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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
196.

KP    

Can anyone recall if Gloria Allred won any landmark cases in women's behalf...i.e., Rose vs Wade? She seems to be the female attorney of first resort for femmes fatales, but of all these cases Gloria takes on just seem to die on vine into oblvion.

__________

1100 days ago
197.

Politico Pablo    

Never trust any attorney who carries your bags for you at the airport. Next time bring plenty of KY lubricant.

1100 days ago
198.

porkchop    

This woman was single and met a rich married man with whom she had an affair. She has no reason for not getting involved with him in that she was single. Tiger, on the other hand, was a married man and I'm pretty sure he KNEW he was married...so, although she has some poor ethics, HE is the problem. He was looking to cheat and found someone to cheat with despite the wife and kids. Why is she made out to be a "slut"? This is that good old thing called a "double standard"..

1100 days ago
199.

Ewwwww    

Fugly......both of them! I think they should spend less time in front of the cameras.

1100 days ago
200.

JM in San Diego CA    

Too bad she couldn't settle for her 15 minutes of fame. She had to stretch it out. Celebrity rehab, indeed! What a load!

I bet she'll be changing sheets at a small-town motel by this time next year. ... either that or soiling them.

1100 days ago
201.

Tyrone    

She should have taken her $10M and kept a low profile. Of course she's in breach of her confidentiality agreement.

1100 days ago
202.

Who Farted    


This story has 5% truth to it, 95% LIES. TMZ spins ****...they lie.

1100 days ago
203.

Barbara    

As if this story wasn't ridiculous enough to begin with, it has now been taken to whole new level of twisted!

Gloria Alred has always been about extorting women in the name of justice. I have no idea how she sleeps at night.

1100 days ago
204.

rose    

NEVER.....NEVER.....NEVER....have I seen such a STUPID PERSON

1100 days ago
205.

twilightmom    

I watched that entire season of "Celebrity Rehab", and I saw or heard *nothing* that I felt could be inferred that it was about TW.
The majority of the season she was focused mostly on Andy, her fiancée who was killed in 9/11. I truly believe, after all she said and did, that his death was what f'd her up. I think she's just looking for that "love" again.
There's abandonment issues, fear of trusting and having them leave, etc. (I don't agree with the fight w/ Andy's parents after his death about the $$$ paid out to the victims families. She *almost* appeared to be a really, really nice person. She's been through a lot since 9/11, granted a lot of those things were her own fault. But listening to what she said in the group/ 1:1's one could think she might be a half decent person. She just needs to curb her enthusiasm that's built for $$$$
Ok...now I expect to be bashed because I dared to speak how I felt about this woman although my impression is so different than anyone else.

1100 days ago
206.

Karma_Kool    

Hey Rachel --

Karma is a bitch, isn't it? Didn't your Momma teach you "Pigs get fat, Hogs get slaughtered."? Greed and grime is NEVER the answer.
Go back to your addiction -- sucking *****.

1100 days ago
207.

Jethro    

LOL! Get your money, Tiger! Hahaha!!!

1100 days ago
208.

Diamond    

Gloria Allred has always been a slimy snake of a lawyer. She's no different now than she was when scamming the $$ from Tiger Woods to begin with. Rachel Uchitel sure didn't mind dealing with the ssssssnake when she was getting big $$ for being a whore.

1100 days ago
209.

Everyones~A~Star    

Most home wreckers dont get paid millions of dollars. She shouldnt have been allowed a dime that should have been tigers babys money. you know his KIDS he had with his WIFE. God Rachels such a super tramp ya ya you spread yer legs and destroyed a family....so WHAT? If she had any respect at all for the fact she ruined Elins life she would have shut her tramp mouth all along.

1100 days ago
210.

Hearthetruth    

Why is TMZ and the media so obsessed with Tiger Woods divorce, as if he were the only celebrity who has ever cheated on his wife. So here are a few more that TMZ is choosing to ignore.

Jesse James, Ethan Hawke, Dennis Quaid, Mick Jagger, David Duchovny, Richie Sambora, Ryan Phillippe, Criss Angel, Frank Gifford, Donald Trump, Prince Charles, Eric Benet, Dean McDermott, Danny Moder, Jude Law, Woody Allen, and Arnold Schwarzenegger who even cheated with another woman in the same bed him and his wife sleep in. But for TMZ I guess it's ok for them to cheat on thier wives.

1099 days ago
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