Carrie Prejean Sex Video Derails Miss USA Lawsuit

Miss California USA apparently has talents you can't show on a televised beauty pageant.

Carrie Prejean, who's caused headaches for the Miss USA organization ever since her controversial onstage remarks criticizing gay marriage, has dropped her lawsuit against the pageant after a graphic sex tape surfaced during negotiations.

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TMZ.com reports that the X-rated video shows Prejean in a compromising position ... with herself. After being shown the tape, Prejean abruptly dropped her lawsuit. She sued Miss California USA for religious discrimination and defamation in August.

The video was deemed too racy for even TMZ.com to post. Perhaps Prejean has a new career on the horizon?