The mother-of-two filed the suit against executives at Belly Bandit in 2011. Alba insisted that she had never used nor endorsed the company, which helps new mothers shed baby weight.
Packaging on the line of weight loss products read: "Jessica Alba's #2 Secret for a Fast Post Pregnancy Slimdown!"
According to TMZ, Alba initially demanded $1 million (£640,000) in damages, as well as a share of any profits made through her false endorsement.
The case has now been dismissed out of court, as the Sin City actress has received an undisclosed amount of money in damages.
Bosses at Belly Bandit have also agreed to stop using the starlet's image and name in future promotions for the product.
After the birth of her first child, the actress revealed that she lost weight through a strict workout routine.