"Her multi-year contract, the financial terms of which remain unknown, requires her to go to trunk shows and Ungaro events and "be where the activities of the brand are," Ungaro CEO Mounir Moufarrige told WWD. The paper reports:

Asked to describe her role in the creative process, Lohan said she “kind of oversees everything [Archs] does, while working with her. Different generations have different ideas.”

Moufarrige is famous for rash decisions, such as when he fired Karl Lagerfeld from Chloé and appointed Stella McCartney in his place. Anyway, he doesn't care that all of this sounds completely ridiculous. In fact, that was kind of the point:

“The fashion industry thrives on controversy anyway,” he said, waving a hand as if to dispel doubts. “Emanuel Ungaro himself was very controversial. He always felt women had to dress to seduce. His first perfume he called Diva. It’s not an act of desperation to get a real diva involved. I like controversy."

He figured he could either bring on a designer name as big as Tom Ford, which would cost him a ton of money, or bring on an unknown designer to do the actual work and a celebrity for the cache. Why wait months or years for a new designer to reinvigorate the label when you can hire a famous party girl that makes the whole world pay attention? Even if all anyone says is "WTF?," at least they're paying attention to Ungaro. Plus, how bad can Lohan be? As Moufarrige notes, her leggings with built-in knee pads do sell well. And she looks great in hats." (Source: NY Post)

Well he (Moufarrige) sure did cover all his bases because our first reaction was "this sounds completely ridiculous" shortly followed by a "WTF?!" But we will give Lohan a fair chance to prove herself in her new post. It's definitely a more productive position than "famous party girl" as the NY Post put it. It seems that people associate the starlet more with partying, shopping, and Samantha Ronson than her actual talent these days so this is a good way for her to prove the naysayers wrong. In related news it was said that Esteban Cortazar, former head designer of Ungaro who resigned from his post over two months ago, would leave if they brought Lohan onboard.