Lawsuit Against Studio City's Teri Hatcher Continues

A judge said today said he is inclined to deny motions by Teri Hatcher's attorneys to throw out a lawsuit brought against the actress by a former business associate, who alleges the "Desperate Housewives" co-star broke a promise to share earnings from a business deal.

Los Angeles Superior Court Judge David Minning issued his tentative ruling after hearing testimony from a computer expert concerning the whereabouts of privileged communications and confidential information the defense alleges may have been used by plaintiff Jennifer Glassman's attorneys to their own client's disadvantage.

Hatcher's lawyers also asked Minning to consider fining Glassman and her legal team $91,000 and to disqualify her attorneys from continuing to represent her.

"I think were' barking up a tree looking for something we don't know," Minning said.

He said Hatcher's lawyers can bring the issue up again if they obtain more evidence.

"If you find something, I'll listen to you," he said. "Let's get on with this case."

Minning also said a stay on the case will be lifted tomorrow, and he scheduled a trial-setting conference for June 13.

Glassman's attorney, V. Andre Sherman, maintains that all of the documents sought by the defense can be accounted for.

"In no way have defendants been prejudiced," Sherman's court papers state. "A complete compilation of all documents retrieved from (Glassman's) computer has been preserved with a third-party vendor and (Glassman's) counsel has not used any privileged nor confidential information to their advantage."

Sherman declined to comment on the judge's tentative ruling, saying it speaks for itself.

Glassman filed her suit against Hatcher and ABC Studios in August 2010, alleging fraud, wrongful termination and breach of contract.

The veteran marketing executive says she went into business with Hatcher in 2006 to run the star's  company, ISBE Productions, in exchange for half of the profits. But Hatcher and ABC attempted to exclude her from any revenue sharing and did so just prior to the successful launch of a prominent website supported by Disney, Glassman alleges.

In February 2010, Hatcher notified associates through a mass email that Glassman had been fired, which the plaintiff alleges was intended to "eliminate her from the picture, business-wise."

But Hatcher's court papers allege Glassman intentionally destroyed computer evidence containing privileged communications in March, despite being ordered six months earlier to preserve the information.

The 47-year-old actress' court papers state that holes were drilled into two hard drives and that other drives were swapped out or manipulated. A USB drive was destroyed with a hammer, according to Hatcher's legal team.

Her lawyers argued in their court papers that Glassman's case should not be allowed to proceed "in light of this rampant destruction and manipulation.

See Patch's interviews with "Desperate Housewives" cast members here: