Published Tuesday, 10 January 2012
Hearn has made a number of changes to the format of professional tournaments since taking the reins two years ago - prompting Allen to lash out over fears that the World Championship would be next.
The 25-year-old UK Championship runner-up called for Hearn to quit and said "the whole tradition of the game is going to pot".
But Hearn, who said at the time that he would seek legal advice, now says the issue has been addressed in a "frank and friendly" discussion with Allen.
Does he want to be a superstar in an ever-expanding global sport, or does he want to go back to billiard halls and snooker parlours and eke out a living?
Barry Hearn
"I explained my strategy and I think he's a little wiser now," Hearn told BBC Sport.
"Every player must look on decisions that I make as 'how does this affect me personally?' My job is 'how does it affect the game?' It's my way or the highway."
He added: "Mark's prize money this year is probably double what he's earned in the last couple of years, so I must be doing something right.
"We had a very frank and friendly exchange of views and in the end I think he saw my point of view, but time will tell."
Hearn, who previously said the World Championship is the one tournament he wouldn't want to change, also said some "tweaking" may become unavoidable in the future - depending on "what my "customers tell me they want".