Scott took over when John Connolly joined St Johnstone
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Queen of the South have parted company with manager Iain Scott and put player-coach Stuart Lovell in temporary charge of the Division One strugglers.
Chairman David Rae said: "Iain was relieved of his duties after an amicable agreement."
Queens have won just one of their 12 league games, leaving them second bottom of the table.
Scott was assistant to John Connolly at the Dumfries club for four seasons before taking over 18 months ago.