Battery company A123 Systems' lawsuit against Apple for allegedly poaching workers provided early fuel to speculation about the tech giant's rumored electric car. Publicly at least, the dispute has been finished now with the business-that-Steve-Jobs-built agreeing to an undisclosed settlement.

"The parties have reached an agreement, signed a term sheet, and are in the process of drafting a final settlement agreement," A123's lawyers said in a statement, according to Automotive News. The battery company believed that Apple hiring away some of its workforce was in violation of the employees' noncompete agreements. After the suit was filed, Apple asked for the case to be dismissed because it argued that recruiting five people did not constitute raiding A123's staff.

Around the same time that this legal debate started, Elon Musk alleged that Apple was offering a $250,000 signing bonus and 60-percent pay increase to hire away some of his employees.

Apple's car project remains a knot of rumors but reportedly carries the codename Project Titan. The electric vehicle's design might take some inspiration from the simple shape of the Fiat 600 Multipla. While the model would be engineered in-house, there are suggestions that it might be built elsewhere under contract by a company like Magna Steyr.

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