Carissa Capeloto, who was 19 at the time of the alleged attack, sued the three men for a total of $5 million, alleging she was "obviously intoxicated, incapable of consent" when she was assaulted after going to Kingston's hotel room for a meet-and-greet with the hip-hop artist after a 2010 concert.
Kingston denied the allegations, saying the sex was consensual.
Citing sources it did not identify, TMZ said Kingston settled with the woman not because he's admitting guilt, but because he wanted the legal fight to be over before his upcoming tour.
"Her story wasn't consistent. She told various stories throughout her interviews with police. Her friend's story wasn't consistent with hers. The medical report had no indications of force," a source said.