By Staff Reporter (staff@latinospost.com) | First Posted: Oct 09, 2013 06:52 PM EDT

Singer Selena Gómez was sued by a perfume company and may have to pay millions for allegedly backing out of a multimillion dollar endorsement deal, Fox News Latino reported.

The 21-year-old star may have to pay a six-figure sum to Adrenalina Inc. to end the lawsuit after the case is dismissed, a source told TMZ.

Earlier this year, the company sued the "Stars Dance" singer, claiming she violated a contract by backing out from a deal. Gomez was supposed to front a perfume line, for which the Adrenalina Inc. poured $2 million into research and development, according to Fox News.

However, it was reported the singer walked away from the deal because her representatives realized Adrenalina Inc. was going broke. Back in May, Gomez counter sued the fragrance company, claiming it owed her $5.2 million.

An attorney for Gómez, Michael Weinsten, said Adrenalina Inc. agreed to pay the singer 5 percent in royalty sales of all her brand scents and promised her a minimum earning of $5.2 million.

According to Fox News, Weinsten said his client walked away from the deal because feared her reputation may be compromised by the perfume company. "Any claim that Selena did not meet her promotional obligations is ridiculous, manufactured," said Weinsten. "Selena will vigorously defend this lawsuit, and will soon bring her own lawsuit against Adrenalina for millions in damages." 

Recently, Gómez made it to headlines when she was denied a Russian visa which forced her to cancel her shows in St. Petersburg and Moscow, E! News reported. According to promoters of the concerts, Russia's new anti-gay law was one of the main reasons for their decision.

U.S.-based author and gay rights activist, John Becker, started a petition on Change.org calling on the former Disney star for supporting Russia's LGBT crowd during a performance in Russia. "By speaking out, Selena can let LGBT folks in Russia know that we stand with them, and that they are not alone," said the petition.

When it was announced Gomez's visa request was denied, Becker released a statement. "This shows that the Russian government is on edge, it's nervous, and it's aware of the bruising its reputation has taken in the wake of their anti-gay crackdown," he said, as quoted by the Huffington Post.

"For the first time since the end of the Yeltsin administration, more Americans have a negative perception of Russia, and it's clear that the country's crackdown on LGBT rights has made a difference here," he added.