Nicole Kidman Stops The Presses

Oscar-winning actress Nicole Kidman accepted a public apology and undisclosed damages Thursday to settle a libel suit against a newspaper that suggested she had an adulterous affair with co-star Jude Law.

Kidman's lawyers told the High Court libel hearing that in an article published on March 6, the Daily Mail alleged Kidman had tempted Law to cheat on his wife Sadie Frost, causing the breakdown of the marriage.

It was also suggested in the article that her repeated denials of the affair were dishonest. "The publication of this article has caused grave damage to the claimant's personal and professional reputation and she has suffered considerable embarrassment and distress," said solicitor Gideon Benaim.

"Her embarrassment was particularly acute as the allegations coincided with the run-up to the Oscars award ceremony in Los Angeles in which she had been nominated for an award for best actress in a leading role for her role in 'The Hours.'"

Kidman won the Oscar for the part.

Associated Newspapers, editor Paul Dacre and journalist Nicole Lampert freely accepted that the allegations were untrue and without foundation. They apologized for the distress and embarrassment caused and agreed to pay legal costs as well as damages.