Everton have agreed to pay Watford £4m in compensation for their hiring of manager Marco Silva after months of intense scrutiny following allegations of tapping up.
The Hornets had made an official complaint to the Premier League last year over what they regarded as 'tapping up' by Everton, with the league employing a law firm to interview all the parties involved in the hope of reaching a resolution.
Had the case gone to an inquiry and a verdict reached against the Toffees, then the Merseyside club could have faced a possible sanction of a points deduction.
However, according to The Telegraph, a financial arrangement has now been claimed to have been reached between the two sides, with a full inquiry now not needing to take place.
The controversy began when Watford were left furious at Everton's attempt to replace the sacked Ronald Koeman with Silva in November 2017.
After turning down up to £10m in compensation for the Portuguese manager, Watford's early promising form deteriorated over the course of the season, with just one win in 11 matches.
The side's poor run of form led to the club being just five points above the relegation zone on 21 January, with Silva sacked as a result.
In a statement released at the time, Watford said: "The catalyst for this decision is that unwarranted approach, something which the board believes has seen a significant deterioration in focus and results to the point where the long-term future of Watford FC has been jeopardised."
Last July the club again insisted that their case with Everton was not over, but it now appears that the situation has finally been resolved.