Paul McBride QC will not face legal action from the Scottish Football Association after expressing regret over recent criticism.
McBride attacked the SFA after Rangers trio Ally McCoist, Madjid Bougherra and El-Hadji Diouf escaped further bans for their part in a Scottish Cup fracas.
He had represented Celtic manager Neil Lennon over a disciplinary manager and accused the SFA of bias.
SFA chief Stewart Regan reacted angrily, but the pair have reconciled.
Rangers assistant McCoist won his appeal against a touchline suspension, while Bougherra and Diouf avoided bans for misconduct during and after Celtic's recent Scottish Cup replay victory.
Paul McBride QC
“I recognise that offence has been taken to my remarks by the Scottish Football Association as an organisation, its council and its staff, and for that I express regret”
McBride responded in an interview with BBC Scotland by describing the organisation as "the laughing stock of world football" and said the SFA "had been shown to be not merely dysfunctional and not merely dishonest but biased."
McBride, who was the target of a parcel bomb found in a Kilwinning postbox on Friday, released a statement saying:
"In the course of an interview given to BBC Scotland on April 12, 2011, I made a number of remarks which followed the decision made at the disciplinary hearing involving Rangers FC players and their assistant manager.
"Following discussions with the Scottish Football Association, I recognise that offence has been taken to my remarks by the Scottish Football Association as an organisation, its council and its staff, and for that I express regret.
"I have a lot of respect for many individuals within the SFA, not least Stewart Regan.
"Under his leadership, I anticipate many reforms which will be welcomed across Scotland."
Regan, who will put his major overhaul of the SFA's disciplinary procedures to clubs at the organisation's AGM next month, welcomed the statement.
He said: "Following constructive discussions with Paul McBride, I can confirm that the Scottish FA will not proceed with either a defamation case against him or a complaint to the Faculty of Advocates.
"Whilst anyone is entitled to criticise the Scottish FA, we cannot allow our integrity to be challenged.
"Now that this issue is behind us, we can concentrate on the internal and constitutional reforms which will benefit Scottish football going forward."