Nicole Kidman accepted damages from The Daily Telegraph newspaper Friday for falsely reporting she had breached the terms of her promotional contract for Chanel No. 5 perfume.

Details of the settlement weren't disclosed, and the 40-year-old actress wasn't in court. Her lawyer, John Kelly, said Kidman suffered considerable embarrassment and distress over the report.

The newspaper's "Spy" column reported last month that Kidman carried a bottle of a competitor's perfume while she was in London to promote her new film, "The Golden Compass."

Kelly said the newspaper had determined the source of the report had invented the story.

He said The Daily Telegraph agreed to pay Kidman's legal costs and "substantial" damages. Kelly said the actress intended to donate the damages to the United Nations Development Fund for Women.