Knox County Schools settled its lawsuit on Friday with a couple who said their daughter was abused by a teacher.
A judge ordered to seal the documents, but the county law director said the settlement will cost taxpayers $45,000.
The couple originally sought $350,000 in damages after they claimed their 5-year-old daughter with special needs was strapped to a restraint chair at Cedar Bluff Pre-School Center in September 2011.
The girl's parents said her teacher, Susan Peterson, shoved their daughter, knocked her over a chair and then shoved the girl again, which caused her to fall and hit her head. Her parents said this happened after their daughter knocked off the teacher's cup of coffee.
The girl's parents said the director of the pre-school center didn't tell them about either incident until days later. Peterson, the school's director and the school system have denied those claims.