Paris Hilton drops lingerie suit, goes into business with the company she was suing

Paris Hilton has dopped her lawsuit against swimwear/lingerie company La Bonita, and has agreed to partner with the company for a new line of clothing.

TMZ reports Hilton and La Bonita were suing each other after both parties failed to come to an agreement when a deal in which Hilton was supposed to design a swimwear line went bad.

La Bonita sued Hilton first for over $200,000 alleging the heiress had failed to honor her 5-year contract with them. In turn, Hilton sued the lingerie company for $1.5 million.

But now, both parties have decided to drop their lawsuits and have agreed on another lingerie/swimwear deal.