>> Unsurprisingly, Designer Emanuel Ungaro Unhappy with Current State of His Namesake Label — On Monday night, Emanuel Ungaro, who hasn't had any contact with his eponymous label since he left in 2005, told French press: "Lindsay Lohan's collaboration was a disaster. I am furious but I can't do anything about it." He also regrets that the fashion house he started "is in the process of losing its soul. That happens to a lot of designers. We were the creators and patrons, responsible for the creation and destiny of our houses. But when we gave up our houses, we gave up our souls." [Independent UK]

>> Ungaro to Reinstate Couture? —Lindsay Lohan gave an interview last week about her experience with Ungaro, in which she said she was "learning" and headed back to Paris to work on the next collection: “It’s already in January. I thought it was in March." The last comment left some wondering if it meant Ungaro's couture division, which was shuttered in 2004, might be reinstated — since Spring 2010 couture is shown in January — but Lohan was likely just referring to Ungaro's Pre-Fall 2010 collection — the brand's Pre-Fall 2009 collection was shown this past January. [People, Jezebel]

>> Lindsay Lohan Still In Place at Ungaro, Invites Miley Cyrus to Attend Show Sunday —Lindsay Lohan debuts the first collection she designed with Estrella Archs for Emanuel Ungaro on Sunday during Paris Fashion Week, and despite rumors that she might already be on the outs, she is indeed in Paris and just saw her office earlier today: "It's so pretty! I was shocked&so happy I cried!!! A dream come true!"  The show's front row could turn out to be like Marc Jacobs's of yore: she's been busy at work inviting Miley Cyrus and Sarah Silverman to attend. [Lindsay Lohan Twitter, Lindsay Lohan Twitter, Lindsay Lohan Twitter]

Update: Lohan may be getting her boldface friends to attend the show, but apparently a number of buyers have declined their invitations to Ungaro due to her participation. [StyleWriterNYC Twitter]

>> Lindsay Lohan Already On the Outs at Ungaro? —Ungaro CEO Mounir Moufarrige seemed ready for all the diva moves new brand artistic director Lindsay Lohan might pull, but not even a week since her appointment was announced, she's already skipped a scheduled call with the Wall Street Journal and refused to pose for pictures at Ungaro's Fashion's Night Out event — and those are just the documented offenses.  The latter move, however, has prompted a rumor that she might be fired . . . [The Cut Twitter]

>> Mounir Moufarrige, who famously replaced Karl Lagerfeld with 25-year-old Stella McCartney at Chloe in 1997, is at it again: He's signed an almost-unknown chief designer, Estrella Archs (left), and Lindsay Lohan as an "artistic adviser" to replace Esteban Cortazar at Emanuel Ungaro, in hopes that they will bring attention — good, bad, or otherwise — back to the brand.  Their first collection — for Spring 2010 — is expected to be shown on the runway in Paris, and Archs and Lohan will likely come out together for the bow at the end.

Ungaro CEO Moufarrige decided to forego a proven, well-known designer, he told WWD, because the days of "designers in their ivory towers" are over.  He thinks that Lohan will lend a vital "consumer" voice: "Designer-led fashion is likely not to be enough [for Ungaro]. It’s a slow process going the traditional route [because designers need a couple of years to get into the house's skin]. Not enough just doesn’t get you anywhere.” And he maintains that "it's not an act of desperation to get a real diva [like Lohan] involved. I like controversy." 

Lohan now has a multiyear contract with the brand »

>> Esteban Cortazar, Ungaro Still Working Things Out —Despite rumors of creative differences and the serving of a lawsuit, Esteban Cortazar and Ungaro, who were expected to part ways, are still attempting to patch things up.  Cortazar showed up to the CFDA Awards earlier this month, escorting Arlenis Sosa Pena in Ungaro and saying he was still with the company; further evidence came when the designer appeared at the Ungaro men's show last Thursday and confirmed that he is working on a pre-collection: "For now I am here."  He exchanged a greeting with Ungaro CEO Mounir Moufarrige, who he has been at odds with, and when asked if Cortazar was back, Moufarrige was more evasive: "He's here," he said, pointing at the runway. [WWD]

>> INSIDER WIRE —The situation at Ungaro with Esteban Cortazar is still unclear — though they are still expected to part ways and the designer has served the house with a lawsuit, Esteban appeared at the CFDA Awards on Monday, escorting Arlenis Sosa Pena in an Ungaro dress.  When questioned about his situation, he replied: “I am still there. We are trying to work things out. We have had some differences but hopefully things will work out for the best, whether I am there or not.” [WWD]

>> INSIDER WIRE —After rumors over creative differences between Esteban Cortazar and Ungaro hit last week, it has been confirmed that house and designer are parting ways.  The split doesn't seem amicable, however — word is that Cortazar served the label with a lawsuit, and the house expects to settle. [WWD]

>> Ungaro has had a checkered past as far as designer retention goes, and it sounds like the tradition is carrying on.  Just a few days after rumors hit that creative director Esteban Cortazar was threatening to leave the company, several sources confirm to WWD that the house and designer have reached an impasse over marketing and advertising strategy and plan to part ways.

CEO Mounir Moufarrige is keen to restart the label's provocative ad campaigns, which haven't been done for Ungaro womenswear for years, and is apparently pushing for a celebrity to "help wake up the house," WWD reports.  Ungaro has been talking with six or so candidates, including Lindsay Lohan — hence Tuesday's rumors that she was being considered as a creative consultant to the house.  However, those specific rumors have been disbanded: none of the celebrity candidates would have anything to do with design.

No potential successors to Cortazar have been mentioned, but Moufarrige is known for making unexpected choices; he replaced Karl Lagerfeld with Stella McCartney at Chloe in 1997, when she was 25.