New Zealand Open Source Society member Eden McKee approached Software Images to have a CD replicated containing Linux variant Knoppix and Microsoft Office competitor Open Office.
But when he arrived with the materials last week, Software Images declined to do the job. Society president Peter Harrison then made a separate request for Software Images to do the work.
Correspondence obtained by the Herald shows Harrison was told by Software Images' account manager Dean Baker that "your content will be no problem to replicate".
But he then backtracked, saying there may be an issue due to a "replication agreement" with Microsoft.
On Thursday he said the replication was not a problem, but Software Image's e-fulfillment services (if they were required) could not be offered.
Yesterday Software Images declined to do the job, citing intellectual property concerns.
When questioned by the Herald on Friday, Software Images chief executive Allan Morton said his company's wariness of Linux was due to legal action between SCO and Linux over intellectual property issues.
"[The media] has made us aware that there is litigation around this software."
Morton said it was the customer's obligation to show they had the necessary rights and his company could only replicate "properly licensed and owned intellectual property content".