Lindsay Lohan prepares to sue jeweller

Lindsay Lohan is reportedly preparing to sue the jewellery company she is accused of stealing from.

The 'Mean Girls' actress is reportedly preparing a lawsuit against Kamofie & Company for using her image to profit without permission, after it sold CCTV footage of her in the store on the day she is accused of stealing a £2,500 necklace.

The video was sold for at least $40,000 and will be aired tonight (08.03.11) on US show 'Entertainment Tonight'.

A representative for the jeweller has, however, said they felt it was "necessary" to release the video.

A statement to website TMZ read: "We hope that everyone understands that this is beyond our control, the flood of the requests to see this video were simply too overwhelming.  It was truly necessary to put it out."

Meanwhile it has been claimed Lindsay - who is still on probation after completing a court ordered rehab stint in January - will not accept a plea bargain for a six month jail term, offered by the District Attorney when she returns to court to face judge Keith Schwartz on Thursday (10.03.11).

This is partly because her attorney, Shawn Chapman Holley, thinks they have a strong chance of getting her sentence reduced to between 30 and 45 days in light of the video being leaked.

If Lindsay – who maintains she was loaned the necklace - doesn't take the plea deal her case will will proceed to trial and be referred to Judge Stephanie Sautner, who has a reputation for being firm but fair.

A source told website Radaronline.com: "Judge Sautner doesn't care if you are a celebrity or not, she is fair, but make no mistake, with repeat offenders, she shows no mercy."