Kanye West, Damon Dash -- Off The Hook In 'Loisaidas' Movie Lawsuit

Kanye West and Damon Dash didn't tarnish a Latin singing group's name by promoting murder, violence and drug sales in a movie collaboration ... at least that's what a judge ruled.

TMZ broke the story ... West and Dash were sued last year by a member of Loisaidas, a group that's been around since 2008. Member Michael Medina said the rap duo tarnished Loisaidas' brand after they released a movie in 2015 with the exact same name.

However, a judge disagreed ... and on Thursday dismissed the suit. The reasoning? ... "Loisaidas," which refers to Manhattan's Lower East Side, is fair game considering that's where the film took place and had nothing to do with the singing group.