A Chinese walkie-talkie-maker said Monday it has withdrawn a lawsuit against Motorola in Shenzhen after a U.S. court slapped it with a $1 million daily fine for violating its order against pursuing the case in China.

The U.S. District Court for the Northern District of Illinois ruled on April 2 that Hytera Communications Corp. Ltd. (002583.SZ) (海能达通信股份有限公司) had breached its injunction by continuing with a lawsuit in Shenzhen that sought to relieve it from paying Motorola a portion of royalties under a previous order by the federal court.