BOOZY ASH DISS WENTZ EX

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Out of control Ashlee Simpson trash-mouths hubby Pete Wentz‘s ex-GF Gossip Girl Michelle Trachtenberg.

All three were making the scene at the DJ Hero video game party at LA’s Wiltern Theatre when the booze and Ashlee’s insecurities got the worst of her.

Despite being seated next to former rival Michelle, things started off cordially for the three with Ash proudly showing off pix of newly born Bronx Mowgli to MT.

But as Ashlee’s alcohol blood level rose so did her marked jealously of Trachtenberg.

Simpson started giving Wentz a steamy lap dance as she stared directly at Michelle and began hurtling invectives at her.

 "She was grinding up on Pete like a stripper. It was actually pretty disgusting," an eyewitness said

As she reached her frenzied climax, Ashlee screeched, "I hope you know, the whole time you were dating Pete, I was (frack)-ing him!"

Peter looked mortified as the two rivals were separated by a bystander.

"It was just a misunderstanding," Simpson’s rep later declassified the evening. "Ashlee has since apologized to Michelle and they remain on good terms."

Good thing too – Michelle Trachtenberg played Buffy the Vampire Slayer‘s little sister and knows how to kick demon ass – among other things.