O’Neill had sued the “Applause” singer in 2011, claiming she worked 7,168 hours of unpaid overtime between 2009 and 2011, and was owed at least $393,000.
The pair was set to face off in trial next month, but the case was dropped on Monday after Gaga settled with her ex-employee for an undisclosed amount.
Last February, the performer BLASTED O’Neill in court papers, calling her a “f**king hoodrat who is suing me for money she didn’t earn.”
The pop star and O’Neill were roommates in New York before Gaga shot to fame in 2008.
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