Lotus Development said it settled a lawsuit.

The Cambridge, Mass.-based company said that the $1-million copyright suit against Mueller Co. has been settled and the case dismissed. Lotus Development filed suit against the Decatur, Ill.-based company in December, 1984, for alleged unauthorized copying and dissemination of Lotus’ 1-2-3 software. “Pursuant to the settlement,” a statement from Lotus said, “Mueller and Lotus have agreed that this matter has been completely resolved, and a permanent injunction has been issued by the court against Mueller prohibiting any further acts which may infringe upon Lotus’ rights.”