Growers who sign up to the kiwifruit court case against the Government may have to get consent from the company taking the action before they could sell their orchards.

That's among the warnings from New Zealand Kiwifruit Growers Inc, which is saying the claim is 'just too risky” to take.

New Zealand Kiwifruit Growers Inc CEO Mike Chapman.

'There are many risks for growers who join this claim,” says Mike Chapman, CEO for NZKGI. 'Growers need to get independent legal advice before considering joining,”

Those promoting the claim are holding a growerers meeting in Te Puke on Wednesday afternoon to outline the plans to file The Kiwifruit Claim class action at the High Court in Wellington.

The claim seeks compensation for the effects of the bacterial disease Psa on kiwifruit growers and plans to hold Biosecurity NZ accountable for its negligence in allowing the 2010 Psa outbreak.

The claim's legal team includes Alan Galbraith QC, Matthew Dunning QC and Parker & Associates. The class action is being supported by litigation funders LPF Group Ltd.

Mike has seen the agreement documents growers have been asked to sign, and says: 'Growers, it seems, will need the consent of LPF to sell their orchard where the orchard(s) are what their Psa claim is based on.”

While Psa had a devastating impact on growers, Mike says growers of green kiwifruit may have difficulty proving a loss.

He adds: 'Orchard gate returns for green growers in 2010 were $32,234. Today they are $47,876, which would appear to remove a lot of growers from the case. This claim is a gold kiwifruit claim.”

It was growers of the gold variety Hort16A who were hardest hit by the disease.

The claim could take many years and there is no guarantee the case will be commenced. LPF has the right to make this decision by November 28 or at a later time by agreement.

'The growers will be the named plaintiffs in the court proceedings, not LPF, and LPF has a discretion as to what costs it will pay. Growers cannot withdraw from the claim but LPF can withdraw from the claim,” says Mike.

Growers could be left to not only run the claim but also meet the costs of running it, including paying the Government's costs if the claim is unsuccessful.

Mike suggets this could be millions of dollars, saying: 'The Government may seek additional security from growers requiring payment of grower funds into court in excess of the joining fee.”

In NZKGI's opinion, growers will not have a say in how the case is run and who is joined to the case as defendants.

'If you disagree with how the case is being run, you can't withdraw,” explains Mike. 'Any disputes growers have with LPF are to be dealt with by an independent expert appointed by LPF – there are no appeals from the decision of the independent expert.”

He also adds that the figure of $885 million which has been quoted in press releases is not how much the claim will be.

'The amount of claim will be based on the loss suffered by the growers who join the claim. If the claim is successful, growers will get what is left after all legal costs and the 20-25 per cent success fee has been deducted. The bigger the claim, the bigger LPF's success fee.”

SunLive expects a response later today from the promoters of The Kiwifruit Claim to comments made by NZKGI.