Rugby Australia (RA) is facing a significant legal and financial challenge. Following the club’s removal from the Super Rugby Pacific competition, directors of the now-defunct Melbourne Rebels have initiated proceedings in the Federal Court.
The legal claims involve accusations of RA breaching funding obligations, liability for paying Wallabies players, and allegations of misleading conduct. The plaintiffs are seeking damages exceeding $30 million.
In a joint statement, the club’s directors revealed they are pursuing “significant damages and indemnities” and expressed their desire for the Rebels to continue participating in Super Rugby. They are also seeking an urgent court order to gain access to RA’s financial records, including accounting and loan documents, to investigate potential fiduciary and governance failures by the governing body.
Melbourne Rebels axed from Super Rugby Pacific
RA stated it would respond after reviewing the 54-page statement of claim, which was filed with the Federal Court on Wednesday.
Concerns about the Rebels’ future have intensified over the past year, particularly after chairman Paul Docherty—whose company had been the team’s major sponsor—faced financial difficulties. In January, RA assumed control of the club when it entered voluntary administration, and by May, it decided not to reinstate the franchise for the 2025 season.
The club’s directors emphasised that they would present extensive documentation to the court, showing that RA was fully aware of the Rebels’ financial struggles throughout this period.
Club Statement
Releasing a statement, the Rebels representatives wrote, “The Rebels are a member of Rugby Australia and had a legal expectation that they would not only be treated fairly but that they would be treated equally to other members.
“Amongst other things, the Rebels will assert that Rugby Australia has breached various sections of the Corporations Act, has unlawfully oppressed the Rebels and is obliged to indemnify the Rebels for liabilities to the Australian Taxation Office [as well as other broader employment liabilities] incurred when Rebels players were playing for Rugby Australia teams.”
Women’s Game Affected
In addition to the men’s team, the Rebels’ Super W women’s team has been cut from the 2025 competition. Last week, former Rebels Super W Captain and Rugby Victoria director Mel Kawa criticised RA’s decision to withdraw funding for the women’s team, calling it a significant setback for women’s rugby.
“Rugby Victoria, the Melbourne Rebels, and Rugby Australia have worked together for years to build a professional pathway, and it’s heartbreaking to see that hard work undone,” Kawa said.
RA has recently secured an $80 million loan facility to address a funding shortfall leading up to major events such as the 2025 British and Irish Lions tour and the Rugby World Cups in 2027 (men’s) and 2029 (women’s), which will take place in Australia. According to RA’s 2023 annual report, as of 31 December 2023, $50 million of that facility had already been used.
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