Asante Kotoko will not be relegated from the Ghana top-flight despite failing to meet a FIFA deadline to pay Hans Dieter Schmidt's compensation fee of 99,000 Euros.
The world's football governing body's 30-day ultimatum to the Ghana Premier League giants elapsed on Monday.
Kotoko officials told MTNFootball they have reached an agreement with the legal representatives of Schmidt over a payment plan.
An amount of 47, 000 euros have been paid to the German coach with the remainder 52,000 Euros to be settled next month.
"We have reached an agreement with his (Hans Dieter Schmidt's) lawyers and so there is a clear understanding on how to settle the debt,'' the club's spokesperson Listowell Bukarson told MTNFootball.com
Kotoko wrongfully dismissed Schmidt in 2005, a year after he had led the club to the final of maiden CAF Confederation Cup-losing to rivals Hearts of Oak.
FIFA warned that the club will demoted to the country's third-tier side if they failed to pay.