The troubled actress appeared at a Los Angeles courthouseon 23.02.11 for a hearing focusing on the accusation she stole a $2,500 necklace from upmarket jewellery store Kamofie & Company, in Venice, Calirfornia.
Lindsay - who has pleaded not guilty to the charge - was informed by Judge Keith Schwartz she can expect to serve a prison sentence if she accepts the deal offered to her by the District Attorney, details of which were not revealed.
Before the hearing started, the judge met in his chambers with the `Machete` star`s attorney Shawn Chapman Holley and prosecutor Danette Meyers to discuss the plea bargain, and admitted he came away with the impression Lindsay was not interested in taking it.`
Addressing Lindsay, Judge Schwartz said: "I`ve never met you before the last court appearance - I treat everybody the same. I don`t care that you`re LindsayLohan.
"I don`t want you to be a repeat offender in the system. I want you to get on with your life and reach whatever potential you have. Quit causing your family additional stress."
Judge Schwartz set a new court date for March 10 and at that hearing Lindsay must either accept the plea bargain, or plead not guilty or guilty to the grand theft felony charge.
If she pleads not guilty her case will go in front of another judge for a preliminary hearing and then she will face trial over the alleged necklace theft.
The 24-year-old blonde - who is free on $40,000 bail - was also told by Judge Schwartz if the matter is settled by him then she will face a jail sentence and he also warned if she pleads guilty or no contest then he will rule that she is in violation of her earlier driving under the influence (DUI) order
He stated: "This case does involve jail time, period. If you plead in front of me, if it`s resolved in front of me, you are going to jail, period."
Lindsay has always insisted she never stole the necklace but was told she could borrow the piece of jewellery by the store owners in return for publicity.