KUALA LUMPUR (Sept 30): Datuk Zaid Ibrahim and his former law firm Zaid Ibrahim & Co (Zico) on Thursday announced that they have resolved all matters pertaining to their legal dispute.

"We wish to announce that the parties have resolved all matters to their mutual satisfaction.

"The solicitors have been instructed to withdraw all legal proceedings. We are pleased to put this behind us and wish each other the best in moving forward," a joint statement by the law firm and Zaid said.

The brief statement was signed by Zaid, the firm Zaid Ibrahim and Co, the firm's chairman and senior partner Datuk Seri Dr Nik Norzrul Thani Nik Hassan Thani, and Chew Seng Kok who is the managing director of Zico Holdings Inc.

There are no terms of the settlement disclosed.

It was previously reported that Zaid, who was formerly a Minister in the Prime Minister's Department in charge of legal affairs and judicial reform, had filed the suit against his former law firm at the High Court, to stop the legal firm from continuing to use his name.

This follows termination of his chairmanship after a mere nine days in November last year.

Zaid had accused the firm of misrepresenting in its practice by continuing to use his name, adding that the wrongful use of his name deprived him of using his own name to set up his own law firm, after leaving the firm in 2008 to become a minister.

The firm, in its defence and striking-out application, claimed that the former Kota Bharu member of Parliament had compulsorily sold his stake in the firm for almost RM26 million, when he was appointed a minister in Tun Abdullah Ahmad Badawi's Cabinet in 2008.

His former law firm also said that the ex-MP could have used his name in different styles to continue his legal practice.

Subsequently, after the filing and exchange of affidavits relating to the suit, the legal firm maintained that Zaid had relinquished all his stake in the firm, while Zaid claimed he still had a remaining 5% stake in the firm.

Zaid Ibrahim & Co applied to strike out the suit filed by Zaid, but this was dismissed by the High Court in June, forcing the parties to go on trial before this settlement was reached on Thursday.

Despite dismissing the striking out bid, the High Court refused to give an injunction sought by Zaid to bar his former law firm from using Zaid Ibrahim & Co as it would affect the jobs and livelihoods of some 250 people.

The former minister also filed a discovery application against Zico Holdings, which is said to have law practices in ASEAN countries.

Zaid Ibrahim & Co is one of the largest law firms in the country.