Boston Communications Group Inc (BCGI) has settled its long running legal battle with suitor Freedom Wireless. BCGI w2ill pay $55.3 million to Freedom Wireless, a patent holding firm. Last year BCGI suffered a blow when a court found the company infringed upon Freedom Wireless’ patents. BCGI provides prepaid billing software to a number of companies in the industry.

After the victory last year, Freedom Wireless filed suit against BCGI’s customers, including Cingular, Sprint and Alltel. Those cases will be dropped as part of the settlement.

Investors were happy with the news, sending shares of BCGI up a massive 96%.

[via PhoneScoop]