Last month, Evermore Park filed a case against the Grammy-winner, claiming she had infringed its trademark with her album Evermore and its merchandise.
Swift counter sued three weeks later, saying the park was playing her music on its grounds without a licence.
However, both sides have now agreed to drop their respective cases.
“As a resolution of both lawsuits, the parties will drop and dismiss their respective suits without monetary settlement,” a spokesperson for Swift told the BBC in a statement.
The US singer’s Evermore, her second album of 2020, won album of the year at the recent Grammy Awards, making her the first woman to win in that category three times.
The theme park of the same name, which has been registered since 2015, has no rides but offers an immersive fantasy experience. It is currently closed due to the Covid-19 pandemic.
In other news, Swift released an unheard re-recorded version of her track You All Over Me – the first from her widely discussed “vault” – on Thursday.
The previously unheard song is one of several that didn’t make it on to one of her albums. You All Over Me is taken from her Fearless recording sessions, and will feature on the re-recorded version of the album, which is due for release in April.
Earlier this week, it was also revealed that the pop star and her mother had donated $50,000 (£36,000) to a mother with five children whose husband died from the effects of Covid-19.