John Kelly, Kidman's solicitor, told London's high court that she had endured much distress and embarrassment over the column's reports, and that the newspaper admitted the allegations were not true.

Representing the Telegraph, David Price apologised on behalf of the paper, according to MediaGuardian.

The Telegraph has agreed to pay substantial undisclosed damages, as well as Kidman's legal costs, MediaGuardian reported. She will donate the damages to Unifem, the United Nations Development Fund for Women.