Financial salesman John Robert sought compensation of more than $50,000 for lost earnings and medical expenses after the crash, which happened in 2002.
Robert claimed he was "clipped" by the 88-year-old actor's car while he was standing by the rear door of his own vehicle. The plaintiff alleged his car was damaged and he suffered a hernia.
But now Robert's attorney Paul Fegen says in a statement, "After due consideration, Mr. Robert decided because he didn't have insurance and because Mr. Douglas denied responsibility, in the interest of justice he would drop the case."
Fegen advised Robert that it would be tough swaying a jury to stand against the beloved Spartacus star.
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