Mike 'The Situation' Sorrentino's Settlement With Ex-Management Firm Hits Bump

Gotham NYC Entertainment is hauling Jersey Shore's Mike Sorrentino into court again.

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The management company sued Sorrentino in July 2011 after being dropped shortly after "The Situation" hit it big on the MTV reality show. In May, the parties struck a confidential settlement.

Well, it was confidential until Sorrentino allegedly failed to pay one of the installments on a $250,000 agreement to make the dispute go away. Now, Gotham has filed new claims in New York Supreme Court, seeking amounts due.

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According to the terms of the settlement, Sorrentino and his MPS Entertainment company were to split up the $250,000 settlement into eight installments. (Gotham also was going to get an additional $50,000 for a seventh season of Jersey Shore, but the series was canceled last year after six seasons.) The last payment for $35,000 was due Jan. 1.

"As of Feb. 15, 2013, Defendants have failed to make this payment," said a recent motion for summary judgment filed by Gotham.

Gotham told the judge that the agreement allows them to now collect $35,000 plus pre-judgment interest at a 9 percent rate, plus attorney's fees and other legal expenses.

In the original 2011 lawsuit, the management firm demanded $1 million from Sorrentino as a result of "discovering" him and "helping him reap substantial monies as a performer and personality" before being terminated and being denied the fruits of his success.

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Soon thereafter, Sorrentino responded that Gotham NYC had first breached the terms of the management agreement by allegedly failing to perform its own obligations, making false statements about him, and more. The reality star filed a countersuit that claimed the management company had committed fraud and sought to recover allegedly illegal commissions.

The two sides found a way to rest the disputes with a settlement, but now everyone is back in court.

Richard C. Wolfe, the attorney for Sorrentino, says his client has now made the last settlement payment.

But that hasn't ended the matter because there's legal fees, expenses, and interest.

Email: eriq.gardner@thr.com; Twitter: @eriqgardner