Manly chief executive Tim Cleary has resigned from his post, two months after the start of tensions with club legend Bob Fulton over accusations Fulton's daughter was shown the door by the NRL club.
Cleary is believed to have been involved in a bitter feud with Sea Eagles head of football Fulton in early March after the clearing out of Kristie Fulton from the football department.
The power struggle escalated when football manager Jacky McCauley alleged she had been reprimanded by Cleary after asking Eddie Obeid Jr to identify himself earlier this year.
The incidents forced Manly chairman Scott Penn to arrange peace talks in the hope of rebuilding a working relationship, however, Cleary stood down on Friday evening.
"I enjoyed my time at the Sea Eagles with the team, fans and especially match days. I wish the team every success for the future," Cleary said in a club statement.
Penn will become executive chairman.
"I would like to thank Tim for the contribution he has made to the Sea Eagles and I wish him and his family all the best for the future," Penn said.
"I will continue to work closely with chief operating officer Neil Bare, who has been a key member of the Sea Eagles' senior management team since November 2014.
"We have a sound business plan and I look forward to working more closely with our terrific administration and football operations teams to ensure we continue to achieve our off-field and on-field vision."
A former principal at St Augustine's College in Brookvale, Cleary's resignation comes eight months after assuming the role from Joe Kelly.
In March, Penn had attempted to soothe the strain between Cleary and Fulton.
"It was important that everyone had the opportunity to discuss their views, resolve any differences of opinion and create a new pathway for the future," Penn said at the time.
"I am delighted that both Bob and Tim have cleared the air and have committed to actively working together to take the Sea Eagles to the next level."