Rolling Stone and a writer have agreed to settle a libel suit brought by a University of Virginia administrator over a debunked article that described a gang rape at the university, the magazine announced on Tuesday.

The administrator, Nicole P. Eramo, asserted that the discredited November 2014 article defamed her and portrayed her as the “chief villain,” indifferent to sexual assault on campus. Last November, a federal jury awarded her $3 million in damages, which the magazine and the article’s writer, Sabrina Rubin Erdely, appealed.

But lawyers for Ms. Eramo filed a notice in Federal District Court in Virginia on Tuesday that she was dropping the suit. “We are delighted that this dispute is now behind us, as it allows Nicole to move on and focus on doing what she does best, which is supporting victims of sexual assault,” Libby Locke, one of her lawyers, said in a statement.

A spokeswoman for Wenner Media, the parent company of Rolling Stone, said: “Rolling Stone, Sabrina Rubin Erdely and Nicole Eramo have come to an amicable resolution. The terms are confidential.”