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NY judge nixes Douglas ex's 'Wall Street' lawsuit

NEW YORK - Michael Douglas' ex-wife has lost a bid to cash in on his earnings from his recent "Wall Street" follow-up, with a judge saying her case is too much of a Hollywood divorce to set a sequel in a New York court.

A Manhattan judge dismissed Diandra Douglas' lawsuit against the Academy Award-winning actor in a ruling made public Monday. The judge said the dispute doesn't belong in a New York court because the former couple's complex, multimillion-dollar divorce agreement was hashed out in Santa Barbara, Calif.

"After balancing all competing interests and factors, the California court is the more convenient forum for this matter to be tried," state Supreme Court Justice Matthew F. Cooper wrote.

Michael Douglas was "very happy" with the New York lawsuit ruling, his lawyer, Marilyn B. Chinitz, said Monday. While it stuck to the question of where the case belongs, not who should win, Chinitz said she was confident the actor would prevail if his ex pursues it further. The couple divorced in 2000 after 23 years together.

Diandra Douglas' lawyer said she plans to appeal. Both Douglases have homes in New York, and "the case should be decided here," said the lawyer, Nancy Chemtob.

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