TORONTO -- Facing mounting criticism, Toronto Raptors coach Butch Carter dropped his $5 million defamation lawsuit against forward Marcus Camby of the New York Knicks. In a statement released Tuesday, Carter admitted that "bringing the courthouse into the locker room was not the best way to address this particular matter." Carter sued Camby on Friday, two days before the teams opened their playoff series, because the ex-Toronto forward called him a "liar" and said many players don't like him. Camby claimed he was traded to the Knicks just days after Carter promised to build the Raptors around him. Told that Carter had dropped the lawsuit, Camby said he had other things on his mind. "It didn't really affect me when it was brought out," he said. "So all I'm worried about is Game 2." The Raptors lost the playoff opener 92-88. Game 2 of the best-of-five series is Wednesday in New York. Players from the Knicks and Raptors laughed when they first heard about the lawsuit last week, and NBA deputy commissioner Russ Granik called it "unprecedented and highly inappropriate." Carter later said he might consider dropping the lawsuit if Camby apologized. Camby didn't. After Tuesday's practice, Carter claimed he didn't regret the action. "There was pressure and influence on me to (file the lawsuit)," said Carter, who wouldn't say who pressured him. "Your advisory board sometimes changes." Granik spoke at length with Carter on Monday about his motives for taking legal action. "We're happy with Butch's decision and we look forward to the rest of the series," NBA spokesperson Teri Washington said. Raptors management asked to see the statement before it was released. Raptors guard Tracy McGrady was also glad Carter dropped the suit. "He's gone through a lot, and it's probably frustrating him," McGrady said. "It's out of the way. We don't have to worry about that. The only thing we have to worry about is the New York Knicks. We just have to get back to playing basketball. We should have had that game Sunday." The Camby fiasco wasn't the only controversy for Carter this month. In a book he co-wrote with his brother, NFL wide receiver Cris Carter, Carter accused his former college coach, Indiana's Bobby Knight, of calling a player a racist name. He also saw his team slump badly and endured criticism from his veteran players for calling so many plays for Vince Carter and McGrady.