The league issued a statement Thursday saying that while it was "unacceptable" that Domi initiated a verbal confrontation with Toronto Marlboros coach Lucas Miller, his behaviour was not serious enough to warrant banning Domi from future league games.
The incident occurred on March 30 following a playoff game involving Domi's son, when Domi engaged Miller in an "emotional conversation" that left the coach fearing he would be assaulted.
Miller filed a written complaint with the league against Domi, and the former Toronto Maple Leaf responded by threatening the coach with legal action over allegations that he claimed were intended to embarrass him.
The league said Domi has acknowledged his behaviour was inappropriate, has apologized to the president of the Marlboros for the incident, and has promised to conduct himself appropriately in future games.
The league's ruling has met with the approval of both Miller and the Marlboros.
"In reviewing this situation, the GTHL considered recent situations that resulted in banning of parents and spectators from GTHL games," the statement said.
"Spectators/parents have been banned from arenas by the GTHL in only a few instances. Those incidents have involved: harassment and racial slurs directed toward a referee; totally lewd and inappropriate conduct; and physical harm caused to a coach by a parent. While what Mr. Domi did was regrettable, it falls short of the conduct involved in the preceding cases."
The league also said Domi's celebrity status didn't influence its ruling.
"The GTHL believes that Mr. Domi should receive no benefit from the fact that he is a familiar figure in the hockey world. By the same token, he should not be treated more harshly because of that - and, given the precedents above, banning him from the GTHL's arenas would in fact do that."