N'Diaye is currently on loan at Wolves from Spanish club Villarreal.
Wolves had a clause in their loan which would force them to sign N'Diaye permanently for nine million Euros (£7.78m) if they won promotion.
They have done so, but Wolves are off the hook for this fee.
The mandatory purchase clause was only actionable if N'Diaye played a certain amount of minutes and games for the club this season.
N'Diaye's chances of signing for Wolves permanently are not over though, this is just to state that they are off the hook for the set figure.
It adds that Wolves and Villarreal are likely to sit down and re-negotiate this summer to see if they can thrash out fresh terms over a permanent transfer.
N’Diaye told The Sun just last month that he was keen to sign permanently for Nuno Santo's side.