The move paves the way for three sitting MPs - Alex Hawke, Susan Ley and Trent Zimmerman - to avoid having to face a preselection battle to contest the poll.

The executive said it unanimously decided to dissolve the state branch for not complying with preselection rules.

The intervention comes after months of delays in preselecting candidates to run for seats in the House of Representatives for the likely May federal election, with the hold-ups linked to infighting between the state's factions.

High profile sitting members have been affected and some seats including highly contested marginals have had no candidate less than 90 days out from the expected poll date.

Liberal candidates for Eden-Monaro, Dobell, Warringah and the blue-ribbon seat of Bennelong, where incumbent John Alexander is retiring, have not yet been determined or announced.

"Today the federal executive of the Liberal Party resolved unanimously to intervene and appoint a committee to take over the management of the NSW division, in accordance with clause 12.3 of the federal constitution of the Liberal Party," the statement reads.

Until 5pm next Tuesday, a committee comprising of Mr Morrison, Mr Perrottet and federal Liberal president Christine McDiven will have direct control in endorsing candidates without preselection challenges.

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"The intervention ground is based on the circumstance that decisions have not been made in relation to the endorsement of three incumbent Liberal members of Parliament as Liberal candidates to recontest their seats in the electorates of Farrer, North Sydney and Mitchell," it said.

The temporary dissolving of the branch's management will mean sitting members Alex Hawke, Susan Ley and Trent Zimmerman will be able to contest the election without facing a preselection battle.

It is expected grievances within Liberal ranks over the decision could see court action over certain candidates already preselected.

In January, fury between the NSW factions was ignited after a supposed backroom deal elevated former young Liberal Alex Dore to be the preferred candidate for the seat of Hughes, currently occupied by independent Craig Kelly.

A number of Liberals were demanding preselection votes follow a rank and file process.

It also notes the federal executive has instructed the NSW branch to "rectify the circumstances" where candidates had not yet been preselected and endorsed for seats within the state.

The NSW branch will have until the end of the month to resolve issues with preselecting candidates ahead of the federal election.

"The federal executive today also resolved unanimously to request the NSW Division of the Liberal Party to rectify the circumstances that candidates have not been selected and endorsed in other House of Representatives seats and for this to be resolved by Friday 25 March 2022," the statement reads.