HEADNOTE
[This headnote is not to be read as part of the judgment]
On 4 March 2022, the Federal Executive of the Liberal Party resolved to exercise a power of intervention under cl 12 of the Party's Federal Constitution. The resolution appointed a committee of three persons with the power to select and endorse candidates for three seats in NSW for the forthcoming federal election. On 6 March 2022, the committee endorsed the three sitting members as Liberal Party candidates.
Clause 12.3(a) provided that, where the Federal Executive believes that a specified ground for intervention existed, it "may resolve to take over the management of that Division in accordance with this clause." Clause 12.3(b) conferred broad powers of management but provided that "neither the Federal Executive nor the … committee shall have power to amend the Divisional Constitution".
On 15 March 2022, the plaintiff, a member of the State Council and State Executive of the NSW Division, applied to the Supreme Court for a declaration that the committee's resolution was invalid. The plaintiff submitted that the internal party processes of pre-selection raised justiciable issues because the Commonwealth Electoral Act 1918 (Cth) ("Electoral Act") created statutory rights and obligations relating to a party's nomination and endorsement of candidates. The plaintiff further submitted that cl 12 only conferred management powers upon the Federal Executive and the committee and did not support a power to endorse candidates. Alternatively, the endorsements were invalid because the power was not exercised in accordance with processes required by the Divisional Constitution.
The primary issues before the Court were:
(1) whether the proceedings gave rise to a justiciable matter; and
(2) if so, whether the committee exceeded its power under the Party's Federal Constitution.
The Court (Basten, Leeming and Payne JJA) held, dismissing the proceedings:
Issue 1 - justiciability
(1) Cameron v Hogan is binding authority that disputes arising from the application of the rules of an unincorporated political party are not justiciable. The role and manner of operation of political parties has not changed materially since Cameron was decided. The provisions in the current Electoral Act providing for party registration, candidate nomination and endorsement, and public funding do not purport to affect the general internal operations of political parties. Accordingly, it is not correct to state at a high level of generality that the statutory changes have now taken political parties "beyond the ambit of mere voluntary associations". The public interest in the operation of major political parties does not justify judicial intervention in internal party disputes generally. Whether a dispute within a political party is justiciable must be determined in each case with respect to relevant provisions of the Electoral Act: [43]-[44], [46], [48]-[49], [52], [56], [64], [66].
Cameron v Hogan (1934) 51 CLR 29; [1916] HCA 70; Setka v Carroll (2019) 58 VR 657; [2019] VSC 571; Asmar v Albanese (No 4) [2021] VSC 672, followed;
Baldwin v Everingham [1993] 1 Qd R 10; Asmar v Albanese [2022] VSCA 19, not followed;
Edgar and Walker v Meade (1916) 23 CLR 29; [1916] HCA 70; Mulholland v Australian Electoral Commission (2004) 220 CLR 181; [2004] HCA 41; Butler v Mulholland (No 2) [2013] VSC 662; considered.
(2) The provisions under the Electoral Act relating to the nomination and endorsement of candidates do not create justiciable statutory rights or interests based on internal party processes of pre-selection. The Electoral Act requires registered parties to nominate registered officers. A person only enjoys a particular status under the Electoral Act when the registered officer communicates the party's endorsement of that candidate to the Electoral Commission. The registered officer merely conveys decisions of the political Party with respect to nomination and endorsement to the Electoral Commission. The Electoral Act requires the Electoral Commissioner to look to written communications from the registered officer as determinative statements of the outcome of the party's processes. The nomination and endorsement provisions do not confer statutory rights upon candidates at the anterior stage of preselection: [52]-[54], [59]-[62].
Commonwealth Electoral Act 1918 (Cth), ss 166, 169, 169B, considered.
(3) The dispute is not justiciable because the Liberal Party Federal Constitution does not have contractual force: [65].
Cameron v Hogan (1934) 51 CLR 29; [1916] HCA 70, applied; Johnston v The Greens NSW [2019] NSWSC 215, referred to.
Issue 2 - interpretation of Liberal Party Federal Constitution
(4) Although it was not necessary to determine the interpretation of the Federal Constitution, it was desirable to do so in the interests of finality: [70].
(5) The phrase "management and control" can be taken as a singular concept to express the scope of a power. Alternatively, the Federal Constitution may refer to "management" with respect to the affairs of the organisation and "control" with respect to a person or organisation: [72]-[77].
(6) The effect of the exercise of the intervention power is to bypass the Divisional Constitution, which does not amount to an amendment of the Divisional Constitution. In any event, the powers and procedures in the Divisional Constitution that govern pre-selection are subject to the Federal Constitution under cl 8.2 of the Federal Constitution: [79], [81]-[82].