Aston Villa will not proceed with legal action against Sky Sports pundit Jamie Carragher.
Villa threatened legal proceedings against the former England international after he made “unacceptable insults” on the Stick To Football podcast last week.
Carragher told Villa fans to “shut the f*** up” after facing criticism for suggesting Unai Emery should consider taking the Manchester United job if Michael Carrick is sacked.
The pundit apologised on social media, admitting he used “clumsy and wrong” language.
And Villa will now take no further action, the sources have told Press Association.
Angry owner Aston Villa Nassef Sawiris said in a statement on Friday: “Aston Villa will initiate legal action against Jamie Carragher for his unacceptable insults about the Club and its fans.
“Aston Villa will not allow anyone to stop our ascension in English and European football.”
Carragher quickly apologised, insisting his attack on Villa fans was “tongue in cheek.”
He posted on social media: “I’d like to apologise to Aston Villa, the owners and their fans.
“My language this week was clumsy and wrong.
“I can assure Villa fans it was tongue in cheek but I can understand it’s not come across that way, so apologies.”
Villa are in Champions League action on Tuesday when they take on Barcelona at the Nou Camp.
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