Moore sued Pacific Magazines, the publisher of New Idea, for printing pictures taken at a 2008 party that show herself, her daughter Rumer Willis, and other stars.
Moore lodged a claim in 2008 stating she made an agreement with an event organizer that gave her copyright of the photos. She sought unspecified damages.
A trial was to start in Melbourne Federal Court on Monday, but the judge said the parties had reached a settlement. The terms were not disclosed.
Moore was not in court Monday.
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