'Real Housewives' Star Erika Jayne Settles $25 Million Lawsuit Before Trial

Erika Jayne won't be heading to trial in her monster $25 million legal war tied to ex-husband Tom Girardi ... because the whole thing was settled at the last minute.

Lawyers informed the judge Thursday the case had officially been resolved ... just days before jury selection was supposed to kick off.

The lawsuit stemmed from the collapse of Girardi's now-defunct law firm, Girardi Keese, with the bankruptcy trustee accusing Erika and her companies of burning through more than $25M in firm funds on glam expenses and personal bills.

Erika has denied wrongdoing from the jump and was never criminally charged.

According to PEOPLE, the settlement terms are still under wraps ... but the agreement wipes out all pending hearings, motions, and the looming courtroom showdown.

The case had dragged on for years with delays, mediation attempts, and nonstop legal sparring before both sides finally struck a deal. And get this ... Erika practically predicted the outcome herself during "The Real Housewives of Beverly Hills" reunion ... when Andy Cohen asked what would happen if she lost at trial.

“You can fight it out in court, you can cut a deal, you can die in the streets," she said -- and well ... she cut the deal.

The legal mess has been hanging over Erika ever since Girardi's empire imploded in 2020 amid allegations he stole millions from clients. In 2024, Girardi was convicted on multiple wire fraud charges tied to claims he embezzled more than $15M.