Former Abbott government minister Eric Abetz has called for an inquiry into the Human Rights Commission's "waste of taxpayer dollars" after a failed racial discrimination case against three university students.
Queensland University of Technology students Alex Wood, Calum Thwaites and Jackson Powell were being sued by Cindy Prior, an indigenous administration officer, under the Racial Discrimination Act's controversial section 18C.
The $250,000 lawsuit was thrown out by Brisbane's Federal Court Judge Michael Jarrett on Friday, sparking fresh calls for 18C to be amended to remove the words "offend" and "insult".
The federal government is considering an inquiry into the race hate laws but Senator Abetz insists the legislation must be amended immediately.
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He wants a wider inquiry into the Human Rights Commission as well as the Racial Discrimination Act.
"We need to have a close look at the way the Human Rights Commission is run and the way they waste taxpayer dollars in funding these sorts of cases," he told Sky News.
"The important point here is that it be undertaken and quickly so that other people are not subjected to the same outrageous manipulation of the legislation which has caused three people untold difficulty."
Liberal Democrat David Leyonhjelm has suggested a possible deal with the government on its building industry watchdog legislation in exchange for the repeal of section 18C.
But the crucial Nick Xenophon Team bloc of three senators have previously ruled out support for any change to 18C.
