Bob Carruthers is at loggerheads with the SRU

Edinburgh owner Bob Carruthers said independent mediation was the only way to resolve the ongoing row.

The SRU previously indicated it was not in favour of mediation, but in a statement on Wednesday it opened the door for talks.

It also revealed Edinburgh could play domestic fixtures - even though it had resigned from the union.

The row centres on the distribution of Magners League and Heineken Cup fees and led to Edinburgh resigning their SRU membership.

Scottish Rugby is prepared to discuss this matter further with its legal advisors SRU statement

Carruthers claims he is owed money by the SRU and that it misrepresented the cost of running the club.

He resigned Edinburgh's union membership earlier this week.

The SRU charged Edinburgh with misconduct for the withdrawal of players from the Scotland squad.

However, Edinburgh denied breaking any agreement on the release of players.

The SRU earlier claimed that the resignation would bar Edinburgh from playing in the Magners League or Heineken Cup.

But the matter could be resolved if Edinburgh release players for the Scotland squad.

In a statement, the SRU said: "With regard to mediation, Scottish Rugby said that the contractual rights and obligations of both parties are very clear, specifically in regard to monies allegedly owed by Scottish Rugby to Edinburgh Rugby Limited.

"In addition, Scottish Rugby confirmed that it is confident that it is complying with its contractual agreements with Edinburgh Rugby on all other matters.

"A process of mediation would not change the contractual obligations that currently exist.

"But, if Mr Carruthers feels that it would provide an environment to re-examine many of the areas of alleged dispute, Scottish Rugby is prepared to discuss this matter further with its legal advisors."