Merlin Entertainments, owners of the London Dungeon in Tooley Street are to receive a substantial compensation payment from London Bridge Experience.
This follows an out of court settlement of Merlin's legal action against the nearby London Bridge Experience.
Merlin launched its legal action against the new attraction a year ago next week after it complained of unlawful business practices, breach of intellectual property rights and intimidation by London Bridge Experience and its staff.
The Dungeon claimed that the London Bridge Experience leaflets were "copycat marketing literature" deliberately intended to confuse visitors.
"This is a signal victory for Merlin in protecting the London Dungeon brand," said Merlin managing director Glenn Earlam.
"Merlin has invested significant resources over many years in creating the Dungeon concept and has built an enviable reputation for the brand, which has an unrivalled reputation among its core teen constituency. We work unceasingly to ensure that The London Dungeon delivers the very best experience for our visitors.
"We passionately believe in fair competition, and we operate in very competitive circumstances around the world. We would never object to fair competition from attractions offering a distinct proposition to visitors. However, the sort of activity undertaken by LBE was totally unacceptable and Merlin had no choice but to put a stop to their unlawful activity which was directly targeted at The London Dungeon.
"The settlement of this litigation by LBE paying compensation, legal fees and providing legally binding undertakings is full justification for the action we took to protect our brand. It should serve as a warning that Merlin will fiercely defend its brands wherever they come under attack."
In addition to payment of legal fees and legally binding undertakings that the London Bridge Experience:
• Restrict leafleting or soliciting of people in the London Dungeon queue.
• Not prevent, obstruct or seek to discourage people from joining The London Dungeon queue.
• Not use intimidating or threatening behaviour towards the public or The London Dungeon staff.
• Not make false, misleading, disparaging or derogatory statements, comparisons or representations about The London Dungeon.
• Not represent to any person that there is any connection between LBE and The London Dungeon.
A spokesperson for the London Bridge Experience failed to respond to a request for a comment.
It was business as usual on Wednesday with a long queue for the London Dungeon whilst the London Bridge Experience staged mock executions on Duke Street Hill to encourage visitors to join its shorter queue under London Bridge.