Bosman, whose 1995 court case led to players throughout Europe being entitled to free transfers at the end of their contracts, will receive 16 million Belgian francs (£312,000).

His action followed former club Liege's decision to allow him to move to Dunkirk in France without a fee, leaving him without a club.

He eventually won his case at the European Court of Appeal in 1995, but it was then too late to revive his playing career.

"This agreement is very important as it will allow Jean-Marc Bosman to reintegrate himself into the football world," said his lawyer, Jean-Louis Dupont.

Belgian Federation secretary general Jan Peeters pronounced himself happy that the affair was finally over.