A Los Angeles judge has ruled that Real Housewives of Beverly Hills star Erika Jayne can be sued for more than $ 11 million in debt her ex-husband Tom Girardi owes to three former clients.
Girardi, 82, owes Joseph, Jaime and Kathleen Ruigomez $ 11 million, following a judgment rendered last year, People reported on Wednesday after reviewing court documents.
The judge in the pending case had previously suspended recoveries over assets from Girardi and his company Girardi Keese, which remains under a fiduciary investigation after Girardi filed for bankruptcy last year.
The latest: A judge in Los Angeles has ruled that Real Housewives of Beverly Hills star Erika Jayne, 49, can be sued for more than $ 11 million in debt her ex-husband Tom Girardi owes to three former clients
The Atlanta-born reality TV star, 49, and his businesses were linked to a $ 20 million transfer from her ex-husband’s firm, according to a special litigation attorney for the trustee, which led the judge to pave the way for clients to bring a Bravo Personality action.
The court declared that “all assets identified by the Ruigomez family will be subject to all the rights of the Girardi bankruptcy estate and the [Girardi Keese] bankruptcy mass, which the parties must meet and consult in good faith to determine the character / ownership of the identified assets.
“The Ruigomez family, the Girardi trustee and the GK trustee will cooperate with each other in their recovery efforts against Erika.”
The Ruigomez family’s struggles in the case were documented in the Hulu document The Housewife and the Hustler last month, as Joe Ruigomez and his relatives claimed that Giriardi was illegally keeping the settlement money in the case attributed in 2013.
Legal issues: Jayne allegedly changed attorneys in pending Chapter 7 bankruptcy, documents obtained by Us Weekly on Tuesday show
The Atlanta-born reality TV star, 49, and his businesses were linked to a $ 20 million transfer from her ex-husband’s firm, a special litigation attorney for the trustee says
Joe’s sister, Jamie, said that while their family believed Girardi “might win” their case for the injuries Joe sustained in the September 2010 gas pipeline explosion in San Bruno, Calif., But “didn’t didn’t know how much of a snake he would be along the way. ‘
Joe Ruigomez said Girardi said he would invest their payment and distribute money on a monthly basis, but was often elusive and vague about family matters, adding that the family filed a complaint after Girardi stopped making payments in 2017.
The family said Girardi agreed last year to pay the family $ 12 million in installments, but never spat more than an initial payment of $ 1 million.
Jayne has allegedly changed attorneys in an ongoing Chapter 7 bankruptcy, according to documents obtained by Us Weekly on Tuesday.
Details: Jayne is also accused of using her businesses to conceal her assets
Charges: Erika’s ex-husband Tom and his former law firm Girardi & Keese filed for bankruptcy last year after being sued for allegedly embezzling client settlement money
Her attorney, Peter Matsan, has filed documents to be removed from Erika’s case following the publication of The Housewife and the Hustler.
Matsan will now be removed from the case and replaced by Evan C. Borges, effective July 5. In his opt-out request last month, the lawyer allegedly cited the Hulu document – which included interviews with former Girardi clients about his alleged embezzlement. settlement funds – as the reason for leaving.
“The relationship of trust that is essential to the proper functioning of an attorney-client relationship has broken down and, according to the lawyer’s good faith assessment, the relationship is irreparable,” the petition reads. Us Weekly.
It comes after Erika slammed another of the lawyers working on the bankruptcy just a few weeks ago.
In previous court documents, Erika has called for lawyer Ronald N. Richards to be excluded from the case for posting “false and inflammatory social media posts and public statements” about him.
The plaintiff creditors made allegations regarding Jayne’s cooperation in a motion accusing Jayne of refusing to submit bank statements to the investigator. Jayne is also accused of using her businesses to conceal her assets.
Erika’s ex-husband Tom and her former law firm Girardi & Keese filed for bankruptcy last year after being sued for allegedly embezzling their clients’ money.
A recent bankruptcy petition alleged Jayne’s companies had received $ 20 million in loans from the company in recent years.
The accountant, divorce attorney and owner of the RHOBH star have all recently been ordered to turn over his financial records in connection with the lawsuit and bankruptcy.
People Magazine reported that Erika will have to provide bank statements and other documents as part of a lawsuit, having previously refused.
The order comes as a bankruptcy trustee continues to investigate Girardi’s assets, amid allegations the couple embezzled settlement funds meant to help families of plane crash victims on Lion Air flight 610.
However, according to legal documents obtained by the outlet, Jayne’s attorneys were already arguing that the reality TV star “has been and remains prepared to cooperate fully with the trustee’s investigation into this bankruptcy of debtor Girardi & Keese.” .
Girardi’s legal license in California was revoked in March, the same month he was diagnosed with Alzheimer’s disease.
Falling apart: Shortly before embezzlement complaint was filed, Erika filed for divorce from Tom after two decades of marriage
Girardi faces a litany of legal issues, including a $ 2 million class action lawsuit for fraud and embezzlement from the company Edelson PC in connection with the 2018 Lion Air Flight 610 crash, in which the 189 people on board died.
He and Jayne have been prosecuted for allegedly embezzling funds intended for the families of the victims, while Edelson PC, a company for their former clients, said in court documents that their divorce last fall was orchestrated to “protect fraudulently Tom and Erika’s money “as they are” on the brink of financial collapse.
In the Hulu doc, attorney Sunny Hostin pointed out that Erika was seeking to have her valuables classified as “separate property” in their separation, claiming they were “gifts for her.”
Shortly before the embezzlement complaint was filed, Erika filed for divorce from Tom after two decades of marriage.
The divorce was called a sham by creditors in their bankruptcy case who alleged their marriage was dissolved in an attempt to further hide their assets, claims Erika has since denied.