Daily newspaper The Sun has agreed to pay £10,000 in damages to singer Lily Allen over an article that wrongly claimed she insulted Victoria Beckham.
The article, which first appeared in a French magazine, also falsely alleged Allen was offensive about Cheryl Cole.
Allen, best known for hits such as Smile and LDN, denied ever making the comments and sued for defamation and false attribution of authorship.
The paper has issued an apology in Friday's edition.
"In May we reported in Bizarre that Lily Allen had made various offensive remarks about David and Victoria Beckham and Ashley and Cheryl Cole in an interview with a magazine," the apology said.
"We now accept that Lily didn't say these things to the magazine and we apologise to Lily for the upset and embarrassment caused by repeating them."
Allen's lawyer, Mark Thomson of Atkins Thomson, confirmed that the Sun had agreed to pay £10,000 in damages to the singer, as well as her costs.
Legal action is still being taken against the French sports magazine, So Foot, which published the original article.