The Cynthia Woods sailboat capsized when its keel and a portion of the hull surrounding it broke off during a race in the Gulf of Mexico.
Safety officer Roger Stone was trapped below deck and drowned after pushing two student sailors to safety.
Money from the settlement will help pay college costs for Stone's children, Eric, 16, and Elizabeth, 13, documents state.
Cape Fear Yacht Works is owned by Kent Mitchell, the son of development tycoon George Mitchell.
