Scottie Scheffler has had all charges dropped after his arrest before the second round of the PGA Championship earlier this month. (More Sports News)

The world number one was arrested after play was delayed at Valhalla Golf Club due to a traffic incident outside the course, with one person left dead from the incident, which did not involve Scheffler.

It later emerged the American had been charged with second-degree assault of a police officer, third-degree criminal mischief, reckless driving and disregarding traffic signals from an officer.

Louisville Metro Police Department said a bus had struck and killed a pedestrian in the incident, which Scheffler was reportedly attempting to navigate to enter the course.

Scheffler asserted the situation was a "big misunderstanding" following his arrest on May 17, which Jefferson County Attorney Mike O'Connell agreed with after reviewing the evidence.

O'Connell said Scheffler's actions did not "satisfy the elements of any criminal offence", while the golfer's attorney Steve Romines confirmed his client would not file a civil lawsuit.

"We are pleased the case was dismissed today," Romines told reporters as the attorney said Scheffler wanted to focus on his golf, rather than the incident after the court case was closed.

Scheffler posted a five-under-par 66 on the Friday of his arrest but finished tied for eighth as Xander Schaffuele triumphed for his first major glory.