Chelsea have been cleared to continue with their plans to build the new Stamford Bridge.
A local family's injunction has halted the stadium's progress since May.
The Crosthwaite family, who have owned a house behind the stadium for 50 years, believed the new development would block sunlight into their home.
An easement called a 'right to light' protects landowners right to receive sunlight on their land or property.
Things turned on Monday however, when the Hammersmith and Fulham council decided to flex their muscle and exercise statutory powers that will see them enter a temporary lease agreement with Chelsea.
This will invalidate the injunction and the Crosthwaites will receive compensation. They will then need to look down other legal avenues to have the project cancelled.
The 60,000-seat stadium was approved a year ago and has been signed off by the Mayor of London, Sadiq Khan.