A campaign to tarnish the reputation of former AFL player Carl Peterson so to undermine claims Indigenous players endured systemic racism at Hawthorn Football Club is expected to be tested in the Federal Court.

The legal manoeuvring could include drawing out Peterson's former partner to testify over what the club claims she allegedly told past Hawks football staffer Jason Burt.

Cyril Rioli is the lead applicant in the case that includes past Indigenous teammates Peterson, Jermaine Miller-Lewis, partners Shannyn Ah Sam-Rioli, Montanah Miller-Lewis and former Indigenous liaison officer Leon Egan that alleges unlawful conduct by the club caused injury, loss and damage to them.

The Indigenous parties to the proceedings are seeking compensation for aggravated damages and a full declaration that includes a public apology that Hawthorn engaged in unlawful discrimination.

Hawthorn claimed in recently released documents that Burt was informed by Peterson's ex, back in 2010, that he used marijuana in the week leading up to an elimination final in Perth.

This was supported by club development coach David Flood, who alleged Peterson was incoherent and under the influence more than a year earlier on his way back from a mid-year break.

Lawyers Arnold Bloch Leibler will test the claims in court, denying any truth behind the allegation about Peterson and a number of the football club's other claims.

Mediation between the players and former Hawthorn figures failed to reach a resolution with former AFL coach Alastair Clarkson, former football boss Chris Fagan, and Burt.

Peterson was later axed at the end of the 2010 season by Hawthorn after two years and 17 AFL games.

The lawyers on behalf of the players will suggest this alleged incident is just an example of systematic racism that remained at Hawthorn from at least 2008 until 2016.

The club tried not to highlight its former captain Luke Hodge, a non-Indigenous player, from being caught drink driving until it was revealed by the media - instead of a statement from the Hawks.

Arnold Bloch Leibler will defend the players amid a history of working with Aboriginal and Torres Strait Islander clients for the past three decades to help resolve greater Indigenous self-determination on a range of matters and issues.

"We understand that for many Indigenous Australians," the lawyers say on their website, "the language of reconciliation no longer best captures the imperative of self-determination."

Hawthorn is attempting to deny the bulk of the claims from the Indigenous party's statement following the new set of allegations in its claims.

There are some admissions of guilt on the Hawks' behalf. The club has also prepared a war chest of close to $3 million for an expected payout.

A statement of claim from the applicants revealed Rioli was told by an employee of the club's media team that it was prepared "to leak the story to control the narrative" had the star player quit Hawthorn before giving president Jeff Kennett an opportunity to talk him out of leaving.

Other serious claims included Hawthorn not taking action against non-Indigenous teammate, Grant Birchall, for asking ex-player Bradley Hill, now playing at St Kilda, about his wife's heritage while using an offensive and an inappropriate term.

Indigenous players including Shaun Burgoyne, Jed Anderson, Hill, Miller-Lewis and Rioli considered boycotting a match after the club declined Rioli the right to issue a personal statement on behalf of those players in solidarity for Aboriginal icon Adam Goodes after he was targeted by constant racist booing throughout the 2015 and his final AFL season.

The Hawks first dismissed the gesture and later allowed only Hodge to speak on behalf of the club.

In the claims, Egan in his liaison role at the club alleges he was undermined when the club never acted on his views relating to pertinent matters and was told not to intervene when one of the Hawks' Indigenous players reached out for advice over a personal matters.

The systemic racism issues that the Indigenous party pointed the finger at Hawthorn led the club to commission Phil Egan to review circumstances and issue out the Binmada report.

It uncovered a number of instances of negligence and human rights abuses. Hawthorn did not apologise for them in spite of making a public statement acknowledging the report.

Burt allegedly remarked he has "nothing to be sorry for" and posted on his own Facebook page that Egan's Binmada report was a "disgrace".

Phil Egan has not returned calls or emails from the National Indigenous Times for comment.

A number of other prominent Indigenous figures were also contacted, but each one have declined to directly comment on Hawthorn's court defence against alleged systemic racism over the possible repercussions for speaking out.

Former AFL player Andrew Krakouer, the son and nephew of two brothers who are leading applicants in legal action against multiple AFL clubs while playing for North Melbourne over racial abuse on the field in the 1980s, politely declined to comment.

The AFL Players' Association chose not to add commentary while the matter was before the courts, adding that it did not want to remark on claims from Hawthorn against the personal life of each of the individual players.

But the AFLPA did say it felt "very concerned" for the well-being of all of its past and present Indigenous players.

The AFLPA are committed to looking over the welfare of all retired or sacked footballers once they leave the AFL system.