Invercargill's Mayor will battle his council in court - after fighting defamation claims by a former councillor

Councillor Karen Arnold resigned last year - after attempting to sue Sir Tim Shadbolt and Stuff for comments made about her in opinion pieces.

After a three-week High Court trial Arnold was ordered to pay court costs to Shadbolt - but she declared herself bankrupt.

In a statement released today - Council Chief Executive Clare Hadley says Shadbolt's applied to have Council pay him almost 500-thousand-dollars on her behalf.

Hadley says they've now filed a defence against him.