Hasler's legal team have filed documents in the Supreme Court, with the alleged breach of contract case set for a directions hearing on December 1. If the Bulldogs are forced to make a payout, it could count against the new $5.7 million soft cap on football club spending, which has just come into effect.

The Bulldogs have claimed the heads of agreement Hasler signed was "non-binding", a position that will now be tested in court.

Hasler was one of the few coaches Canterbury has appointed that hasn't previously played for the club. The two-time premiership-winner's replacement is former Bulldogs representative forward Dean Pay.

Hasler's deal was to be worth seven figures a season, making him one of the highest-paid coaches in NRL history.

Fairfax Media has learnt there are termination clauses in the extension agreement that cap a payout at less than $1 million over the two seasons. The blue and whites privately believe they will come out ahead financially even if they are forced into a settlement.