Peter Tashkoff is crying foul over his expulsion from the Act Party because party leader Rodney Hide attended the meeting at which his fate was decided and voted against him.
Mr Hide had previously excused himself from board meetings and discussions about Mr Tashkoff because of a conflict of interest.
Mr Tashkoff has been highly critical of Mr Hide's leadership and has tested the waters among caucus and party members for support for replacing him.
Mr Hide said the motion to hold the expulsion hearing - where he had excused himself - and the hearing were different matters.
"Once they were going to have a hearing, I considered it sufficiently serious that I needed to be in a position that, as party leader, I was satisfied that it was done appropriately and properly, and to answer questions about it.
"I didn't go along so much to vote, but to be aware of the issues ... I didn't contribute."
He admitted to voting, but said his vote was not needed to reach the required majority.
Mr Tashkoff said the episode had ignited informal discussions - inside and outside caucus and the party membership - about a new party on the right.
"The name being bandied around is the Reform Party ... There are people frantic to start a new party today."
But he did not think it was the right time and he would revisit the issue in the new year.