As AP originally reported in March 2016, the dispute centered on whether Davis was an employee of the band or a partner in their businesses. This would affect the revenue he received. If he was a partner, he would be entitled to a split of all revenue.
The suit was filed by Varoom Whoa, the business entity that owns Paramore. It says Davis was an employee of the band. Davis claimed he was a partner.
However, as The Tennessean reports, federal court records now show that a settlement has been reached, but the terms weren't released.
The Chancery Court in Nashville first received the lawsuit from Davis. Then, a parallel lawsuit was filed in federal court, which received a settlement order on April 25.
"Everything has been resolved and settled," says Jay Bowen, Nashville-based attorney for Paramore, to The Tennessean. "Paramore had a great show last night, getting ready for their tour. The album's out (May 12)."
The Nashville attorney representing Davis, Derek Crownover, did not comment.
In 2004—shortly after the band was founded—Davis left Paramore, but he returned in 2005. He officially left in December 2015.