The Times newspaper reported that the Ryder Cup star's ex-wife Eimear agreed to a one-off payment out of court - thought to be half his personal wealth.

In return, she agreed to waive the right to claim on his future earnings.

Montgomerie's manager, Guy Kinnings, said: "Colin is relieved everything has been resolved. It's been a pretty difficult time for him." The couple divorced in September 2004 when Mrs Montgomerie accused her then husband of unreasonable behaviour due to his "obsession" with golf.

Montgomerie is currently competing in the Dubai Desert Classic.