English soccer teams West Ham and Sheffield United have finally reached an out-of-court settlement, which brings to an end their lengthy dispute over Argentine striker Carlos Tevez.

Tevez, who Sheffield United claimed was registered at West Ham illegally, helped the club avoid relegation from the English Premier League in the 2006/07 season at the expense of Sheffield United, who were relegated.

Media reports state that West Ham have paid anywhere in the region of US$21 to US$35 million in compensation in what is thought to be a stage payment.

A joint statement was released from Sheffield United chairman Kevin McCabe and West Ham chief executive Scott Duxbury, which said: "Both clubs are pleased to announce that a satisfactory settlement for compensation has been reached which brings the dispute between Sheffield United and West Ham to an end."

Mr Duxbury added: "For everyone concerned, the time was right to draw a line over the whole episode. We have had very positive discussions over a number of days with Sheffield United and acknowledge their willingness to resolve this in the best interests of both clubs."

Mr McCabe said: "We are happy and satisfied with the settlement with West Ham. Throughout the finalisation of the terms for the agreement, the discussions were friendly, co-operative and in the best of spirit with both the Blades and Hammers advisory teams."

Tevez, who currently plays for Manchester United, and fellow Argentine Javier Macherano, who is now at Liverpool, were both signed by West Ham from Brazilian soccer club Corinthians in August 2006. The transfers broke Premier League rules over third-party ownership of players.

Sheffield United lost in the region of US$42 million in broadcast revenue when relegated from the Premier League and they claimed that Tevez's outstanding performances and goals in the close of the 2006/07 season were instrumental in keeping West Ham up.

Tevez, whose rights are still held by Media Sports Investment (MSI), is coming to the end of a two-year loan at Manchester United. MSI are demanding US$45m for his permanent transfer.