A North Carolina jury in May acquitted the former presidential candidate on one count of accepting illegal campaign contributions and deadlocked on five other felony counts. The judge in the case declared a mistrial.
According to a U.S. Justice Department statement released on Wednesday, prosecutors will not seek to retry Edwards on the five unresolved counts.
Edwards, 58, was accused of using nearly $1 million provided by two wealthy donors to help hide his pregnant mistress as he sought the White House in 2008.
Edwards' attorneys, Abbe Lowell, Allison Van Laningham and Alan W. Duncan, released a joint statement Wednesday saying they are pleased with the government's decision not to seek a second trial that they believe would have had the same outcome.
"While John has repeatedly admitted to his sins, he has also consistently asserted, as we demonstrated at the trial, that he did not violate any campaign law nor even imagined that any campaign laws could apply," they said in the statement. "We are very glad that, after living under this cloud for over three years, John and his family can have their lives back and enjoy the peace they deserve."
The Associated Press contributed to this report.