An Atlanta bar has dropped its lawsuit against the controversial (and closed) Spokane Downtown Daiquiri Factory, as the shuttered business fights its eviction in Washington's appellate courts.

Kechia Matadin, owner of "The Daiquiri Factory" in Atlanta, sued Spokane bar owner Jamie Pendleton last May for alleged copyright infringement following a national controversy over one of Pendleton's drink names. A cocktail called "Date Grape Kool-Aid" drew local and national protests over its connotations to sexual violence, and it was eventually changed before the bar shuttered in June following a court-ordered eviction sought by the property owner.

Matadin's attorney asked to be removed from the federal case in January. This week, U.S. District Court Judge Lonny Suko dismissed the case under federal court rules.

Matadin wasn't the only one miffed by the Date Grape Kool-Aid connotation. Gonzaga University also sued Pendleton, alleging illegal use of its trademarked mascot and logos in bar promotions. Gonzaga won a permanent restraining order against the bar from future use of its trademarks in a ruling issued earlier this year.

Meanwhile, Pendleton continues to fight to move back into his location on Wall Street. Briefs have been filed in the Washington Court of Appeals asking that a Spokane County judge's eviction order be overturned. Pendleton argues the building's owner, Delaware-based real estate agent FPA Crescent, did not provide the legally required notice that his rent was overdue before moving to evict him. The landlord says it demanded maintenance charges that weren't paid, so they acted within their legal authority to boot the business.

No argument date has been set in the case. The former site of The Daiquiri Factory remains vacant and is listed as available for rent. The business' neighbor, Madeline's, moved to a new location on Main Street earlier this year. Its former home is also vacant and available for rent.