Campaigners in Menston are hoping to make history by being the first village in the country to issue the council with a Judicial Review.
Residents are launching the review against Bradford Council in a bid to stop “excessive” development.
Campaigners have already held a local referendum and a village green inquiry in a bid to halt new homes from being built at Derry Hill.
They claim the review will focus on drainage issues at the site which could have an additional 179 homes built on it.
Campaigner Dr Steve Ellams said: “It is nearly five years since the Menston community started to defend their village against what they regard as excessive and inappropriate housing developments.
“The Judicial Review means that the planning process will be subject to investigation by a judge, independently of Bradford Council and the developers.
“As far as we know Menston is the first community in the UK to progress to this stage of planning review.
“We continue to need moral, practical and financial support and we can succeed.”
Campaigners from Menston Action Group claim that flooding and drainage in the village will get worse if the developments go ahead.
The group’s legal team has also written to the city solicitor offering to fund all the costs of an appointment of an independent consultant to investigate the issue of ground water on the Bingley Road site.
Campaigners will be calling on residents to help contribute towards a fighting fund to help pay for the legal challenge.
Dr Ellams added: “Donations will be required to continue the legal challenges ahead and prove once and for all that the Menston community is justified in its stand against inappropriate development.”
Bradford Council planning officials gave the green light for more than 300 new homes on Derry Hill and Bingley Road last year.