The actress and her mum were on their way back from an evening at a nightclub in New York City when they became embroiled in a heated dispute over a $40,000 (£25,000) loan the Mean Girls star is said to have given Dina to help with mortgage payments.
The argument escalated when they got home, prompting Lindsay to phone her dad Michael and ask him to call police to investigate the domestic incident.
No arrests were made and Lindsay and her mother soon patched up their differences – they were spotted hugging each other outside the Long Island property in front of the paparazzi hours later and the travelling actress later tweeted that she missed her mum.
Now, editors at TMZ.com have obtained legal documents showing the extent of Dina Lohan’s money issues, revealing she almost lost the house to foreclosure in 2010 after falling behind on payments to JPMorgan Chase Bank.
She managed to work out a new mortgage deal with bank bosses to save her home, and allegedly borrowed funds from her famous daughter to make ends meet.
But Dina reportedly continued having trouble making the monthly payments and is recently said to have turned to Lindsay to lend her $40,000 to avoid another bid for foreclosure.