The government has given an assurance in parliament it won't sign any international trade deals that compromise New Zealand's sovereignty.
Opposition parties are calling for a withdrawal from the Trans-Pacific Partnership (TPP) negotiations following the leak of a document which appears to confirm states signing up to it could be sued by foreign investors over unfavourable laws.
TPP critic Jane Kelsey, an Auckland University law professor, says clauses in the agreement mean tobacco companies could sue over anti-smoking regulations, and oil companies over laws tightening the rules around oil exploration.
Trade Minister Tim Groser told parliament the negotiations were still a long way from being finalised and he could give an "absolute" assurance New Zealand would be protected against legal action.
"The government will make up its mind about what it signs when all the facts are on the table," he said.
NZ First leader Winston Peters says the government should withdraw from the next round of negotiations, starting on July 2.
"If it just blunders ahead and signs up to the agreement it will throw our whole law making process into turmoil," he said.
The Green Party says the Australian government isn't signing the state dispute clauses and New Zealand shouldn't either.
The TPP is an extension of a free trade agreement between New Zealand, Brunei, Chile and Singapore which has existed since 2006.
Countries negotiating to join it are Australia, Malaysia, Peru, Japan, the United States and Vietnam.