Queensland Premier Campbell Newman says Clive Palmer should drop his defamation law suit if he wants to save taxpayers money.
The federal Member for Fairfax is suing the premier for $1.1 million for claiming he tried to "buy" Queensland's Liberal National Party government.
Mr Palmer has called on Mr Newman to pay for his own legal expenses in defending the action, saying taxpayers should not have to pay for the premier's "brain snap".
"I'm a man of modest means, believe it or not," Mr Newman told Fairfax radio on Tuesday.
"He's a multi, multi-millionaire, who likes to throw around these resources to try to shut people up.
"The easiest way for him to save taxpayers' money is to withdraw from legal action."
The premier says Mr Palmer knows how to dish it out, but can't take it.
"The moment I try to defend myself or make a political point about him, he wants to sue me," Mr Newman said.
"It's hot in the kitchen, Mr Palmer, and if you're going to dish it out you've got to be prepared to take it."
Mr Palmer has promised to give any compensation he might receive to public servants axed by the Newman government.
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