Resolving disputes

Resolving disputes is the corporation’s responsibility, but ORIC can assist with disputes about how a corporation is run. It’s part of how we support good governance. When a dispute is managed well it can prevent corporate governance failure.  

Difference between disputes and complaints

A dispute is a disagreement between people or groups about how to run a corporation (the governance). A dispute can involve:

  • members
  • directors
  • senior management
  • a corporation and its creditors.

Managing a dispute well, before it gets out of hand, can be positive for the corporation. Poorly managed disputes can result in a corporation failing.

A complaint refers to an issue raised with or about a corporation that doesn’t relate to its governance. Learn more about complaints about corporations. 

Dispute resolution in the rule book

Corporations must have a rule about how they’ll resolve internal disputes in the rule book.

Having a good dispute resolution process in your rule book can also save your corporation a lot of money, time and worry.

It’s up to corporations to decide what the rule should say. Registered native title body corporates must also have a dispute resolution clause for common law holders.

Take a look at some examples in the model rule books. You can use these or change them to suit your needs.

Also consider if you need extra policies or procedures to support the steps in the rule book.

Find corporation rule books by looking up the corporation name in the register. 

Notice of disputes

You may include a step in your rule book to give a dispute notice to the people involved.

You can use our templates as a starting point or create your own.

word document Notice of dispute (39.41 KB)

Get help with disputes about governance or internal operations

In many cases, ORIC can help with disputes about governance. We can provide:

  • an advisory opinion – a formal letter with an opinion about the situation in dispute
  • advice – by telephone, face-to-face or email to try to fix issues that aren’t too complex
  • ORIC staff at corporation meetings as observers – our staff come to a meeting to present information or advice about the operation of the CATSI Act or the corporation's rule book.

What ORIC cannot do

We cannot help with disputes that involve:

  • employment, harassment or discrimination by a corporation
  • the quality or lack of services provided by a corporation
  • whether someone is a common law holder or not.

We may assist if the dispute could mean a more serious problem with how the corporation is run.

If we cannot help, the people involved in the dispute may ask another agency for help.

If all the parties agree, we may refer the dispute to another agency:

  • Employment-related disputes may be referred to the Fair Work Ombudsman.  
  • Disputes about allegations of fraud or other criminal activity may be referred to the relevant state or territory police.
  • Disputes about whether someone is a common law holder can be referred to the National Native Title Tribunal or the Federal Court of Australia.

Priority disputes

We’re unable to provide a complete dispute resolution service for every request.  

Priority is given when:

  • essential services are at risk
  • the corporation has stopped working because of the dispute
  • the corporation receives Australian Government funding
  • an Australian Government agency has asked for the assistance
  • the corporation holds land
  • the corporation has a large number of members
  • there is a public interest in resolving the dispute.

Questions to consider

  1. What is the dispute about?  
  2. Could a misunderstanding be at the heart of the problem?
  3. What does your rule book say about disputes?  
  4. What is the dispute costing your corporation? The legal fees for a dispute can be very expensive and can cost the corporation its reputation (good name).
  5. Do you think the corporation has tried to find a solution that is in the best interests of the members?
  6. Have you tried to sit down with everyone involved to talk about the matter?  
  7. Is the dispute stopping essential services? For example, is it affecting food supply or health services?
  8. Do you have all the information you need?  
  9. If the corporation is getting funding, can the dispute cause you to lose this funding?

Directors have a right to the financial records of the corporation. A member can be given access by:

  • the directors  
  • a resolution of a meeting of members.  

Know the facts before acting on rumours. 

Learn more in our fact sheet about dispute resolution.

pdf document Dispute resolution (350.82 KB)

Disputes about native title

Registered native title bodies corporate and common law holders can get dispute help through the National Native Title Tribunal (NNTT).

That includes help about:

  • whether or not a person is a common law holder
  • the corporation’s performance of its functions under native title laws. 

Find out more about how the NNTT can help you resolve a native title dispute. 

Learn more about our approach to dispute resolution in our policy statement.

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