude knows how to avoid getting his pics taken when he's not playin golf whether he's by himself or w/ the kids.

Elin is currently on vacation in Sweden w/ the kids & that's where the pics of her kissing the new boyfriend comes from. At the time of the divorce TMZ did a story that Tiger hired a lawyer that speacialized in international child custody cases & that if Elin violated the terms in it (ex- kept the kids out of the US longer than agreed on) Tiger could get a court order to bring them back.

1193 days ago
189.

Rogue Warrior    

shahin Sabzehroo 29 minutes ago

Although Rachel obviously didn't deserve or earn this money to begin with. I'm really rooting for her on this one. Because Gloria Allred is a HORRENDOUS human being, a man hater, a user and the most miserable lesbian C****T I ever have seen or heard of. I HOPE SHE GOES DOWN BIG TIME!!!

====================================================

ME TOO! SHE I*S A DISGUSTING PIECE OF HUMAN TRASH, Harvey loves her because she rides on gay parades!!!!!!!!!!!!!!!! REST IN PIECE IN HELL GA!!!!!!!!!!!!!!!!!!!!

1193 days ago
190.

Rogue Warrior    

FYI, just in, GA and RU have been subpenaed to the glory hole, attempts to contact Harvey at TMZ have been unsuccessful, because he's TIED up!!!!!!!!!!!!!!!

FACTOID road lizards!!!!!!!!!!!!

1193 days ago
191.

The Love Sponge    

Shut the f@#k up!

1193 days ago
192.

superchicken    

Well at least she has another 15 minutes .. which is apparently far more important than $10 million. (I don't have either .. just an observation).

1193 days ago
193.

emerald    

LOLOLOLOLOLOL!! It seems Uchitel just can't shut her mouth can she and now she's handing back the lion's share of the settlement she got lol! That's after GA (the embalmed one) got her 30% from the $10 mil settlement and it seems Gloria has ensured she's keeping her portion regardless!!
It would be sweet bliss if Uchitel did everyone a favor and went after GA (the embalmed one) but having profited originally from her extortion tactics I'm not sure she's going to get a dime out of her lol!
Of course the story that Uchitel was sleeping with Elin's latest boyfriend whilst she was also doing Tiger shows her true nature lol! Not sure of the motives of the ex though in dating Elin, who's had to put up with enough in the media!
If only she would just disappear from view, I so hate that the moment the mistress and home wrecker is named the media wants her view on everything and she gets the offer of a reality show or a column in a mag or tabloid sharing her mind numbing opinions with the rest of us as if they are important!! Not just thinking of Uchitel there lol!!

1193 days ago
194.

T-to-the-J    

I think Gloria Alred is a fraud. She files frivolous lawsuits for not only Rachel but other Tiger whores. None of those skanks deserved a dime. That includes Gloria.

1193 days ago
195.

george fudge!    

She probably didn't have much to give back, after getting her lips botoxed, boobs done, butt&thighs liposuctioned, condo in NY, condo in LA, condo in Florida, parties in Vegas, etc.

1193 days ago
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