Despite inviting E! film cameras to record every second of the engagement, the pair are said to be furious over the leaked footage and have launched legal proceedings to claim unspecified damages.
According to TMZ, the pair claim that Chad Hurley was in breach of a confidentiality agreement after reportedly uploading the poor-quality video onto his new website, MixBit.
Kim and Kanye alleged in the lawsuit that while Chad was not invited to the event, he was allowed to stay on the condition he signed the agreement, and court documents apparently also contain a photo of him holding the contract.
"Hurley proceeded to try to turn the event into one starring himself, broadcasting the images he knew were the exclusive property rights of someone else," the lawsuit says, also accusing Chad of using the footage to boost MixBit.
Meanwhile, Kim has revealed that she nearly missed Kanye's proposal in San Francisco as she was in bed with a stomach bug.
She told a US chat show: "I was like 'babe are you sure you don't just want to have dinner in LA tonight, your show's not until tomorrow night in San Francisco. Lets just chill at home' but he said we had a reservation.''
Kim's sister Khloe added: ''She was talking to me earlier that day because she wasn't feeling well.
''She was like, 'I'm so sick, I don't want to go anywhere. I just wish I could lay in bed', and I thought if she doesn't get on that airplane we're all screwed.''