At a Lions board meeting on Tuesday, Queensland-based businessman Bob Sharpless was appointed as a director amid the stoush between Matthews' rival ticket and chairman Angus Johnson.
But Matthews' bid to challenge Johnson at a members vote appears to be dead in the water on the strength of the Lions' legal advice.
Lions lawyers claimed under the club's constitution only full members with two years' continuous membership were eligible for appointment as directors at a Lions general meeting.
Matthews is a life member.
"Life members are not full members under the club's constitution," a Lions statement said.
But Matthews, the three-time Lions premiership coach, was clearly angered by the decision.
"For your info, Lions board can solve problem by making life members eligible as full voting members, they are choosing not to," he wrote on Twitter.
"Lions board members Angus Johnson, Cameron Milner, Linda Nash and Peter McGregor prevent me challenging them NOW but the fight still on."
Sharpless' appointment as a specialist director was approved by the board during a meeting of all directors in Brisbane on Tuesday.
"The board will meet again to resolve matters relating to the EGM (extraordinary general meeting)."
A date for an EGM had been expected to be thrashed out on Tuesday.
The Matthews ticket, also featuring directors Paul Williams and Mick Power, had hoped to force a board spill with a members' vote.
