Dowie was ordered to pay close to £800k in compensation to Mr Jordan after a High Court case ruled against the Northern Irishman after legal action was taken after Mr Dowie had left Crystal Palace to join Charlton Athletic.
Iain Dowie was expected to leave City back in October to join Leicester but was persuaded otherwise by the offer to pay his court costs.
New Coventry City Chairman Ray Ranson is expected to get the monies owed to Mr Dowie sorted this week.