Van Viet Truong, 60, died from serious injuries after attempting to save a fellow retailer allegedly under attack by a group of youths at Sunshine in western Melbourne.
A 13-year-old boy, who cannot be named for legal reasons, walked free from a children's court on Friday after charges of violent disorder, affray and intentionally causing injury were struck out by a magistrate.
A prosecutor told an earlier hearing that evidence had come to light indicating the boy might be exonerated.
The 13-year-old had been accused of being part of a group of youths that stole items and ran from a clothing shop near Mr Truong's Hong Hung grocer on August 1.
A worker chased the group to retrieve the clothes when the youths allegedly began to attack them and another witness who tried to step in to help.
Members of the group turned on Mr Truong when he came to the pair's aid, the court was previously told.
The grocer was dragged to the ground, where his head hit the pavement and caused a "cracking sound" before youths allegedly repeatedly struck the victim.
Witnesses, who begged the group to stop before they fled, reported seeing the shopkeeper "changing colours and not moving" and heard "bubbling" sounds coming from his mouth.
The Hong Hung Asian Grocery store owner was rushed to hospital in an induced coma and died four days later when his life support was switched off.
Two girls, both aged 14, were granted bail after a magistrate accepted they did not pose an unacceptable risk to community safety.
A boy aged 12 was also granted bail.
Another boy, 15, is remanded in youth detention on a manslaughter charged accused of dragging the grocer to the ground.