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Verne Troyer drops lawsuit over sex tape

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Actor Verne Troyer dropped his $20-million lawsuit against a celebrity sex-tape broker and an adult film distributor Friday after they agreed not to market a video of him having sex with a former girlfriend.

“We got what we wanted: a permanent injunction,” said Edwin F. McPherson, an attorney for the actor best known for playing Mini Me in the “Austin Powers” films.

Troyer also abandoned his suit against the gossip site www.TMZ.com, which had posted clips of the video.

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According to terms of the settlement filed in federal court, broker Kevin Blatt and distributor SugarDVD are barred from selling the video without permission from Troyer and his ex-girlfriend, Ranae Shrider.

McPherson said Troyer wanted the video to remain private and would never agree to a sale.

Blatt has said that Shrider approached him to sell the video but that he declined because Troyer did not consent.

Attorneys for Shrider and SugarDVD did not return calls seeking comment.

-- Harriet Ryan

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