New Orleans police picked up Cage outside of his home in the French Quarter on April 16 after he reportedly engaged in a heated argument with his wife Alice Kim.
An eyewitness, Peter Bennett, described Cage's arrest as quite a volatile scene, saying at the time: "The cop got out, walked around and Cage ran a block south toward the river, where he tried to get into a cab. There was a woman outside with a baby in her arms shouting, 'Please don't hurt us'."
A spokesperson for the New Orleans District Attorney office has now confirmed to TMZ that it will not pursue charges against Cage, due to a lack of sufficient evidence.
The Sorcerer's Apprentice star's lawyer Harry Rosenberg reacted to the news by stating that Cage is looking forward to putting the incident behind him.
"We are pleased that the process led to the correct result, despite inaccurate media reports, and that Nick has been cleared and all charges have been dropped," Rosenberg told People.
Only days after the altercation, Cage was back at work on his next film Medallion and even attended his son Weston's wedding to girlfriend Nikki William.
Cage will next star with Nicole Kidman and Cam Gigandet in filmmaker Joel Schumacher's thriller Trespass, which is expected to be released later this year.