Us Weekly reports exclusively that Kardashian and the two will no longer have a working relationship.
"Steph is still a part of Kim and her family's life – she went to Kim's birthday dinner and Kendall's birthday party," the source said. "There isn't bad blood there. They still hang out and are friends, but they have gone their separate ways and are not working together anymore."
Another source goes on to reveal that Kardashian actually let Shepherd goes weeks ago, explaining it's been a "downward spiral" since she was profiled by Refinery29's "celebrity inner circle series" in May 2017.
"Other stuff happened on top of that that left a bad taste in Kim's mouth," the source adds.
On Oct. 29, fans caught a glimpse of the tension in an episode of E!'s Keeping up With the Kardashians, where Kardashian admitted she thought her sister Kourtney's relationship with Shepherd was "unprofessional."
"Just a heads up, we were talking and she was saying that she didn't know what she wanted to do in life," Kourtney told Kim about Shepherd. "She feels, like, maybe she's in a place in life where she's unfulfilled, job-wise."
"I do think it's, like, inappropriate for her to talk to you and not to me," Kardashian responded.
"I mean, don't you think that's just, like, a little bit unprofessional?" Kim added in her confessional. "That's like a convo she should have with me."