Lindsay Lohan arrived at a Los Angeles court on Wednesday to face a charge of felony grand theft for allegedly stealing a $2,500 necklace from a jewelry store.
The 24-year-old actress appeared in a tight, white and long-sleeved mini-dress. If convicted, she could be sent to state prison for up to three years.
Her lawyer, Shawn Chapman Holley, said the actress denies the allegation.
Lohan has completed three stints behind bars and is on probation in a 2007 drunk driving case. A judge is set on Wednesday to determine if Lohan violated its terms, which required her to obey all laws and undergo random drug and alcohol testing.
Lohan is accused of stealing the necklace from Kamofie and Co., a store located in the Venice area of Los Angeles on January 22, three weeks after she was released from court-ordered rehab.
The Los Angeles Police Department issued a search warrant on February 2 for Lohan's home to try to find the necklace. The item was returned to police before it was served.Lohan had relocated to the Venice area after she underwent treatment at the Betty Ford Center. Her rehab stint was part of a punishment handed down for violating the terms of her probation stemming from her drunk driving case.
Lohan pleaded guilty in 2007 to being under the influence of cocaine and no contest to driving with a blood-alcohol level above 0.08 percent and reckless driving.
Lohan is due to appear at a probation hearing on February 25. A judge is expected to rule whether or not her supervised probation could end.
Lohan's three stints behind bars have each lasted 84 minutes, 14 days and 15 hours - the last of which occurred in September after she failed a drug test and wrote about it on her Twitter page.
The stolen necklace case is the second active police investigation that could send Lohan to jail if a judge determines she has violated her probation.
The actress is also currently under investigation from Prosecutors in Riverside County who are considering pressing battery charges against Lohan over a December altercation the actress had with a worker at the Betty Ford Center.