When the lawsuit was filed in July 2018, it was filed by a woman who claimed that Jacobs had defamed her on social media.
Jacobs has denied the allegation, calling the lawsuit “frivolous.”
But on Tuesday, Jacobs settled the case, agreeing to pay $1.6 million to the woman, and the cosmetics giant to settle the lawsuit with an agreement that Jacobs will donate all profits from sales of the products to charity.
The lawsuit was first reported by the New York Times.
Jacobs, who is married with two young children, has long been a target of sexual harassment lawsuits.
He has said he is innocent, that the accusations are politically motivated, and that he is seeking to “win the case.”
Jacuzzi’s attorneys had been seeking to dismiss the lawsuit, arguing that the lawsuit is a “fishing expedition” and that it is not legally valid.
In a statement, Jacobs said: “This is a very sad day for me.
I’m glad to finally settle the suit.
I am grateful to my clients, the people of the United States, and all of our supporters who stood with me during this extraordinary and challenging time.”
The agreement, which also calls for the cosmetics maker to donate the money generated from sales to charities, was not disclosed.