“We can confirm there is a dispute between the two parties in this matter,” a spokesperson told the Daily Mail.
“The contractual details remain the subject of a confidentiality agreement and prevent further discussion.”
The suit was filed by the original owners, who sold the property to the royals after they rented it for years.
Earlier this year, Fergie posted her first message on social media after taking a short break in the wake of Andrew stepping down from royal duties.
Taking to Instagram in January, the Duchess shared two photos of a sunset over a mountain range, along with a heartfelt message for the New Year.
“As the sun goes down on 2019, I look to the mountains for strength and wisdom to guide us all into a magical and enlightened road ahead,” Fergie captioned the snaps.
She continued: “Happy New Year for 2020. So much love in abundance.”
The photos were thought to have been taken in Verbier, Switzerland, where Fergi owns her ski lodge with Andrew and typically enjoys winter breaks with her daughters.
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