The singer, who has not released an album for four years, will continue her fight in the New York courts to get out of a multi-album recording deal with Sony Music and Dr. Luke, her attorney, Daniel Petrocelli, said in a statement.
"Kesha has dismissed her California action without prejudice while she pursues her appeal and other legal claims in the New York courts," he said. "Kesha is focused on getting back to work and has delivered 28 new songs to the record label."
The 29-year old singer filed a lawsuit in California in 2014 accusing Dr. Luke, one of the music industry's most successful producers, of rape and emotional abuse during the early stages of her career.
Dr. Luke, whose real name is Lukasz Gottwald, has repeatedly denied the claims and has countersued for defamation. But the denial earlier this year by a New York judge of Kesha's bid to extricate herself from her recording contract sparked an emotional #FreeKesha campaign on social media that earned support from leading stars such as Taylor Swift, Adele and Lady Gaga.
Kesha is appealing the New York ruling and in April she released her first single in three years. Last week, she started a U.S. tour.
On Monday she thanked fans for their support.
"My fight continues. I need to get my music out," she wrote on her Instagram account. "I have so much to say. This lawsuit is so heavy on my once free spirit, and I can only pray to one day feel that happiness again."
Dr. Luke's attorney, Christine Lepera, said in a statement the accusations against him were "false and meritless" and that Kesha's decision to dismiss the sex abuse claims in California came "because she has no chance of winning them."
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