Chelsea Houska and Cole DeBoer have a brand new baby at home.
This is very exciting for the couple.
But Chelsea Houska and Cole DeBoer also have a brand new lawsuit on their hands.
And this is a very frightening prospect for the couple.
According to court documented obtained by The Sun, the former Teen Mom OG, her husband and the companies C&A Enterprises and The William Gerard Group have all been sued for breach of contract by consulting company Envy in April 2020.
To be specific, they’ve been sued for a whopping $3 million.
The context and details behind this lawsuit are a little confusing, but they mostly boil down to this:
Houska and DeBoer are accused of withholding money they earned via various promotional deals… after the aforementioned consulting business helped the pair set up these deals.
Envy alleges in the lawsuit that the company entered into a contract with The William Gerard Group in 2015, agreeing at the time to provide consulting services to Chelsea and Cole.
They did so exchange for a portion of revenue made from these brokered deals.
Per the lawsuit:
Envy worked as a “consultant to negotiate appearance, endorsement, licensing, royalty and television agreements and related contracts” from 2015 through 2019.
This is a pretty standard arrangement.
Reality stars often earn a fair share of money from social media posts and all types of appearances and/or ads, many of which are set up by a third party that specializes in endorsement deals.
The problem in this case, according to the court papers?
Chelsea and Cole “failed to pay any of the contractually required fees.”
The couple — who welcomed a daughter named Walker June on January 25 — were obligated to pay Envy 35 percent of all fees or royalties for domestic deals … and 40 percent for foreign deals.
The lawsuit states that Chelsea and Cole “breached their contracts by directing certain Brands to directly pay Houska, DeBoer, one of the other Shared Clients, and/or other persons or entities to avoid paying Envy Licensing Fees.”
The ex-MTV stars also “both failed to perform, without any cause or reason, many of their responsibilities to the Brands.”
Due to the efforts of Envy, the company claims Houska and DeBoer earned millions of dollars.
However, they allegedly did NOT give Envy the cut of these deals to which they had contractually agreed.
The parents of three (four total for Chelsea, who shares a daughter with ex Adam Lind) are fighting and clapping back, though.
They and their co-defendents filed a counterclaim in May 2020, alleging Envy actually withheld $150,000 from them.
The reality stars claimed the following in their own legal allegation:
Envy has “actually harmed the professional careers of Defendants Chelsea and Cole by withholding considerable payments from them and acting in an unprofessional manner, including but not limited to, arguing with and acting disrespectfully toward Chelsea and Cole, potential and then-existing licensing contacts, and other professional contacts of Chelsea and Cole.”
For now, Chelsea and Cole aren’t allowing this controversy to get them down.
DeBoer is simply gushing over his new baby, while Houska is having some fun and keeping it real on social media.
“Five days postpartum. Still rocking a tummy that looks a bit pregnant and some huge milk boobs,” she wrote recently as a caption to the snapshot down below.
“Also, let’s keep it real real. The belly’s still chilling.”
You gotta love these two, don’t you?
Unless they really did steal money from you, we guess.
That wouldn’t be cool.