Major Lindsey & Africa has filed a notice to withdraw its lawsuit against a former recruiter, following sharp criticism from a federal judge about the validity of the search firm’s case. Attorneys for the company yesterday submitted a notice of dismissal to Southern District Judge Colleen McMahon, saying Major Lindsey was withdrawing its claims, without prejudice, against Sharon Mahn so that it could reassert claims in arbitration or state court.

The move came two days after Judge McMahon issued an order warning Major Lindsey that she was not interested in entertaining any “bogus” claims or “trumped up” charges. Her order allowed the company’s claim for an injunctive relief to remain in federal court, although she said that it was “highly unlikely” that it would be able to obtain such relief.