Lindsay Lohan avoids prosecution in alleged hit-and-run

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Lindsay Lohan can breathe a big sigh of relief. The troubled starlet will not face prosecution in New York for allegedly swiping a bystander with her car in front of the Dream Hotel last month and then leaving the scene.

Sources confirm to E! News that there is no court date scheduled in the hit-and-run case after the Manhattan District Attorney's Office decided there was insufficient evidence, citing surveillance tape of the incident that appeared to clear Lohan of wrongdoing. And no charges were ever filed in the matter in the first place.

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No doubt Lindsay could use a bit of good news given all the family drama she's endured lately.

On Saturday, Lohan received an unannounced visit from dad Michael Lohan, who told E! News he tried -- unsuccessfully -- to stage an intervention, worried that she'd fallen off the wagon. This after the 26-year-old actress spoke out against the elder Lohan, saying he "betrayed" her after secretly recording her on the phone when she told him about a massive blowout she had with mom Dina Lohan.

Regarding the intervention, Lindsay's rep Steve Honig said in a statement, "It's apparent Michael continues to be very focused on getting publicity for himself. Lindsay's team is in no way aligned with him or his actions."

Lindsay Lohan's alleged hit-and-run: Watch the surveillance tape

At least she's got one less legal headache to deal with -- though it's unclear if the alleged victim will file a civil suit.

A rep for Lohan was unavailable for comment. Insiders close to Lindsay, however, told TMZ she's "ecstatic" about the case's dismissal and plans to sue the man for defamation.

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