On 8 March 1971, Defence Minister Malcolm Fraser resigned from cabinet, supposedly over Gorton's failure to support him in a dispute with Chief of the General Staff Thomas Daly. The following day, Fraser gave a statement to the House of Representatives in which he excoriated Gorton and called him "not fit to hold the great office of prime minister". Fraser's actions brought to a head tensions over Gorton's leadership style, particularly what his opponents viewed as his lack of consultation with cabinet. In response, Gorton called a partyroom meeting for 10 a.m. on 10 March.[1][2]
The partyroom meeting began with an open debate on the leadership. Gorton, who was chairing the meeting, then called for a vote of confidence in his leadership, which was tied at 33 votes in favour and 33 votes opposed. Gorton supporter Duke Bonnett was the only absentee (due to illness); had he been present, Gorton would have received 34 votes. Under party rules of the time, Gorton could have retained the leadership. However, Gorton resigned, saying a tie vote was not a vote of confidence. He turned to Foreign Affairs Minister William McMahon and nominated him for the leadership, to the applause of his colleagues; Billy Snedden, the Minister for Labour and National Service, was the only other nominee. McMahon – who had been deputy leader of the Liberal Party since 1966 – defeated Snedden with what The Canberra Times called "a comparatively small majority".[3] The exact result was kept secret, as was the party's practice at the time, but has been estimated to have been 40 votes for McMahon to 26 for Snedden.[4]
After McMahon was elected as leader, there was a second ballot to elect his successor as deputy leader. Somewhat unexpectedly, Gorton put himself forward as a candidate and was elected, defeating Malcolm Fraser and backbencher David Fairbairn. McMahon was sworn in as prime minister by Governor-General Paul Hasluck later that afternoon; his full ministry was not sworn in until 22 March.[3]