Miss California USA contestant Carrie Jean dropped her case against the pageant officials after her sex tape surfaced leaving her settlement ambitions in shambles.

Pageant lawyers showed Carrie Jean a video they obtained months before the pageant but was never made public. TMZ is reported to have obtained a copy of the home made sex tape but decided not to post it because it was so racy.

It allegedly took only 15 seconds for Prejean to drop her settlement demand after watching the video and walked away with nothing but her dignity intact.