Terri Irwin loses fight against multi-million-dollar law suit

Steve Irwin's widow Terri has lost her bid to fight a multi-million dollar lawsuit in her home state of Queensland.

The wife of the late Crocodile Hunter and their world-famous Australia Zoo are being sued by a debt collection company.

Alyssa Treasury Services claims both parties owe more than 2.5 million dollars over a complex loan deal with an offshore bank.

Lawyers for Ms Irwin and the zoo wanted the case heard in Queensland because most potential witnesses were based there and the claim's been brought under Commonwealth law.

But Victorian County Court Judge Maree Kennedy has rejected the application saying the bill of exchange under question was issued accepted and endorsed in Victoria.