Bradie Perkins had his hopes of joining the Navy dashed when his kidneys were damaged after he fell ill during the break to the Holiday Village Turkey in October 2010.
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The then 13-year-old had to be rushed to accident and emergency twice suffering from severe diarrhoea, stomach cramps, dehydration and other gastric symptoms - allegedly caused by food hygiene failures at the resort, in Sarigerme in the Dalaman region (pictured).
Bradie, from Earl Shilton, Leicestershire, was diagnosed as having E.coli, a parasite infection called Giardiasis and also a kidney condition known as Haemolytic Uraemic Syndrome, which left his kidneys functioning at around two-thirds their normal ability.
Bradie, now 18 and currently studying for his A-Levels, said: "I knew something was wrong when I became so tired and for the last few days of my holiday I felt like I spent more time in the hotel room than I did with my family actually enjoying myself.
"When we got home it was just a nightmare. I suffered with horrible symptoms, including blood from my back passage, and I was in hospital several times and needed dialysis treatment. I wasn't the same for months and months and was really scared about what it meant for the future.
"I was devastated at being told I couldn't join the Navy and it's made me have to re-think my future plans. I'll have to live with the effects of my illness forever and will always be watching what I eat or worrying about where to go on holiday."
The family said food from previous meals was often re-used the next day and cold food was occasionally topped up with hot food.
Food was sometimes undercooked and often left uncovered while flies, insects and cats were frequently seen in the restaurant, the family added.
Bradie was one of 27 holidaymakers who fell ill at the hotel, and represented by Irwin Mitchell, with other claims settled in 2012.
Amandeep Dhillon, from Irwin Mitchell, said: "While hundreds of holidaymakers became ill at the Holiday Village in Turkey over the last decade, Bradie unfortunately suffered from a very serious gastric illness including a potentially deadly strain of E.coli, as well as the Giardia parasite.
"He and his parents were terrified when he was hospitalised and it will now affect his life forever.
"He has missed out on his dream career in the Navy and had his life massively affected at a time when he should have been able to concentrate on being a teenager and completing his studies."
Tour operator TUI UK Ltd, trading as First Choice Holidays and Flights Limited, denied liability for the claim and settled out of court weeks before a trial was due to begin, Irwin Mitchell said.