Monsanto has confirmed it helped a West Australian client defend a landmark legal action against him after genetically modified canola from his farm blew onto his neighbour's property.
Kojonup organic farmer Steve Marsh last year failed in his bid to sue former boyhood friend Michael Baxter, claiming he lost organic certification for 70 per cent of his farm because of the contamination.
He sought $85,000 in damages but was instead ordered to pay a court costs bill of about $804,000.
Last month, the WA Court of Appeal allowed Mr Marsh's challenge to the costs order and ordered Mr Baxter to provide information about any arrangements between himself and Monsanto and the Pastoralists and Graziers Association to pay his trial costs.
Outside court, Mr Baxter's lawyer Brian Bradley told reporters that the PGA did not provide any funding but declined to comment on Monsanto, saying that was confidential.
On Wednesday, Monsanto managing director Daniel Kruithoff confirmed the biotech seed producer had helped fund the defence.
"Although we were not a party to the litigation, we respect Michael and Zanthe Baxter's choice to defend themselves," Mr Kruithoff said in a statement.
"Both farmers were entitled to seek support for this legal dispute so that their arguments could be heard in court.
"It was only fair that the Baxters received much needed support given the extensive fundraising efforts of Steve Marsh's supporters.
"Monsanto Australia contributed to the Baxter's legal costs to ensure they could defend themselves in court."
The company said its indemnity agreement with the Baxters strictly limited its support to contributing to their legal costs, and it had no control over the management of the case.
Mr Marsh's appeal will return to the WA Court of Appeal later this year.