Singer Megan Washington has won a payout in a court battle with Qantas over misuse of a video of her performing I Still Call Australia Home.

Fairfax reports the artist took legal action against the airline last year to seek $500,000 in damages for its alleged misuse of a recording of her performing at its 90^th anniversary party.

Qantas reportedly used the video of her singing on its website, YouTube and during in-flight entertainment, with Washington claiming the use raised copyright issues and effected her reputation.

The case was heard by the Federal Court but settled confidentially.

Washington this week was featured on Australian Story speaking about the trauma of her lifelong stutter.