Tesla has lost a lawsuit over its second law, which bans manufacturers from using its name in products and services.
Tesla said in a statement on Tuesday that it would continue to fight the ruling in court, but the company said it was looking for a way to settle the case without any additional costs.
Tesla has said the lawsuit was frivolous and that it had not been using Newtons name in any way.
The company said that it plans to appeal.
The Newtons lawsuit says the Newtons logo is trademarked and that Tesla used the brand without permission when it launched its Model S sedan in 2009.
The car is available for purchase on Tesla’s website.
Newtons was not immediately available for comment.
Tesla’s decision to withdraw the Newton’s lawsuit was not a surprise.
The case was expected to be heard in the Southern District of New York, where Tesla has its headquarters, but Newtons lawyers say that the company was already planning to file a similar lawsuit.
“We’re very confident that our case will be resolved without the cost of a trial,” said Newtons lawyer David Hargrove.
“It will be settled out of court without any further costs.
It will be the same result that it will have had at trial.”
Newtons lawyers, however, did not immediately respond to a request for comment on whether they would file a new lawsuit over the case.
Tesla declined to comment.
The company has faced scrutiny from privacy advocates, lawmakers and others after it began selling cars with names other than Tesla, such as the Lexus and Toyota, but its vehicles were still branded by Newtons.