Trustees of AmalgamatedBank of New York and the Central Laborers Pension Fund, which are both News Corp shareholders, first filed a lawsuit in March 2011.
"We are proud of this historic settlement, which continues the 20 year history of AmalgamatedBank encouraging corporate reform and improved corporate governance, " AmalgamatedBank president and chief executive Edward Grebow said in a statement.
Earlier this year, two other AOL Time Warner shareholders - the University of California and the Amalgamated Bank's Long View Collective Investment Fund - alleged in a lawsuit that some of the firm's top executives boosted its share price through bogus transactions.