Demi Lovato & Alex Welch reach settlement

Demi Lovato has reached a settlement with the backing dancer she reportedly assaulted.

It was reported that Demi punched Alex in the face on a private yet while on the Jonas Brothers tour shortly before she checked herself into rehab for emotional issues. Since then, photos of Alex have hit the net showing her bruised face – reportedly Demi’s handy work.

Alex’s attorney, Donald Karpel, didn’t specify an amount but told TMZ: “The parties are satisfied and the dispute has been resolved amicably and completely.”

It has also been reported that Demi has been allowed out of rehab for Christmas.

“Demi’s spending Christmas with her family outside of the facility, and will return to the treatment center that same night,” a source said, reports ShowbizSpy.

“She’ll be continuing her treatment sessions come January 2011, with the hopes of transferring to an outpatient care program at the end of the month.”