Rotterdam council was within its legal rights when it dismissed academic Tariq Ramadan in August 2009, a court ruled on Wednesday.
Ramadan was asking for €75,000 for wrongful dismissal, but the court ruled he has no claim. Instead, he will have to pay the €3,638 cost of the case.
The Islamic philosopher lost his job as city integration officer after officials discovered he presented a tv show for a broadcast company financed by Iran.
Erasmus University also ended his contract as a visiting professor.