Lindsay Lohan staying on at Emanuel Ungaro.

Lindsay Lohan has something to smile about. Photo: Michael Buckner, Getty Images for GQ

Looks like the Emanuel Ungaro execs have stopped bickering and come to a decision over Lindsay Lohan's fate as the company's artistic advisor. The shocker? LiLo is here to stay!

President and chief executive of the Paris fashion house, Mounir Moufarridge, confirmed today that Lohan is staying on as artistic advisor, despite her debut collection being slammed by critics, reports Reuters.

Moufarridge defends the headline-making 23-year-old, telling the source, "The criticism was harsh. I am sure we can do better in the collection to be honest but I think it was harsh ... But it did sell well."

And while Emanuel Ungaro himself may have something different to say about that -- the retired designer declared Lohan's collaboration with Estrella Archs a "disaster," Moufarridge apparently could care less.

"Mr. Ungaro has his views, he can keep them. I have no comment," he told the news site.

Moufarridge has a track record of stirring up fashion drama. The executive controversially replaced Karl Lagerfeld with Stella McCartney while he was president of Chloé .

The house of Ungaro may be keeping the crash-and-burn star on payroll, but jeweler Pascal Mouawad isn't so quick to jump on the La Lohan ship.