RICHMOND, Va. (AP) - Virginia's attorney general says a $212,500 settlement has been reached with a University of Virginia student who was arrested after her purchase of water was mistaken for beer. Mark R. Herring announced the settlement Wednesday night with Elizabeth Daly. She had filed a $40 million lawsuit against agents with the state Alcoholic Beverage Control. Herring says the settlement was reached after careful consideration of the potential significant costs of going to trial. Daly fled in terror in April 2013 in Charlottesville when her vehicle was swarmed by state ABC agents who mistook her just-purchased carton of sparkling water for beer. Daly was charged with eluding police and assaulting a police officer after her SUV grazed two of the agents. The arrest provoked a public outcry, and the charges were dropped. Copyright 2014 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.
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