Chardonnay Ward it was claimed fell over a kink on a mat and hit her head.
Chardonnay Ward, now aged 9, of Ashdale, Coosan, Athlone, Co Westmeath, had sued through her mother Margaret Roche the governor of Cloverhill Prison, Dublin, as a result of the fall on February 16, 2012.
It was claimed the child fell over a kink on a mat which had been placed on a wet floor near the doorway. The little girl fell against a plastic chair and a windowsill hurting the side of her head and above her eye.
It was claimed there was an alleged failure to keep the floor of the premises free from articles which were likely to cause the child to slip and fall and an alleged failure to take any appropriate measures to remove the dangers presented by the water on the floor.
It was claimed there was an alleged failure to take any or adequate precautions for the safety of the child whilst visiting the prison.
The claims were denied.
Kerida Naidoo, counsel for the child, told the court the child was taken to hospital and later recovered but has been left with a permanent scar over her right eyebrow.
Approving the settlement of €25,842, Mr Justice Kevin Cross said the scar was not a significant blemish.