Shares of Jakks Pacific Inc. rose 7 percent after a Connecticut state court dismissed World Wrestling Entertainment Inc.'s bribery and antitrust claims against the Malibu toymaker.

WWE, based in Stamford, Conn., had filed a complaint against the Jakks in 2004, accusing the toy company of bribery to win a lucrative licensing agreement for toys and games based on wrestling superstars. WWE sought undisclosed damages and a declaration that an amendment to its toy licenses with Jakks was void and unenforceable.

A U.S. federal court had dismissed WWE's lawsuit last year, but state court litigation had been pending.

Word spread about the decision even before Jakks issued its own announcement after the market close, sending shares up $1.66 to $24.95.

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