Cabaye made it clear he wanted out of St James' Park when the transfer window was open, with interest from Arsenal having turned his head.
Newcastle, though, stood firm and refused to sanction the sale of a prized asset.
Cabaye has accepted their stance and worked his way back into contention, with Pardew of the opinion that a disruptive saga has been quickly forgotten by all concerned.
He said in the Evening Chronicle: "That was a difficult situation because I've got a great relationship with Yohan.
"When a player comes in and is trying to force a move, which really and truly he was trying to do - which happens at other clubs, we're not the only club that's happened to - then it's difficult and we had some words.
"I told him my opinion but the most important thing when you get through that process is coming out the other side that you're still intact. Fortunately, me and Yohan have come through that intact, and that's important."
Pardew added: "(It's fortunate) Yohan stayed because I do feel that he's an important player for us. He's such a talent in terms of being a technician on the ball.
"He's just got such great quality. He's as good a midfield player as I've worked with and when you consider I've had Michael Carrick amongst many, I'd put him in that level.
"He's a player ingrained in the French side and will be a big part of the French team that goes to the World Cup, if they qualify."
Cabaye impressed in his latest run-out for his country - a 6-0 mauling of Australia on Friday - and France coach Didier Deschamps is delighted to see the 27-year-old focused on football again.
He said: "He got slightly lost during the summer period.
"But I am not just discovering that Yohan is a very good player with a lot of influence. He has always been important with his technical qualities. I am fortunate to have some very good players in that position."