Their divorce led to one of Hollywood’s largest settlements, reportedly $45 million, plus their Santa Barbara estate. Adding to that was Michael’s throat cancer diagnosis, which further fueled media attention. Diandra defended her actions, insisting she was unaware of his illness when she filed her claim and expressed internal conflict over pursuing the matter.

Michael Douglas and Diandra Douglas during the Annual Academy Awards Nominees Luncheon on March 29, 1988, in Beverly Hills, California. | Source: Getty Images
Despite their messy divorce and legal battle, Diandra shared that she harbors no ill feelings toward Michael’s new family with Catherine Zeta-Jones. “I’m really happy that he is madly in love and has two lovely children,” she said in an interview.
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