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Valparaiso Univ. Law School

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Monday, February 13, 2012

Will a Contracts Suit Kill a Reality Star's Career?

HousewifeAt right, we have an image of housewifery form the 19th Century.  Times have changed.  The Huffington Post reports that the Bravo network may soon replace Real Housewives of Beverly Hills personality Taylor Armstrong, who is being sued by MyMedicalRecords.com for $1.5 million in a breach of contract lawsuit.  The suit originally named both Taylor and her husband, Russell Armstrong, as defendants.  However, in August 2011 after suit was brought, Russell committed suicide, leaving Taylor to answer the lawsuit alone.

According to HuffPo, Russell was the largest shareholder of MyMedicalRecords.com, which at the time was a privately held company.  The company provides “secure Personal Health Records and electronic safe deposit storage solutions.”  The company discovered that Russell was misappropriating investor money and also diverting shares of the company.  The company removed Russell from the board, and he signed a $250,000 settlement agreement.  The settlement required that Russell identify parties to whom he had sold shares of MMRGlobal.  When he failed to do so, the $1.5 million dollar lawsuit followed.

Money is not the only thing at stake for Taylor.  Co-star Camille Grammer, ex-wife of Kelsey Grammer, told The Huffington Post that chances are good that Taylor will not be asked back for Season 3 of Real Housewives of Beverly Hills.  According to Grammer, Bravo executives “are going to start casting, looking for new housewives.”  HuffPo speculates that Bravo executives could be deposed in the lawsuit, as MMRGlobal’s attorneys seek information about Taylor’s income and how it might have been disposed of.  

[JT and Janelle Thompson]

 

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