From News.com

"A California judge on Thursday dismissed a Web site's lawsuit against Google over its fall in the Google search index, but left the door open for the lawsuit to be amended and refiled."

http://news.com.com/Judge+dismisses+suit+over+Google+ranking/2100-1030_3-6094132.html

I've also tracked down and posted the full text of the complaint in the suit and the today's ruling by the judge.

Amended complaint Filed April 14, 2006
http://www.freepint.com/gary/legal/kinder1.pdf

Today's (July 13, 2006) Ruling by U.S. District Judge Jeremy Fogel
http://www.freepint.com/gary/legal/kinder2.pdf