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Prince Andrew and Virginia Giuffre have reached an "out of court settlement" over a civil case filed in the U.S.
Last year, Giuffre filed a lawsuit against the British royal, alleging he raped and sexually abused her when she was 17. The 61-year-old has repeatedly denied the claims.
As part of court proceedings on Tuesday, lawyers for both parties submitted a letter to district court judge Lewis A. Kaplan in which they revealed they had "reached a settlement in principle".
"Virginia Giuffre and Prince Andrew have reached an out-of-court settlement. The parties will file a stipulated dismissal upon Ms Giuffre's receipt of the settlement (the sum of which is not being disclosed)," the document reads. "Prince Andrew intends to make a substantial donation to Ms Giuffre's charity in support of victims' rights. Prince Andrew has never intended to malign Ms Giuffre's character, and he accepts that she has suffered both as an established victim of abuse and as a result of unfair public attacks."
Giuffre previously claimed she was trafficked by late billionaire Jeffrey Epstein, a convicted sex offender, to have sex with influential men, including the royal.
However, Andrew's lawyers argued that the case should be dismissed as Giuffre, 38, signed a confidential settlement with Epstein in 2009 in which she agreed not to sue any other possible defendants.
"It is known that Jeffrey Epstein trafficked countless young girls over many years. Prince Andrew regrets his association with Epstein, and commends the bravery of Ms Giuffre and other survivors in standing up for themselves and others," the statement continued. "He pledges to demonstrate his regret for his association with Epstein by supporting the fight against the evils of sex trafficking, and by supporting its victims."
Last month, a representative for Buckingham Palace announced that the Duke of York, Queen Elizabeth II's third child, had been stripped of his titles and patronages amid the civil case. He also agreed to stop using the style His Royal Highness in an official capacity.