Canberra Liberals say former leader's claim she was threatened with assault was 'misunderstanding'

Ms Castley resigned from the party yesterday, alleging bullying, intimidation and a threat of physical assault over the past 18 months, but did not elaborate further.

Ms Castley says she has now made a formal complaint about the matter.

The Canberra Liberals have hosed down allegations by their former leader Leanne Castley that she had been threatened with physical assault.

Ms Castley quit the party yesterday to sit on the crossbench as an independent, saying she had had "enough of being part of an organisation with such a toxic culture".

She alleged that over the past 18 months, she had "experienced bullying, intimidation, lies, and even a threat of physical assault".

Ms Castley did not provide more specific details about the allegations.

Today, current Liberal leader Mark Parton held a press conference, saying an "animated discussion" had taken place between himself, Ms Castley and Ginninderra MLA Chiaka Barry last month.

Mr Parton said there was a "misunderstanding" during that conversation that he believed had been "instantly cleared up".

Chiaka Barry and Mark Parton say they believed Leanne Castley's claim of a physical threat was resolved at the time of a discussion. (ABC News: Matt Roberts)

"I instantly intervened. I said 'Woah, just back it up there for a moment'.

"When I heard Leanne raise allegations of threats of violence this week, I thought maybe she was talking about some other incident that I didn't have any knowledge of because, to my mind, this one had been dealt with.

Ms Barry echoed Mr Parton's account of events and added that the heated discussion was in response to what she described as Ms Castley "verbally embarrassing" her in public.

"I was debating a matter in chamber and Ms Castley, verbally said to me, 'F***, you're debating the wrong bill'," Ms Barry said.

"And that was incorrect. She slammed her laptop and walked out of the chamber."

Ms Barry said she later went to Mr Parton's office where they all met to discuss the incident.

Ms Barry acknowledged, in hindsight, she could have handled the situation differently.

"As Mr Parton has reflected, I said 'If you come at me the way you did, I would have no choice but to come back at you'," she said.

"My intention was, if she wants to keep verbally embarrassing me, I would verbally embarrass her."

Leanne Castley says she experienced bullying, intimidation and lying within the party. (ABC News: Ian Cutmore)

In a statement this afternoon, Ms Castley confirmed she had now made a formal complaint about the matter.