German company Henkel and Brawn GP have settled their dispute and say all potential claims will be dropped.
Henkel said earlier this month that a 90-million euro deal agreed by an ex-employee with the 2009 world champion team was invalid, and the case was the subject of a legal dispute.
However, the team, which was bought by Mercedes-Benz, said on Tuesday that the dispute had been settled by mutual agreement.
"Brawn GP announced today that the differences between Brawn GP and Henkel with regard to a Formula 1 sponsorship have been resolved by mutual agreement," said the team in a statement.
"All potential claims will be dropped. As a consequence, all court proceedings will be withdrawn.
"The new Formula 1 Team Mercedes GP Petronas together with the colleagues from the former Formula 1 Team Brawn GP will continue to cooperate with the Prosecutor's Office and assist in the further clarification of the matter."
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