Computer Associates International Inc. of Islandia, N.Y., and First Fidelity Bancorp. of Lawrenceville, N.J., have settled a year-old legal dispute over software licenses.

The agreement gives First Fidelity a so-called enterprise license to use Computer Associates software on any of the bank holding company's computers for five years for an undisclosed fee.

The "flat-fee" agreement means that First Fidelity will not pay any additional fees -- beyond the one-time fee paid for the enterprise license -- to use Computer Associates software in any affiliate or venture.

This includes the Global Processing Alliance Inc., a check processing venture Fidelity recently formed with Bankers Trust New York Corp., Donald C. Parcells, a Fidelity executive vice president, said in a statement.

Paul Levine, a bank spokesman, said the agreement will not have a material impact on the bank's operating expenses.

Computer Associates, a leading maker of database, security, and systems software for mainframe computers, had sued First Fidelity in April 1992 for breach of contract.

The vendor said that as a result of a computer consolidation, six Fidelity affiliates were using Computer Associates software without paying the required license fees.

The Fidelity consolidation was being managed by Electronic Data Systems Corp., which Fidelity tapped in 1990 to run its computers.

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