Diaz settles suit against Enquirer

Cameron Diaz accepted “substantial” damages from American Media Inc., publisher of the National Enquirer, on Friday for alleging that she had an affair with a married man, her lawyer said.

Simon Smith, a partner with the London law firm Schillings, told London’s High Court that the article alleged that Diaz had a “smooching session” with a married producer who worked on her MTV show, “Trippin’.” The article was posted to the magazine’s website in May 2005.

Sam Howard, the Enquirer’s lawyer, said the magazine “entirely accepts that the allegations were without foundation and ought never to have been published.”

It was the second settlement in the case for Diaz: In July 2005, the Sun paid the actress -- star of the “Charlie’s Angels” films and “There’s Something About Mary” -- undisclosed damages after settling out of court over the same story.