Lindsay Lohan's lawyer has denied claims that the troubled actress stole a £1,550 necklace.
Shawn Holley said she and Lohan, 24, would fight the case if charges were filed.
Los Angeles police investigated whether Lohan took the necklace without permission from a jewellery store last month and presented potential evidence to prosecutors on Wednesday.
If she is charged, it would be another blow for the Mean Girls star who has struggled to complete the terms of her probation on a 2007 drink-driving case and is also being investigated for an alleged assault on a rehab worker in December.
Kamofie & Co, a Venice, California, custom jewellery shop within walking distance of Lohan's home, reported the necklace stolen on January 22, about three weeks after the actress was released from three months of court-ordered rehabilitation at the Betty Ford Centre.