Radar Online is running a quote from Carrie Prejean’s indignant lawyer that sounds like it basically confirms that the solo sex tape of his client exists. He speaks in legalese about it, but you can tell that he’s considering suing the pageant for bringing up the sex tape in the court case, and that he’s not referring to the outlets reporting that there is such a tape. The news came out yesterday that Carrie immediately dropped her lawsuit once the sex tape was brought out by Miss California pageant. She was hoping for $1 million for getting canned by the pageant, but she went away with her legal fees paid and that’s it.

“In my 26 years of practice I have never dealt with a situation like this,” her attorney Charles Limandri told RadarOnline.com in an exclusive interview. RadarOnline.com is aware of the existence of a raunchy sex tape of Prejean that is being reported as the reason she settled the lawsuit. “It seems as if someone has acted in an unethical and unlawful manner by even raising this issue,” said Limandri. “We are weighing our options and if this is a breach of contract we are considering suing for punitive damages.”

Prejean sued the pageant after she lost her crown, claiming they were discriminating against her religious beliefs. In the Miss California Pageant counter suit, they claimed that Carrie never paid the organization back for her breast augmentation surgery and tried to have the pageant director Keith Lewis fired.

The settlement was reached Tuesday and a joint statement said: “Carrie Prejean, Keith Lewis and K2 Productions have dropped their claim against each other and wish each other the best in their future endeavors.”

While he would not deny or confirm the existence of a sex tape, Limandri told RadarOnline.com: “In the agreement everyone agreed to deny previous claims and accusations.”

[From Radar Online]

Yeah, that tape totally exists. Reading this at first I thought “there’s no way Carrie is going to sue, she just wants this to go away.” On the other, ahem hand, this girl will do anything to extend her 15 minutes so I wouldn’t be surprised. TMZ has more details about how the tape was shown in front of Carrie and her lawyer. The story is pretty amusing.

We have more info on Carrie Prejean’s abrupt about-face during the settlement negotiations with Miss California USA lawyers — when they showed her the X-Rated version of Home Alone … starring Carrie herself.

When the video started playing, Carrie’s first reaction was “that’s disgusting” … and Carrie denied it was her.

Then, the camera angle changed … and panned up to her face. She was caught red-handed … so to speak.

Carrie was rendered speechless and immediately began talking with her lawyer. We’re told it took about 15 seconds for Carrie to drop her $1 million dollar demand.

[From TMZ]

It may seem unethical for the pageant to play their trump card, so to speak, but making a sex tape clearly violates the pageant’s contract, among all the other ways that Carrie flouted her duties. The best part of all this is that Carrie’s now ironically named book, Still Standing: The Untold Story of My Fight Against Gossip, Hate, and Political Attacks, comes out on Monday – and it’s put out by a Christian publishing company. She also appears as Miss October in the 2010 Great American Conservative Women’s calendar, and has been making appearances at conservative Christian activist events. All of that doesn’t jibe with her boob job, sexy pics and sex tape. I wonder if she’s going to skip some of her scheduled promotional appearances out of pure embarrassment. Sadly, the increased notoriety from this sex tape story may only increase her book sales. I forsee a reality TV show in her future.