Town have finally settled their long-running legal wrangle with former manager Jim Magilton. The 41-year-old was sacked by the Blues in April 2009 and subsequently issued a High Court writ against the club to try to recover £352,083.33 in lost earnings from his contract which was up at the end of June last year.
The case was due to be heard in the High Court this week but the League Managers’ Association (LMA) says the matter has now been settled: "[After his dismissal] Magilton tried to resolve matters relating to his departure amicably and sensibly with the club, but the club failed to agree to pay him the sums clearly due under the terms of his contract.
"The LMA, with its solicitors RJW, therefore filed court papers for recovery of the sums due.
"It came as a shock to Mr Magilton, and all concerned, that the club’s response to the proceedings was to then try and find grounds to justify not paying him.
"The claim was due to be heard in court this week, but in a last minute climbdown, the club has unreservedly withdrawn the defence and agreed to pay Mr Magilton the sums due to him and all of his legal costs.”
Acting on behalf of the Northern Irishman, Paul Daniels of RJW solicitors said: "The club made various allegations against Mr Magilton, which we advised were completely without substance and that he had an unanswerable case.
"High Court proceedings were regrettably progressed, and despite reasonable offers to compromise the matter, the club still continued to raise yet more issues that were not relevant to the case.
"We are disappointed that the club took so long to sort this matter out but we are delighted that our client has won his case and been completely vindicated".
Magilton himself says he is sad that matters progressed as they did at a club where he played for eight years and spent three seasons as manager: "It was disappointing and upsetting that a club I had served so loyally for so many years, as a player, club captain and then manager chose to try and deny me the compensation agreed in my contract, when we sadly parted company in 2009.
"I tried to obtain a sensible settlement, and even made an offer for less than the sum now agreed, but they still would not agree to my proposals.
"Instead, they continued to raise more unfounded issues, which they either then abandoned or have now withdrawn.
"It has been a long, tiring and unnecessary dispute, but I am delighted that I have, with the support of the League Managers Association and its outstanding legal team, RJW solicitors and Paul Gilroy QC, entirely cleared my name and put the record straight.
"I still have fond feelings for Ipswich Town, a club where I made many friends and I wish the club all the best for the future.”
The club have issued a statement: "Ipswich Town Football Club can confirm that it has reached a mutually agreeable settlement with one of our previous managers, Jim Magilton, regarding an outstanding matter.
"The dispute and outcome of the settlement are a confidential matter between ourselves and one of our previous employees and as such we will be making no further comment on the matter."