What they actually said was "Promise not to pursue this case any further or pay us $1 million."
I felt it was worth pointing out one of the most patently ridiculous things I've ever heard, and the fact that it was given play really tells you how the NYT leans.
That said, it was a bullshit link-bait headline buy hey, traffic, right?
Fixed that for you. There is no guarantee that they will recover all or part of those costs if they decide to pursue it.