The former England keeper was sent off in the final minute of the 4-0 npower Championship defeat at Ashton Gate on Saturday after bringing down Cameron Park inside the area.
Referee Daren Drysdale showed James a straight red card for denying a goalscoring opportunity.
City appealed claiming there were covering defenders and the Football Association`s disciplinary panel agreed, meaning James will not serve a one-match suspension and will be available to face Crystal Palace at the weekend.
Source: PA
Source: PA