Lohan Settles Suit Over 2007 Highway Chase

News of the settlement comes one day after the troubled starlet began her house arrest

Friday, May 27, 2011  |  Updated 4:15 PM CDT
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Lindsay Lohan is settling old legal woes.

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Lindsay Lohan has crossed off another legal woe from the list.

The troubled starlet Wednesday settled a lawsuit filed by a woman who was chased by Lohan in a pre-dawn pursuit that has haunted the actress in civil and criminal courts for nearly three years.

Tracie Rice had claimed she was traumatized and lost a well-paying job because of the incident, court records show.

Rice was a passenger in a car driven by the mother of Lohan's former assistant, who the actress pursued down the scenic Pacific Coast Highway in July 2007. The chase ended with Lohan's arrest in the parking lot of the Santa Monica Police Department; Rice has said she thought the actress was trying to carjack her.

No details of the settlement, which was first reported Friday by celebrity website TMZ, were released.

"Lindsay is very pleased to put this unfortunate event behind her," her attorney, Ed McPherson, wrote in a statement.

Lohan was arrested twice for driving under the influence in 2007, and remains on probation for offenses. She has struggled to comply with the terms of her release, with three separate judges sending her to jail since July 2010.

The "Mean Girls" star was sentenced to four months in jail last month for violating her probation by taking a necklace without permission, and on Thursday surrendered to authorities and began serving her term on house arrest. She is expected to spend roughly 35 days on home confinement.

Rice's case against Lohan has been repeatedly delayed in the past year because of Lohan's stints in jail and rehab. Rice's attorney, Paul L. Hoffman, did not immediately return a call seeking comment Friday.

Lohan is also being sued by three men who were in the sport utility vehicle the actress used to pursue Rice. McPherson wrote the actress expects to be vindicated in that case.

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