The NSW Court of Appeal heard more than five hours of submissions on the process adopted by the Liberal Party for the preselection of Ms Ley and fellow federal MPs Alex Hawke and Trent Zimmerman.

Party member Matthew Camenzuli is contesting the role of a stopgap committee formed by a federal executive to endorse the MPs, arguing it was unconstitutional.

His barrister Scott Robertson told the Court of Appeal that while the federal body could intervene in the NSW division it could have also taken action to follow rules which require the rank-and-file membership of the party to have a role in preselection.

"This committee could have been appointed for a longer period of time, they could have had the selections and they could have exercised the power of endorsement or not after the selections, they didn't we say as properly construed have, or couldn't be conferred with, the power to exercise non-management powers in the form of selections," Mr Robertson said.

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Defence barrister Guy Reynolds argued the court should not have a role in the matter which he said was "just a factual dispute"..

He said Mr Camenzuli could have sought amendments to the party constitution instead of going to court.

Justice John Basten, one of three judges hearing the case alongside Justice Mark Leeming and Justice Anthony Payne, said they would make a decision on a date to be fixed but alluded to the pending federal election.

"The court will reserve its decision, it is of course aware of the urgency of resolution of this dispute and will give its judgement as soon as conveniently possible," Justice Basten said.

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