Genesis Research & Development may be expelled from forestry biotechnology firm ArborGen if legal action by its joint venture partners is successful.
Genesis today said it had been advised by ArborGen that other members had taken steps to have it expelled as a member.
In a statement to NZX, Genesis
said ArborGen had also started proceedings against it seeking various orders, including clarification of ownership of intellectual property and unspecified damages.
"Genesis strongly refutes the allegations and claims made by ArborGen, which have been the subject of lengthy discussion and negotiation between the parties," it said.
Genesis said it would "vigorously defend" the proceedings and preserve its 5 per cent interest in ArborGen.
ArborGen was set up in 2000, with firms International Paper Company, MeadWestvaco and Fletcher Challenge Forests (now Rubicon Forest Industries USA Inc) each owning 31.67 per cent.
Genesis licensed certain technology to ArborGen and has provided significant research services to ArborGen.
Genesis chief executive Stephen Hall was not immediately available for comment.
- NZPA
