[2] The High Court held that the judicial power of the Commonwealth could not be vested in a tribunal that also exercised non-judicial functions.

[9][10][11] Chief Justice Latham stated that:[9]: p 566–7 Thus, in my opinion, it is not possible to rely upon any doctrine of absolute separation of powers for the purpose of establishing a universal proposition that no court or person who discharges Federal judicial functions can lawfully discharge any other function which has been entrusted to him by statute.

(ii) An organization shall be deemed to commit a new and separate breach of the above sub-clause on each and every day in which it is directly or indirectly a party to such ban, limitation or restriction.

[16] The Arbitration Court made orders against the FIA requiring it to comply with the Metal Trades Award.

[17] The strike continued and on 20 May 1955 the FIA was found to be in contempt of court despite genuine attempts to have the employees return to work.

[18] Members of the Boilermakers' Society of Australia were among those supporting the strikers by paying the levy of 8 shillings per week.

On 21 May 1955 the Arbitration Court, Justices Kirby, Dunphy and Ashburner, held that it had no alternative but to make the orders.

The High Court held that the judicial power of the Commonwealth could not be vested in a tribunal that also exercised non-judicial functions.

III does not allow a combination with judicial power of functions which are not ancillary or incidental to its exercise but are foreign to it.There were three key elements to the majority decision Each of the dissenting judges took a slightly different approach.

[22] The majority opinion of Dixon, McTiernan, Fullagar and Kitto, held simply that the Arbitration Court was "a tribunal established and equipped primarily and predominantly for the work of industrial conciliation and arbitration" and thus held it was the attachment of powers of judicial enforcement that were invalid.

On 1 June 1956 the attorney-general obtained leave to appeal to the Privy Council,[23] and was represented by the Solicitor-General, Bailey QC.