The midfielder lodged a 14-day notice last week after not receiving his May salary on time, leaving his future with the Cherries in doubt.
But the two parties have now come to an agreement. Hollands told the Daily Echo: "I'm happy the situation has been resolved.
"Hopefully, when the club is sold, it will give stability and we can look forward to next season."
Cherries co-owner Paul Baker, who had stressed his wish to keep the current Cherries squad together, said: "As a result of talking to Danny, he has agreed to withdraw his notice to quit.
"He's committed to spending his long-term future at Bournemouth."