A LAWYER has dropped her claim that a married Tory MP subjected her to months of harassment after they had a one-night stand.

Solicitor Patronia Campbell alleged she was bullied by Huw Merriman after they had a night of drunken sex in June 2011.

Ms Campbell insisted she was unfairly discriminated against at Lehman Brothers International, where she and Mr Merriman worked, after she refused to start an affair with the 42-year-old.

Today she dropped her £250,000 claim for unfair dismissal, harassment and victimisation against Mr Merriman, Lehman Brothers International and managing director Tim Parsons.

Ms Campbell's representative Jack Feeny made the unexpected announcement that all the allegations were being withdrawn on the seventh day of the tribunal, shortly before Mr Merriman was due to give evidence.

James Laddie QC, representing the respondents, replied: "We are delighted the claimant has finally seen sense.

"We are not making any further applications, we have agreed not to pursue any claims for legal costs.

"My clients are happy to be able to get on with the rest of their lives."

He previously accused her of playing the role of a "femme fatale" and going after a "big payout".

When asked why he thought Ms Campbell dropped the case, he replied: "You saw her being cross-examined, didn't you?"

Mr Merriman, who was managing director at the time, denied having a one-night stand with Ms Campbell.

The MP for Bexhill and Battle admitted he spent the night in the same house as her but insisted "nothing sexual transpired" between them.

He appeared relieved and smiled as the news was announced. He declined to comment after the hearing.