The Federal Court will settle a spat between the Victorian Liberals and major donor the Cormack Foundation "once and for all", party leader Matthew Guy says.
The parties are headed to court on Friday for a first case management hearing over funds ownership.
"It will settle the matter of ownership on this issue once and for all, and I think that's what everyone wants to do," Mr Guy told reporters at parliament on Thursday.
The Cormack Foundation was set up in the 1980s using proceeds of the sale of radio station 3XY.
The court is expected to examine the previous ownership of 3XY, which Mr Guy said was once in the hands of the United Australia Party before being transferred to the Liberal Party.
"It's about getting clarity over the ownership of that asset back to the 1930s," he added.
The Victorian Liberals hit financial strife after jailed former state director Damien Mantach stole more than $1.5 million.
Cormack has been withholding funds ever since a stoush with Liberal state president Michael Kroger.
Mr Guy said no matter the outcome, his party was fine financially.
"I know my party's funds better than most people and I can say the party's actually in quite a good state," he said.
