Martha Stewart 'sued over counterfeit wine'

Martha Stewart has been sued by a wine company who claims that she has used underhanded tactics in order to lower its sales.

According to a lawsuit obtained by TMZ, Vampire Vineyards has accused the talkshow host of using counterfeit labels to discourage consumers from purchasing its products and hopefully drive sales of the Gallo wine that bears her name.

The documents allege that Stewart is selling the labels "to disparage and tarnish [Vampire's] wine brands by portraying a mock label of Vampire Vineyards affixed to cheap, nondescript wine and spirits products".

Vampire - who also names parent companies Omnimedia and Martha Stewart Living in the suit - is demanding an end to Stewart's "malicious" actions.