Playboy playmate Shauna Sand has reportedly dropped her lawsuit against bosses of a film distribution company over plans to sell copies of a sex tape featuring the star.

The busty blonde launched legal action alleging Vivid Entertainment had illegally acquired the home-made porno, claiming the company's bosses have no legal right to distribute the racy footage.

But Vivid chairman Steven Hirsh refused to back down - he hired a handwriting expert to determine whether a signature on official release documents belonged to Sand.

According to TMZ.com, Sand withdrew the lawsuit earlier this month after it was proved she had signed a contract allowing the tapes to be sold.