Speed filed the lawsuit in December of 2010, claiming that Red Bull Racing had violated their contract by removing Speed from his No. 82 Red Bull-backed Sprint Cup Series ride.
Speed requested that Red Bull Racing pay him $6.5 million to complement the salary he would have received had Red Bull Racing supposedly honored his contract, which expired at the end of the 2013 season.
While Speed did file dismissal documents on December 19 of this year, no details of the settlement were released.
Speed drove the Red Bull Racing Sprint Cup Series car for two seasons and is also a former F1 driver for the team. Since his removal from Red Bull, Speed competed in the Sprint Cup Series part time and for start-and-park teams in 2011, as well as a Nationwide race for the now-defunct Kevin and DeLana Harvick team.
His 2012 NASCAR plans include participating in 15 Sprint Cup races driving for Leavine Family Racing.