The EastEnders actress, 52, appeared at Bexley Magistrates Court accused of racially abusing the warden after she was told not to drop her cigarette butt on the floor.
During the incident, which occurred outside a Jamie's Italian restaurant in September last year, she allegedly asked the warden, 'Do you know who I am? I'm Shirley', before calling her a 'n*****'.
The warden, Iyabo Adetokunbo, claimed Linda became abusive when asked for her details to be given a penalty. She told the court: "When I asked her again she said 'do you know who I am?' I said 'I still need your details.'
"She said she's Shirley and 'are you new?'" Linda was found not guilty.
The former Bad Girls star was appearing in court under her married name Varilis. The judge said: "Ms Varilis is of previous good character, which means that she has enhanced credibility, in addition to which she is someone who does not have the propensity of behaving in the way that the Crown allege she did on the occasion in September."
Her husband Stavros was there to support her, as was her former on-screen best friend Cheryl Ferguson AKA Heather Trott.
Linda, who plays Shirley Carter in the BBC One soap, reportedly embraced her supporters as she left the court.