Clive Palmer's defamation case against Townsville mayor Jenny Hill has been settled after both parties reached agreement.
Mr Palmer's lawyer earlier told the Brisbane Supreme Court on Wednesday his client had not accepted an offer from Ms Hill to settle, despite correspondence suggesting an agreement had been reached in February.
But following discussions between both parties' lawyers, they told Justice Peter Applegarth they had agreed to settle.
Justice Applegarth said draft orders would need to be submitted.
Details of the agreement were not given in court.
Mr Palmer took legal action against Ms Hill over comments that he financially benefited from the collapse of his nickel refinery in North Queensland.