The United Synagogue has reached a settlement with a kosher supervisor who sued it for allegedly objecting to the state of his beard.
Jonathan Abrahams, 58, a Lubavitch Chasid from Stamford Hill, North London, was made redundant by the US more than a year ago.
But after applying unsuccessfully for other jobs in the organisation, he filed claims of religious and age discrimination.
Mr Abrahams is understood to have argued that US officials took issue with the tidiness of his beard.
But the two parties settled ahead of a three-day tribunal hearing, scheduled to begin in Watford on Tuesday.
The US said it did not comment on personnel matters.
Mr Abrahams was unavailable.