The song, a cover version of the 1972 Elton John classic Tiny Dancer, was recorded to raise funds for the little girl who suffers from a rare and aggressive form of cancer.
Lily-Mae's parents, Judith Sibly and Leighton Morrison, have welcomed the news that their invoices for the money they are owed from the Tiny Dancer single will now be honoured.
Steve Macken, who produced the charity single, said the development was a huge weight off their minds.
However, the good news does not extend to HMV voucher holders.
It has been confirmed that HMV Ireland has no plans to honour thousands of gift vouchers given as presents over Christmas, despite the UK branches of the company accepting the gift cards.
While widespread public anger in Britain has forced the company to promise consumers their gift cards will be accepted at stores from today, in Ireland there is no such arrangement.
Unlike here the British stores remain open because the company there is in administration.
They are staying open with a view to being sold as a going concern.
Here the company is in receivership and so the Irish stores are closed.
A spokesperson for Deloitte, the receivers of HMV Ireland, said the Irish outlets would remain closed.
Following the closure of HMV's 16 shops here last week, there were calls for the Government to change the law so customers are not left out of pocket when companies go bust.
The National Consumer Agency said it would be pushing for the administrator to reverse the decision not to redeem or refund vouchers.
Holders of gift vouchers are treated as unsecured creditors and rank behind other creditors and are unlikely to be paid.