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Rihanna has decided to drop a multimillion-dollar lawsuit she filed earlier this year, in which she claimed that her former accountants left her “effectively bankrupt” by the end of 2009.
The New York Post‘s Page Six reports she’s reached a settlement with her ex-accountants — Peter Gounis, Michael Mitnick and the firm Berdon LLP — after they filed a countersuit and accused the singer of “exorbitant” spending during her Last Girl on Earth tour.
“The tour did not make as much money as projected,” lawyers for Gounis said, according to court docs. “The tour was what she wanted, just as the exorbitant amount of expensive clothing and other purchases she squandered her money on were…At the end of her two-year spending spree she had rooms of shoes, clothing and jewelry and fond, if not hazy, memories of extravagant parties, but little cash.”
The settlement will prevent the case from going to trial, but lawyers for both sides refused to discuss terms of the agreement, the paper reports.
As previously reported, Rihanna accused her former accountants of mismanaging her fortune of $11 million and advising her to buy a $7 million Southern California home, which she later sold at a $2 million loss.
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