It seems the legal battle between Bethesda Softworks and Interplay has been settled, as Duck and Cover reports that Bethesda has dropped the appeal they filed after their quest for an injunction against Interplay's pursuit of a Fallout MMOG was denied. They presume Interplay's countersuit against Bethesda has been dropped as part of the deal, which apparently clears the way for Interplay's MMO Fallout game.