ADF case against VFF settled: But UDV must find next $300k

The Australian Dairy Farmers lobby has settled its legal dispute with the VFF on unpaid fees. But how will it pay the next $300,000?

United Dairyfarmers of Victoria president Bernie Free said the financial dispute with ADF had been resolved, but payment of the next $300,000 was yet to be resolved.

Legal action brought by the Australian Dairy Farmers lobby against the Victorian Farmers Federation for unpaid fees has been resolved.

The VFF owed ADF about $900,000 in unpaid membership fees, of which the VFF agreed to pay $750,244 in July last year.

It appears both sides reached a compromise on repaying the remaining shortfall, but did not reveal details.

The payments are set to boost ADF’s current asset base, which as of June 30 last year was sitting at $16.8m.

In contrast the VFF had just $1.9m of current assets as at September 30 last year, with rest of its wealth tied up in its Farrer House headquarters.

In 2021 the VFF held $11m in current assets, but declining membership and revenue led the former board to cash in these assets to pay of borrowings.

Asked how the VFF would pay the next $300,000-round of ADF membership fees, the federation’s United Dairyfarmers of Victoria president Bernie Free said “we still haven’t resolved that”.

The VFF’s audited accounts show membership fell from 4846 in 2021 to 3261 by September 30, 2024, leading to an $800,000 loss of income.

Mr Free said the VFF and ADF were looking forward to collaborating on ways to grow and improve both organisations’ connection to dairy farmers, with the goal of a more effective and sustainable future”.