Cork University Hospital has apologised to the family of triplets for the care of one of the babies, the day after they were born.
The High Court heard three-year-old Maja Moldysz, from Rathcormac in Co Cork, suffered a "catastrophic event" on the second day of her life and is now severely physically and intellectually disabled.
The apology was read as the family of the little girl settled their action against the Health Service Executive.
The settlement included an interim payment of just over €887,000 for the next two years.
Senior Counsel John O'Mahony told the court it was their case that while an apparatus to administer intravenous fluids was being set up for Maja, an air bubble escaped to her heart and brain, causing her to suffer catastrophic injuries.
Maja and her brother and sister were born on 4 July 2018. She was in reasonably good condition after her birth and was breathing independently. She suffered acute cardio respiratory arrest and profound brain damage after the incident on 5 July.
Dr O’Mahony said the triplets were born after the couple had IVF treatment.
Maja is unable to stand or walk and her speech is poor for her age. He said the injuries were permanent and she was lagging behind her brother and sister.
In its apology, the hospital said a review showed aspects of the care Maja received did not reach the standards that should be expected. It recognised the impact that the incident had on Maja and the distress it had caused. It unreservedly apologised for what had happened.
The review recommended all neonatal staff in the hospital participate in a programme of education in relation to the preparation and administration of IV fluids, including infusion pump training.
Mr Justice Michael Hanna said it was a very sad case and it was particularly poignant because Maja was a very loved and much wanted child.