The clubs had been at loggerheads over an alleged outstanding debt of about $330,000 owed by the A-league side to the Knights for unpaid rent on EnergyAustralia stadium and other costs.

The Knights had indicated to the court last week it would press ahead with its winding up application against the Jets to recover the money, but that changed yesterday.

Lawyers for the two codes attended the NSW Supreme Court yesterday morning to briefly tender paperwork, essentially ending the court action between the parties.

Solicitor for the Jets, the club's chief executive officer John Tsatsimas, said outside the court the fight was over.

"We have entered into a confidential agreement and now we can all move on," he said.

The court was told last week that negotiations between the feuding codes had broken down but the Football Federation of Australia had become involved and wanted more time to negotiate.

Knights chairman Rob Tew said yesterday the federation's involvement had not been crucial in the talks.

"We have come to an agreement on the terms that the Jets will pay us the debt as we claim," he said. "We have agreed on the terms to pay.

"The Knights are pleased with the outcome.

"We have always said we wanted to sort it out.

"It was done directly with Mr [Con] Constantine [owner of the Jets]. The [federation] did not have an influence on us."

Mr Constantine, who said last week he felt betrayed by the Knights' decision to press ahead with legal action, did not respond to calls for comment yesterday.