The Internet Party is seeking legal advice after Prime Minister John Key linked a video of an effigy of himself being burned by jeering youths with the party and founder Kim Dotcom.
A spokeswoman for the party said it was also seeking a retraction from TVNZ because Rawdon Christie, the host of the broadcaster's Breakfast programme which showed the video to Mr Key, did not challenge the Prime Minister on his comments.
Last week saw a furore over a promotional video published by the party which included footage on an Internet Party concert where Mr Dotcom joined in with a crowd chant of F**k John Key.
This morning on Breakfast, Mr Key was shown the video of the effigy being burnt - which had previously been highlighted by National Party aligned blogger Cameron Slater - and asked for his reaction by Mr Christie.
Mr Key did not name Mr Dotcom but appeared to be referring to him in his response when he replied: "The way I sort of see this guy, is that I think New Zealanders will call it themselves".
"They'll make their own decision about whether they want someone in the political system that does this sort of stuff."
Speaking about the people shown in the two videos, Mr Key said: "I think they're just part of a pawn about what this guy's doing. But I just think New Zealanders will just sort of say that's not kind of just the way we do politics in New Zealand, it may be the way that Kim Dotcom wants to do things."
"Internet Mana you know put that, both these videos together and put it on their sites on under their banner so they're the ones promoting it - Internet Mana."
A spokeswoman for Internet Party Leader Laila Harre said the effigy burning video had not been put together or published by the party and the party was now considering legal options over Mr Key's comments drawing a link.
The spokeswoman also said Mr Christie should have challenged the Prime Minister when he made the link and Internet Party would be seeking a retraction or correction from Breakfast over the matter.