With early demolition works under way, Waverley Council has received legal advice it says suggested Planning Minister Anthony Roberts did not lawfully approve the controversial demolition of the Moore Park venue.

Waverley's mayor, John Wakefield, said the advice questioned whether the Minister's consent to an early stage of the project had been issued correctly, particularly whether the plans displayed "design excellence" as required under the local environment plan.

Council papers stated that the government's "potential non-compliance is egregious with adverse impact on Waverley's residents and businesses".

Cr Wakefield said councillors on Monday resolved to write to Mr Roberts to request the demolition be halted until the Minister addressed any errors in the approval process.

The council also voted to launch legal action against the government in the NSW Land and Environment Court on two conditions: that another council joined the proceedings, and that the Minister did not provide a satisfactory response to its concerns.

Cr Wakefield said the council wanted the state government to "please explain". "Produce legal advice to show we're wrong, we might not need to take this further," he said.

"We well recognise we are just a council. This is the mouse that roared. We would need the cooperation of an adjacent council if we were to proceed with legal action."

Opposition Leader Michael Daley last month released legal advice from planning lawyer Tim Robertson, SC, who concluded the consent for the demolition and rebuild of Allianz was invalid.

Mr Daley, who has campaigned against the government's stadiums policy, sent the advice to four councils for them to decide whether to launch legal action.

The City of Sydney and Woollahra councils ruled out taking part in any legal challenge.

That left the Labor and Greens dominated Waverley and Randwick councils to consider whether they would take the matter further. The stadium is in the City of Sydney's local government area.

Randwick City Council is expected to consider the matter at its next meeting, said the council's Labor deputy mayor Danny Said.

It's understood councillors will also meet this week to discuss Waverley Council's decision.

Waverley Council first resolved to write to the Minister last month, however, three Liberal councillors put forward a rescission motion delaying the letter.

That motion was voted down at an extraordinary council meeting on Monday night.

Liberal councillor Leon Goltsman, who supported the rescission motion, feared Waverley and Randwick councils would turn their opposition to the redevelopment into "a political fiasco".

"The whole thing has been a political ploy. Our situation is that there would be no impact [of the stadium redevelopment] on Waverley residents."

A spokesman for Mr Roberts previously accused Mr Daley of a "sad stunt" and said the criticism of design excellence standards had "no basis in fact".

He also rejected Labor's advice that the consent was in breach of planning policy as "fundamentally, categorically wrong". The consent was only for the demolition, not for construction of the new stadium, he said.

The government plans to knock down the stadium and build a replacement 45,000-seat venue for $730 million.