Toulon are threatening to sue the ARU over Quade Cooper's decision to pull out of his Toulon contract to stay in Australia.
The Reds fly-half was due to join Toulon after the World Cup, but last week signed a four-year contract with the ARU to remain in the country with the aim of playing at the Rio Olympics in 2016.
Toulon president Mourad Boudjellal was unsurprisingly furious at the decision accusing the ARU of negotiating with Cooper after he had already signed a contract in France.
And the outspoken boss intends to recoup a huge compensation if Cooper doesn't end up coming to the south of France.
"He was our first choice," Boudjellal told Sud Radio.
"The damage to our image is significant. He took a photo with us, we centred our season ticket campaign around him, his jersey is on sale. What's more, we passed on other fly-halves to get him.
"La Fédération australienne n’a pas le cul propre," added Boudjellal – which literally translates to "the Australian Federation don't have a clean arse" but is slang for saying "they have played dirty."
"They are speaking to a player who they know has signed. So there is collusion there and I might sue the Australian federation to ensure our rights are respected.
"If Cooper doesn't come, the compensation will be in millions of euros."