A settlement between Real Housewives of New Jersey star Teresa Giudice and her creditors has been approved.

Giudice settled her case a U.S. Bankruptcy Court judge in Newark, leaving her free to pursue the legal malpractice lawsuit against her former bankruptcy lawyer James Kridel.

Giudice’s suit blames the fraud charges and her incarceration on her former lawyer’s mistakes. Kridel has called the lawsuit “absurd.”

Under the new settlement, Giudice will keep 55 percent of any potential winnings from the legal malpractice suit, with the remaining 45 percent going to any remaining creditors.


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Giudice finished a 15-month prison sentence last December after she and her husband, Joe Giudice, admitted they hid assets from bankruptcy creditors and submitted phony loan applications to get $5 million in mortgages and construction loans.

She was not in the courtroom on Friday.

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