Nov 6, 2007 6:04 AM, PROMO Xtra, By Amy Johannes

A Wal-Mart executive who was fired from her job last year has decided not to pursue further legal action against the company.

Julie Roehm decided last week to drop her suit against Wal-Mart because the litigation was “financially draining.”

“The sole purpose for filing the lawsuit was to recover the severance pay that was outlined in that contract,” Roehm said in a statement. “I thought that a settlement agreement would be reached within a few weeks. Instead, the lawsuit has expanded into other issues, and has become more difficult and financially draining than I ever imagined.”

In response, Wal-Mart said it was also ending its countersuit against Roehm.

"Since Ms. Roehm is dropping all claims against the company, we will also drop our counterclaim,” the company said in a statement. “We are satisfied with the resolution and are ready to put this behind us and move on.”

Roehm sued Wal-Mart in January for fraud and breach of contract after she was fired from the company (Promo Xtra, Dec. 7, 2006).

The lawsuit claimed Roehm didn’t receive severance payments that were promised in her employment contract. The initial suit sought up to $1.5 million.

Roehm’s firing came amid allegations that she was having a personal relationship with another marketing employee, a violation of the company’s ethics policy. Wal-Mart also said Roehm allegedly accepted gifts from agencies vying for the chain’s advertising and marketing business. The retailer filed a counterclaim against Roehm, news reports said.

The retailer filed a counterclaim against Roehm, news reports said. Roehm, however, denied the charges.

Roehm, however, denied the charges.

In August, a Michigan state judge dismissed Roehm’s lawsuit, saying the suit should have been filed in Arkansas, where the retailer has its headquarters, according to news reports. But Roehm opted not to re-file.

“I have decided to accept Wal-Mart’s decision to terminate my employment and move on,” Roehm added. “I am not receiving any money or other compensation to settle my case.”

She also said information exchanged between her lawyer, Wal-Mart, and businessman Irwin Jacobs revealed “the inaccuracy of certain allegations” about Jacobs and Lee Scott, Wal-Mart’s CEO.

Roehm joined Wal-Mart in February 2006 from DaimlerChrysler, where she had worked as director of communications.

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