Looks like Chelsea Houska and Cole DeBoer might be having some financial troubles!
The couple is being sued for $3 million after being accused of breaching a contract with a promotional company. They're denying the claims, but that doesn't mean they're off the hook.
The couple just built a new home, welcomed a fourth child, and decided to quit Teen Mom 2, so they might be a bit tight on cash.
Now, the couple is issuing a statement on the showdown.
According to The Sun, Chelsea’s company C&A Enterprises and The William Gerard Group were sued for breach of contract by Envy last April.
The company claims they entered into a contract in 2015 with The William Gerard Group to consult Chelsea and Cole. In exchange, Envy was to receive a portion of the couple’s promotional revenue.
Chelsea’s father Randy and her three kids were included in the contract as well.
The outlet reports that Envy worked as a “consultant to negotiate appearance, endorsement, licensing, royalty and television agreements and related contracts” from 2015-2019.
The lawsuit claims that Chelsea and Cole failed to pay the money that was due in accordance with their contract. They were required to pay 35% of all fees and royalties for domestic deals and 40% for foreign deals.
According to court papers, the couple “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.”
Chelsea and Cole also “failed to perform, without any cause or reason, many of their responsibilities to the Brands. This included, but is not limited to Bombay Hair Wand, Carseat Canopy, Daniel Wellington, Diff, Fab Fit Fun, Highway3, Kitsch, Kitsch Hats, Loving Tan, One Memory Lane, Perfekt Beauty, Profile Sanford, Sintillia, Sparkling Organics Sipp, Sugar Bear Hair, Teami Blends, and Timeless Organics.”
As fans know, a lot of Chelsea’s content is promotional content, so $3 million seems fairly reasonable for four years of constant promotional work. Court papers claim Chelsea and Cole made “millions” from these deals.
The couple filed a countersuit, alleging that Envy withheld $150,000 from them. They deny the allegations and claim they “do not owe any payments to Envy.”
“Envy wrongfully withheld payments due to Chelsea,” the countersuit claims. Chelsea also alleges that Envy does not have any deals with her children.
The countersuit also claims that Envy “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."
They said the company “intentionally omitted numerous deals and/or revenues from the Account Statements for the sole purpose of depriving Chelsea, Cole, and TWGG from receiving funds rightfully due and owing to them.”
The countersuit is asking for the original lawsuit claims to be dismissed and to receive any “monetary damages” they’re still due.
In a recent filing, Chelsea claimed she was unable to appear in court until March due to her recent pregnancy and birth. The lawsuit was also filed before Chelsea and Cole made their decision to leave the Teen Mom franchise.
Now, Chelsea and Cole's team is speaking out.
A rep for Chelsea and Cole addressed the showdown in a statement to The Ashley's Reality Roundup.
“This is nothing more than a frivolous lawsuit by a disgruntled ex associate [of Chelsea and Cole’s] who was terminated for breach of contract,” the rep revealed in the interview. “Our client looks forward to their day in court when the truth will come out.”
However, The Ashley reports that Chelsea and Cole themselves had "no comment."
What do YOU think about their response?
Chelsea Houska Reveals Sad Update About Daughter Walker
Chelsea Houska recently shared a major update with fans: her fourth baby was coming soon!
"Running out of room in there!" Chelsea shared on a new photo of her growing baby bump.
Unfortunately, this pregnancy has been quite hard on her.
"Ohhhhh baby," Chelsea shared on Instagram.
"I've been SO emotional this pregnancy... everything I buy im like oh my gosh what if this really IS the last time buying tiny little newborn items?" she wrote.
"I'm soaking in all the kicks, swollen ankles and back pain this time around because I really am just so grateful," she shared, adding, "I'm the luckiest mama."
Now, her baby is here!
"Walker June ... 6lbs 1oz 🌻" Chelsea captioned this shot of her beautiful new baby girl.
"She decided she wanted to share a birthday with her big brother, Watson and surprised us by coming last night," she wrote.
Fans were ecstatic about the news.
"Walker June is perfection!!! Congratulations to you and your family on this beautiful baby girl!!!!" one wrote.
Even Kail chimed in, "OMG CONGRATULATIONS 😭😭😭"
But now, Chelsea is sharing some disappointing news.
One fan brought out some sad emotions in Chelsea during a recent Instagram Q&A.
"Do you still think Walker will be your last baby?" they wrote.
Chelsea replied, "I don't know," with some pouty emojis. "Makes me sad to think about!"
But fans on reddit aren't buying it.
"There's no way Walker will be her last. I'm calling it now lol," one fan wrote.
Another penned, "I’m thinking two more. She isn’t even thirty. There is no way she isn’t going to get emotional over 'aging' out of fertility and not pop out more closer to 40."
Meanwhile, Chelsea's recent choice to use her daughter in an advertisement got fans riled up!
Chelsea Houska recently announced that she was not going to return to Teen Mom 2, but she still needs to make ends meet somehow.
Even though she likely has a great deal saved from her salary, like most influencers, she'll likely keep raking it in with paid promotional partnerships.
But fans were shocked that mere days after having her fourth child, Chelsea is already using her to advertise.
"Presets have been so nice since we weren't able to have a birth/newborn photographer this time around," Chelsea captioned a black and white version of her birth announcement. This refers to purchased preset editing software that can enhance a photo without having photo editing skills.
She added, "Code: Walker10." That's right: she used her baby in an ad!
Fans were NOT feeling it.
"Baby’s first sale, put that in her baby book," commented user emland83 on reddit.
"This feels so gross. Not even a day old and already have to work more than her mom," wrote user illegalfelon. User bodybymacdonalds agreed, "Chelsea can’t even spend 48 hours with her newborn without exploiting her for money? And people actually thought she was thinking of her kids when she left the show. Ha."
What do you think about Chelsea's update? Let us know in the comments and SHARE this article!