Paul Gascoigne is suing the Daily Star over a mobile phone video of his "booze and dug madness," which he alleges they stole from him.
He also denies the paper's claim that he injected cocaine.
The former football star is suing the tabloid for defamation and invasion of privacy. The video was published in February under the headline: "Caught on film: Gazza's descent into booze and drugs madness."
The footage showed the former Lazio and Rangers player in his flat, mumbling, groaning and on the verge of tears. The video was published on the Daily Star website but has since been taken down.
The story, accompanied by stills of the footage, claimed: "Former pal Shane Abbott, 36, yesterday revealed the full horror of addict Gazza's lifestyle to the Daily Star in the hope it will help him face up to his problems."
Days after it the video was made, Gascoigne flew to the US for emergency intensive care for alcoholism.
According to The Guardian, Gascoigne claims the mobile phone footage was stolen from his property and leaked to the paper in a "gross invasion" of his privacy.
He is suing for defamation over the claim that he was caught injecting cocaine, which he denies.
Gascoigne's solicitor, Gerald Shamash, of the law firm Steel & Shamash, told the paper: "This was a gross invasion of Paul's privacy and he feels very strongly about pressing this claim. Despite his well-documented problems with alcohol, Paul is entitled to his privacy."
He is reportedly seeking close to a six-figure payout from the Daily Star publisher, Richard Desmond's Northern & Shell.
"Gazza" has been plagued by alcohol and mental-health problems since quitting the game in 2005.
In February, the player's former agent said he needs immediate help with alcoholism, after a tearful and rambling appearance at a charity event.
He needed help getting on stage for the question and answer session in Northampton, during which he swore, slurred his words, and blamed "three days on the whiskey."
At the time, TV presenter and Gascoigne's former England team-mate, Gary Lineker tweeted: "I can only hope he finds peace somehow, but fear those hopes may be forlorn."
Gascoigne scored 10 goals in 57 matches for England. He played for Newcastle, Tottenham, Lazio, Rangers, Middlesbrough and Everton before his career was cut short by injuries and off-field troubles.