Martin Eberhard, the former CEO of Tesla Motors, has dropped his lawsuit against Tesla and current CEO, Elon Musk. Eberhard filed the suit against Tesla and Musk on May 26 in California Superior Court, claiming defamation and owed wages.
According to the Business Journal, Eberhard formally dropped the suit on August 7th, just days after a judge ruled that the case could proceed. Tesla had previously requested that the case be thrown out. Eberhard was seeking damages for slander, libel and breach of contract.
Neither Eberhard nor Tesla has commented on the latest proceedings, but it is widely believed that the two sides reached some sort of settlement outside of court.
The news of the dropped case is just another positive step for Tesla and the future of the startup EV maker. Tesla finally reached profitability earlier this month and recently announced a new R&D center and global headquarters in Palo Alto, California.
