The Canberra Greyhound Racing Club on Friday lost a bid to force the planning authority's hand and get a court order that it renew the lease over its race track.
The club took the ACT Planning and Land Authority to court after the authority declined to make a decision on the club's application to renew its lease over the race course, due to expire in 2027.
But while Chief Justice Helen Murrell found that the authority's deliberate delay in deciding the application amounted to a refusal to perform its statutory duty to make a decision, it would be "futile" to order it make the decision now.
"The authority should not be ordered to fulfil its implied statutory duty to make a decision as any such order would be futile," the chief justice said.
Outside court, opposition spokesman for gaming Mark Parton said the result was disappointing.
"This is the second time in less than 24 hours we've had an independent voice, in this case a Supreme Court judge, yesterday with the auditor general, come out and say this government and its agencies do not follow process."
Also outside court, the club's chairman Alan Tutt accused the government of being "hell bent on land grabs left, right and centre".
"They have persecuted the greyhound industry for no other reason but they were hell bent on shutting us down.
"There was no reason to shut the club down ... we've done no wrong, especially on the animal welfare side of it."
He said it was a hard time for the people working in the industry.
"Come May 1 we're going to have to be going somewhere else, that's the law," he said. "We look like we're going to go to Goulburn ... to race."
He said they would look at the possibility of an appeal on this decision, and would continue the fight against the ban.
The club took the planning authority to court earlier this year after the authority did not make a decision on its application to renew the lease.
The greyhound club operates a greyhound racecourse on land it has leased for 50 years. The lease is due to expire on November 22, 2027.
In April, the greyhound club applied to the planning authority for a further lease and waited for a decision.
In May, the authority decided it would put the club's application on hold to await possible law changes to ban the industry in Canberra.
The club took the authority to court seeking an order that would force it to make a decision on the application to renew the lease.
In November, the Legislative Assembly passed legislation that made greyhound racing unlawful from April 30.
It was the passing of this law that prompted Chief Justice Murrell to rule she would not order the authority to make the decision it should have, calling any such order futile.
An ACT government spokeswoman said free and confidential counselling is available to anyone affected by the end of greyhound racing in Canberra.
For further information contact Woden Community Service (WCS) case manager Michael Elwan at Michael.email@example.com, (02) 6181 2895 or 0448 637 990.