Work to tear down the wall – just 100 yards from Falkland Palace – had already begun after a 20m section was removed for "safety purposes" this month.
But a proposal to demolish the rest of the structure, including a barn and byre, was delayed with just hours to spare after protesters argued that the wall was in a conservation area.
On advice from Historic Scotland, Fife Council used devolved powers to carry out urgent works to preserve the wall and put in place a Temporary Stop Notice to prevent any further works being done. It also announced that the demolished section will be rebuilt.
Protesters had argued that the developer Lomond Homes only wanted rid of the wall to allow access to fields behind, where it is hoping to create a new housing development.
Lomond Homes said it had complied with Fife Council's initial notice to remove the danger of the wall collapsing, but that it would comply with the Temporary Stop Notice.