The two-year feud between best friends Paris Hilton and Nicole Richie appears to be over.


Paris Hilton and Nicole Richie were spotted dining together on Caesar salads and penne pasta at the West Hollywood restaurant Dan Tana's on Sunday night.


A fellow diner told PEOPLE:

They looked like best friends to me,

It seemed as if they had never gotten into a fight. They were laughing really loud and seemed more than happy to be together. There wasn't a slow moment in their conversation – they chatted non-stop. They left hand-in-hand, smiling.

Paris Hilton's publicist, Elliot Mintz, told PEOPLE:

They had a meal last night. It's not my place to say what was discussed or the nature of the meal. But it's a good thing when people have a meal together.

When asked if they're best friends again, Mintz said:

I wouldn't characterize it that way because I don't know if it was a business or personal discussion. Let's just watch it unfold.

Paris Hilton and Nicole Richie have known each other since childhood. Neither has ever revealed the exact cause of their falling-out, which dates to early 2005.