Derry City Council has agreed to make a five-figure payment to a businessman over the alleged illegal dumping of waste on his land.
A judge refused to order the removal of up to 3,000 tons from Bernard McFadden's property due to the heavy costs involved, and the land is to be bought for a nominal sum.
Bernard McFadden brought a case claiming unlicensed dumping on an area of nearly 700 sq metres adjacent to the former Culmore landfill.
The alleged encroachment was discovered in 2004 and had been going on for years, the court was told.
Mr McFadden's legal representatives said waste had been left outside the area for which the Northern Ireland Environment Agency licensed the council to dump, breaching its licence.
The council's barrister said that any trespass was limited, and that the vast majority of material on the land was not material from the council landfill site.
Later, following discussions between the two sides, Mr Justice Deeny was told the case had been resolved.
The land at the centre of the dispute is to be purchased for a nominal sum of £1, with the council paying Mr McFadden's legal costs.
He is also to receive an indemnity over any leachate which escapes from the land into Lough Foyle.