Kathy Hilton Denies Erika Jayne's Claim She Used Gay Slur, Calls Lisa Rinna 'Biggest Bully' on RHOBH Reunion

Things get pretty messy on Part 3 of "The Real Housewives of Beverly Hills" reunion as Kyle Richards says she wants her relationship with Kathy to be "in a better place" — but does Kathy?

We knew it was going to be explosive heading into this third and final part of “The Real Housewives of Beverly Hills” reunion, but our ears are still ringing!

Kathy Hilton finally revealed exactly what happened during their disastrous trip to Aspen that triggered a “meltdown,” prompting Erika Jayne to accuse her of dropping a gay slur during the incident. And that’s not even getting into all that’s going on between Kathy and Kyle Richards, or how Lisa Rinna wound up in the middle of it all.

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Ahead of the reunion, TMZ teased this explosive confrontation, while Erika went to her Instagram Stories before the episode aired Wednesday to say, “I was there. It happened. What the ‘audience’ chooses to believe is beyond my control. I will never back down from the truth of what happened that night.”

The accusation was apparently so serious, Andy Cohen revealed that afterward Bravo initiated an HR investigation to look into the claim. So what happened?!

According to Kathy, it was all about her determination to make sure everyone was having a good time, which apparently meant getting the DJ at Aspen’s Caribou Club to spin some of the gang’s favorite tracks.

“I go over to the DJ, he’s got headphones, he’s looking down. He doesn’t see me, so I get frustrated,” she explained. So she tried her luck with the manager.

According to Kathy, she asked him, “If I gave you some money would you put some songs on for us, my friends and I, to dance?” But the manager shut her down, saying it was “way too busy” and they couldn’t do that tonight.

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When Kathy persisted in her request, dropping that she’d been coming there for 30 years and they’d always taken requests, she said the manager grew “annoyed” and asked her where she was from. “I said L.A. He goes, ‘Then go back to L.A.,” Kathy recalled. “So I go, ‘We’re out of here.'”

According to Erika, though, Kathy said way more than that. She claimed that when she saw Kathy frustrated in that moment and asked her what was wrong, Kathy shot back, “The DJ’s an old f—ing f—-t,” and walked off.

Kathy was having none of this, though, quickly denying Erika’s version of events. “I will admit to what I do, but I will not be painted to be this monster,” she insisted.

“Those were your words. That’s what you said to me,” Erika shot back. Erika said that anyone who knows her knows she’s not lying, while Kathy insisted that anyone who knows her knows she never speaks like that.

Further, Kathy said that no one else heard these alleged comments, to which Erika argued that Kathy said them directly to her. During the reunion, Kyle affirmed what Kathy was saying here, at least, saying that she’d never heard that said.

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Kathy got in an extra jab, too, telling Erika, “I have a little more credibility than you. I have a sterling reputation.” It was a clear reference to Erika’s ongoing legal situation, as she went on about expensive items Erika has word that Kathy said are “not yours.”

As for that HR investigation, Andy said that it ultimately “came down to she said, she said.” With no conclusive evidence one way or the other, there was apparently nothing that could be done about it. But at least they took the allegation seriously.

While Kyle backed her sister about using offensive language, she was still unhappy with how the events played out. While Kathy was frustrated that the women resisted leaving, Kyle said she took issue with Kathy simply declaring, “We’re out of here,” rather than offering a more complete explanation.

“You didn’t say, ‘This guy just hurt my feelings, I’m so embarrassed,'” she said. “You said, ‘We’re out of here.’ Everybody saw. You looked at me like you’re f—ing leaving now.”

“I’m an adult, you can’t talk to me like that,” Kyle said.

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It was an emotional evening for Kyle, who expressed that she was hopeful that she and Kathy could come out of it in a better place in their relationship than they came in — and certainly than what they endured during the season.

“I feel very put in the middle of this whole situation,” Kyle said. “Obviously my sister’s my sister. My feelings were very hurt. I feel like I always get the blame for things in my family.”

“Like the thing at Kemo Sabe, I didn’t f—ing do anything,” she continued. “And then when this whole thing came out it just made it worse and set us back. The only one it hurts is me, I’m the one who gets f—ed.”

Kathy wasn’t too thrilled with that interpretation of events, accusing Kyle of “acting like a martyr.”

The situation is Kathy’s tumultuous season, which wasn’t helped by her disappearance or what was being said about her. Lisa had claimed that in the immediate aftermath of the Aspen incident when she and Kathy were alone in the car, Kathy said some ugly things about just about the entire cast.

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According to Lisa, Kathy said things like, “Dorit [Kemsley] is a stupid useless idiot. Crystal [Kung Minkoff] and Sutton [Stracke] are pieces of s—. Useless idiots should be fired. I can’t believe I need to be around these peons, they need to go away.”

Andy also read off additional claims from Lisa, including that Kathy allegedly said she’d “take down” the show and “destroy Kyle and her family.” In response, Kathy aid she wanted Lisa to take a lie detector test.

She denied all of it, instead saying that what she shared with Lisa was that she felt “dismissed” and like her sister “hates me sometimes.” She shared that she’d already apologized to Kyle for what had come out of it.

She said she was pressured to also apologize to Lisa, but when she reached out, Lisa allegedly wanted to do it on camera, Kathy said that’s because Lisa’s contract was coming up and “you need some drama because you fight with everybody.”

She then got very specific. “You drove Lisa Vanderpump off the show, what you did to my sister [Kim], you’ve had problems with everybody, with Camille Grammer, I mean the list can go on and on,” she said. “And then saying you’ve been bullied? You are the biggest bully in Hollywood and everyone knows it … You’re mean and you don’t tell the truth.”

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She also accused Lisa of telling her in that car ride, “I get it, I get it, you’re preaching to the choir.” Lisa said she had no recollection of saying that at all. She also told Kathy that all of this was between Kathy and Kyle. “What you said about your sister is horrible.”

When Andy asked what it would take to move on from all this ugliness between the two women, Lisa said she was ready to let it go right there. “I will absolve myself from it from this day forward,” she said, adding that it’s up to the sisters now to work it out. “I wish you only the best. I really do.”

Sadly, that’s more than Kyle was able to get from sister Kathy. When she said, “I need to end up in a better place here with her than when she came,” it was clear this was an attempt at an olive branch and perhaps a step toward reconciliation.

But Kathy didn’t take it, instead uttering simply, “I don’t know.” And when there was even a hint that Kyle maybe wasn’t going to be satisfied with that noncommittal response, Kathy added, “I don’t want to talk about it.”

“Once again, everything’s my fault,” Kyle said, at which point Kathy left the stage. When Dorit tried to comfort her backstage, Kyle feared that it was truly over between her and Kathy. “I can tell by the way that we ended there,” she said, convinced that it won’t be fixed.

According to a report by TMZ, Kathy has said that she won’t return to “RHOBH” next season if Erika and Lisa Rinna are back. She did not, notably, include her sister Kyle in that short list.


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