The AFL has released terms of agreement for an investigation into alleged racist conduct involving three Indigenous footballers and their families at Hawthorn football club between 2008-2016, with December 22 set as the end-date to the probe.

The announcement ends a three-week process by the league-appointed four-person independent panel in setting the parameters for their look into the explosive claims of misconduct at the club.

The investigation is expected to begin immediately.

Led by senior lawyer Bernard Quinn, the panel includes Julie Buxton, Palawa woman Jacqualyn Turfrey and Yuin man Tim Goodwin.

On Thursday the AFL stated the terms give the ability for participants to share their perspectives and hear the perspectives of others, as well as an opportunity for mediation.

Parties involved include the lawyers of the three Indigenous players and their families alongside those representing former Hawthorn coaches and staff, such as Alastair Clarkson and Chris Fagan.

Both Clarkson and Fagan are reported to be considering to return and commence work at their current clubs following the hand-down of terms.

The terms of reference and process plan look to determine if any inappropriate conduct occurred and under which circumstances, if others were aware of the conduct and whether those involve, in the view of the investigation panel, should be subject to disciplinary action.

Any statements to be issued to investigators are due by November 4.

AFL chief executive Gillon McLachlan said the terms provided "guide rails" for the investigation to be taken out with cultural sensitivities considered.

Mr McLachlan encouraged those effected to take part in the interest of due process and natural justice in coming to a realisation of the events under question.

"Given the seriousness of the allegations, it is important that we set up an independent investigation that is fair and provides a clear and safe process to investigate the matters referred to the AFL by the Hawthorn Football Club," he said.

"While we still do not know the identities of the persons / families who have recalled their accounts within the Hawthorn Football Club review, or with the journalist who published those accounts, we encourage their legal representatives to engage in the process as soon as possible.

"This is an incredibly important investigation and once the panel has reported back, we need to come together as an industry and coordinate a much wider response to ensure we have a culturally safe environment across all clubs and within the AFL eco-system."

The findings of the investigation are set to be made public.