Mel B could face "catastrophic" legal costs from her divorce lawsuits.
The former Spice Girl is currently battling through three separate court cases pertaining to her divorce from estranged husband Stephen Belafonte, and friends close to the star are reportedly worried that the legal costs will spiral out of control as she's "prepared to put everything on the line" to win the cases.
Mel is taking legal action against both Stephen - with whom she has five-year-old daughter Madison - and their former nanny Lorraine Gilles, who she claims had threesomes with them, got pregnant with Stephen's child and had an abortion during his and Mel's marriage.
A source close to the singer told The Sun newspaper: "Mel's lifestyle has always been pricey, but these legal bills are another level. She knows the consequences could be catastrophic if she doesn't settle, but she's not used to backing down.
"She is absolutely furious with Stephen and with Lorraine, and is passionately fighting both of them through the courts. But she's playing with fire and seems prepared to put everything on the line to get back at him."
The news comes after it was reported that Mel - who also has Phoenix, 18, and Angel, 10, from past relationships - could be hit with a £1.6 million bill after Lorraine, 26, won the right to sue her for defamation.
Lorraine insisted Mel, 42, had invited her to be part of the threesomes, they had also had a sexual relationship, and her pregnancy was the result of sleeping with someone else.
She is suing for libel, invasion of privacy, and intentional infliction of emotional distress and is seeking unspecified damages, which could cost Mel up to £1.6 million if Lorraine wins.
Judge Lyons "strongly urged" the parties to settle out of court before the costly case goes to trial.
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