Images of a character named Lacey Jonas in Grand Theft Auto V aren't recognisable as the Mean Girls actress, the court ruled yesterday.
In its motion to dismiss, the software company also alleged in their defense that the 31-year-old star has a "history of misusing the legal system".
It is unclear if Lohan will continue to pursue the case, but given her lawyers' seemingly undying dedication to this cause, we'll likely hear about it again soon enough.
Lohan sued the game's developer Rockstar Games and its publisher Take-Two in 2014 stating that the best-selling title used her likeness without her permission for the character of Lacey Jonas.
In "Grand Theft Auto V", Lacey Jonas is a troubled young Hollywood actress. In response, GTA V's creators called Lohan out for being an attention-seeker with her frivolous lawsuit, and the case was thrown out of court in 2016.
Today, the New York Court of Appeals comes to a slightly different analysis, but ultimately agrees that Lohan's lawsuit should be dismissed.
More news: Cynthia Nixon called 'Unqualified Lesbian' by Andrew Cuomo AideThe state appeals court, however, rejected Lohan's appeal by a a 6-0 vote, calling the Jones character a "generic. twentysomething woman without any particular identifying physical characteristics".
While the court concluded that a computer generated image may constitute a "portrait" under state civil rights law, the "artistic renderings are indistinct, satirical representations of the style, look, and persona of a modern, beach-going young woman that are not reasonably identifiable", the court opinion stated.
From the get-go, it was apparent that Lindsay is trying to cash in from what she felt was her likeness in the game.
Despite the dismissal of Lohan's appeal, the case may have some lasting ramifications.
The New York court also upheld a ruling dismissing a similar lawsuit to Lohan's filed by Karen Gravano, the daughter of former Mafia underboss and Federal Bureau of Investigation informant Sammy "The Bull" Gravano.