Dowie lasted just 12 Premier League games before being axed by Charlton
An out-of-court settlement has been reached between Crystal Palace and former manager Iain Dowie following a £1m court case.
Mr Dowie lied when he negotiated his way out of his contract with the club and joined arch rivals Charlton in May 2006, a judge ruled in June last year.
His contract stated he would be liable to pay £1m if he left for another club.
Mr Dowie appealed against the ruling, but both parties reached an agreement before a hearing took place.
"Prior to appeal being heard a mutually satisfactory settlement of all matters has now been reached on terms acceptable to Crystal Palace Football Club," said a statement on Palace's website.
Crystal Palace FC's chairman Simon Jordan argued that, as a gesture of goodwill, he had waived the clause because Mr Dowie had wanted to move nearer his family in Bolton.
But he was appointed manager of the club's south London rivals Charlton eight days later.
He lasted just 12 Premier League games before being axed by Charlton and has since spent a year in charge of Coventry, before leaving in February.