Michael Avenatti’s financial meltdown
It’s a good day to not be Michael Avenatti. A California judge has ordered the showy cable-news lawyer for Stormy Daniels to pay his former Newport Beach law partner $4.85 million for failure to pay back a debt.
The order stems from an agreement that allowed Avenatti’s law firm, Eagan Avenatti, out of bankruptcy in 2017. As part of the agreement, Eagan Avenatti LLP agreed to a settlement with his former non-equity partner Jason Frank’s law firm and the IRS.
The firm agreed it would pay $4.85 million in two installments. If a payment was missed, that amount would balloon to $10 million.