Stormy Could Lose Entire Legal Fund to Avenatti in Bankruptcy Court, Be Left With Nothing

Stormy Daniels might not have such a massive cash reserve to fight President Donald Trump in court.

And it’s all thanks to her lawyer, Michael Avenatti, and his personal business problems.

After a court found Avenatti’s firm owes a former attorney $10 million, that same lawyer asked a bankruptcy judge to confiscate a large portion of the $577,000 legal fund Avenatti has raised to help pay costs related to Daniels’ battle with the president.

Daniels — whose real name is Stephanie Clifford — started a crowdfunding effort in March to cover legal bills and other expenses for her lawsuit against Trump over a confidentiality agreement signed in 2016.

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More than 16,500 people have donated to the fund as of Tuesday, which is hosted by CrowdJustice.

Avenatti objected to the motion, according to The Los Angeles Times.

In an e-mail to the paper, Avenatti dismissed the effort to seize the legal funds as baseless and said his old firm, Eagan Avenatti, does not even represent Daniels.

Still, when The Daily Caller News Foundation has called Avenatti in the past, a receptionist has referred to his firm as Eagan Avenatti.

In multiple correspondences with Avenatti, his signature line still says he’s a partner at the firm.

As the L.A. Times notes, Avenatti has used an Eagan Avenatti email address when corresponding with Trump’s attorneys.

“A signature block means nothing,” Avenatti told the newspaper. “And you have no evidence the firm ever represented Ms. Clifford.”

Avenatti claims that Daniels is represented by Avenatti and Associates, a “completely different law firm,” according to him.

According to corporate papers viewed by the Times, Avenatti and Associates is owned entirely by Avenatti and listed its business type as “Eagan Avenatti.”

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