May 28 (Reuters) - Wedding-dress designer and influencer

Hayley Paige Gutman has settled a lawsuit brought by dressmaker

JLM Couture ( JLMCQ ) over their broken collaboration, JLM said in a

filing in Delaware bankruptcy court.

Gutman agreed to pay JLM $263,000 to resolve the dispute,

while JLM gave Gutman the rights to the "Hayley Paige" name and

social media accounts, according to a copy of the settlement

agreement made public on Friday in JLM's bankruptcy proceedings.

Gutman said in a statement on Tuesday that she was relieved

that the case had reached a "respectful" resolution.

Representatives for JLM did not immediately respond to a request

for comment on the settlement on Tuesday.

Gutman was the maker of "Hayley Paige" wedding dresses until

2020. She signed on to design dresses for New York-based JLM in

2011.

JLM said in its 2020 lawsuit that Gutman locked the company

out of "Hayley Paige" social media, promoted products from other

companies and violated a noncompetition agreement after their

contract negotiations broke down.

U.S. District Judge Laura Swain granted JLM a preliminary

injunction in 2021 that blocked Gutman from competing with the

company until the end of their contract, prevented her from

using "Hayley Paige" in advertising and gave JLM control of the

"Hayley Paige" social-media accounts.

After the case took two trips to a U.S. appeals court, Swain

said earlier this month that Gutman was entitled to total

control of the "Hayley Paige" social media but affirmed that she

could not compete with JLM until the end of their noncompetition

agreement in 2025.

The settlement releases Gutman from all of her obligations

to JLM including the noncompetition agreement, according to the

Friday court filing.

The case is JLM Couture Inc ( JLMCQ ) v. Gutman, U.S. District Court

for the Southern District of New York, No. 1:20-cv-10575.

For JLM: Sarah Matz and Gary Adelman of Adelman Matz

For Gutman: Joe Lawlor, Tiffany Cooke and Richard Rochford

of Haynes & Boone

Read more:

Dressmaker can block designer Hayley Paige from using her

own name trademark, court says

Hayley Paige wedding-dress dispute again sent back to

federal court

Wedding-dress influencer wins back 'Hayley Paige'

social-media accounts

(Reporting by Blake Brittain in Washington)