Dolly Parton's Manager Voluntarily Dismisses Lawsuit Against Her Nephew

3:34 PM PT -- Bryan Seaver's attorney, Dominic J. Leonardo, tells TMZ ... "Mr. Seaver cares deeply about his Aunt Dolly, her music, her family, and the incredible legacy she left behind. He has made a career out of protecting his aunt while she was alive and remains committed to Dolly and his entire family. Mr. Seaver is grateful to put this misunderstanding behind him so that the entire family can continue to grieve peacefully and ensure that the bright light of Dolly's legacy remains entirely untouched."

Dolly Parton's nephew Bryan Seaver just scored a major legal victory ... because the late legend's manager has dropped the lawsuit against him.

According to Rolling Stone, Danny Nozell filed a notice of voluntary dismissal of his lawsuit Thursday ... in the suit, Danny alleged Bryan had threatened Dolly's business empire.

The dismissal comes before a hearing scheduled for Tuesday ... and before Danny needed to respond to Bryan's denial of the allegations.

It's unclear why Danny pulled the plug on the suit ... or if he and Bryan reached a settlement.

As we previously reported ... Dolly's nephew asked the judge to dismiss the case against him ... claiming he'd never threatened Danny and the texts he'd sent him had been in jest.

Bryan's not completely out of the woods ... Danny dismissed the lawsuit without prejudice ... meaning it could be brought again.