Rock band Paramore has reached a settlement in its legal dispute with former bassist Jeremy Davis, according to federal court records.

Davis sued the band last year, claiming he was a partner in Varoom Whoa, the legal entity owned by frontwoman Hayley Williams that operates Parmore's business functions. Davis argued he wasn't fairly paid for the work he put into the band.

Paramore argued that Davis was actually an employee of the band and not a partner in its various revenue streams, including sales, touring and merchandise.

Davis left the band in December, 2015, and, in media comments, then slammed Williams for "backstabbing" him.

Davis initially sued in Chancery Court in Nashville, but a parallel lawsuit was filed in federal court. A settlement order was entered in the federal lawsuit on April 25. No settlement has been entered in the Chancery Court suit.

Terms of the settlement were not released.

More:Paramore, former bassist embroiled in legal battle

News of the settlement comes on the eve of the release of Paramore's new album "After Laughter" and one day after the Nashville band's triumphant return to small local club Exit/In.

"Everything has been resolved and settled," said Jay Bowen, Nashville-based attorney for Paramore. "Paramore had a great show last night, getting ready for their tour. The album's out (May 12)."

Bowen said he couldn't comment further and Nashville attorney Derek Crownover, who represented Davis, declined to comment.

Davis claimed in his initial lawsuit that he was responsible for decision making, including hiring advisers, musicians, stage crew and equipment managers, plus creating and managing staging and lighting and an array of other duties. He said those duties made him a partner in the band's business and entitled him to more money than he'd been receiving.

More:Paramore makes a triumphant return at Nashville club

Paramore said Davis, who left the band in 2004 before rejoining a year later, was an employee paid to play bass and assume other responsibilities.

Davis wasn't the only Paramore member to leave the band with some acrimony. Brothers Zac Farro and Josh Farro also left the band, though Zac has rejoined.

At the time of the split, Josh Farro called Paramore a "manufactured product," though he later said in interviews that he had patched things up with his former bandmates.

Reach Nate Rau at 615-259-8094 and nrau@tennessean.com. Follow him on Twitter @tnnaterau.