The Duke of Sussex had taken a case against Associated Newspapers Limited (ANL) over an article which was written about his legal challenge against the Home Office, regarding the decision to change his publicly funded security arrangements when visiting the UK.
This claim was refuted by ANL, who insisted that the article expressed an "honest opinion", without causing "serious harm" to the royal's reputation.
Prince Harry's lawyers had originally argued that the story had "purported to reveal, in sensational terms", that information from court documents "contradicted public statements he had previously made about his willingness to pay for police protection for himself and his family whilst in the UK".
However last month, the courts ruled against the Duke, who lost his bid to have ANL's "honest opinion" thrown out by a judge. He was ordered to pay £48,447 to cover the publisher's legal fees.
A spokeswoman for the publisher has subsequently confirmed that Prince Harry has withdrawn the case.