Camille Grammer, ex-wife of actor Kelsey Grammer, will not be returning for a third season of "Real Housewives of Beverly Hills," a source told People. "She's been in discussions and at the end decided she wasn't willing to expose her personal life anymore," the unnamed source said. "She's at peace with her decision." Camille and Kelsey Grammer had been involved in a custody case involving their two children, Mason and Jude, which reportedly had resulted in an amicable settlement. "She's in a great place in her life right now," the source told People. "She's grown a lot in this past year and she's made some wonderful friendships [on the show]. It has steered her life in a direction she never imagined. She's ready for new challenges."