Ridley, who played in five premierships with the Demons, coached the club for three years and was president when the failed merger with Hawthorn was proposed in 1996, died after a long battle with emphysema.
Melbourne CEO Cameron Schwab said on Thursday, "He influenced the lives of many terrific young players as coach … he stepped up as club president when nobody else wanted to, and when the club needed a hero.
"He courageously confronted the most difficult decision in the club’s history, and wore the wounds unfairly.
"Ian Ridley had a profound influence on five generations of Melbourne people, and it’s a very sad day."
Ridley played 130 games and kicked 228 goals between 1954 and 1961.
Known as Tiger, Ridley was selected as an emergency in Melbourne's Team of the Century.
