Nottingham Forest have paid Nottingham City Council more than �200,000 for interest the club owed on a loan. Earlier this month the council was forced to bail out Forest, who had defaulted on the payment.
In a statement on Friday afternoon, the club said the additional funds to pay the interest had been supplied by the Forest Chairman Nigel Doughty.
The council had threatened to kick the club out of the City ground if the situation was not resolved.
The authority was forced to come up with �209,000 to meet an interest payment as it guaranteed the loan when it was taken out by the club in 1994.
Forest took out the �4.3m loan to help develop a new Trent End stand and turn the City Ground into an all-seater stadium for the Euro 96 finals.