The University of Sydney has said it did not reject an award-winning philosopher's job application because Iranians were difficult to supervise or manage.
Omid Tofighian hit the university with human rights allegations in August, claiming he was overlooked when applying for an associate professor position because of where he was born.
In its Federal Court defence, the university argued that race had nothing to do with Dr Tofighian's failure to get the role because he was the fifth preferred candidate.
"(The university) denies that the position was 'available' to (Dr Tofighian) as it was accepted by a more highly preferred candidate," it wrote.
In November 2016, Dr Tofighian applied for the opening at the university's National Centre of Cultural Competence.
He claims that associate professor Maurice Peat made allegedly racist remarks which affected the committee's selection process, denying him the opportunity to take up the sought-after position.
The University of Sydney said in its defence that there was "inconsistent evidence" as to whether Dr Peat indeed made these types of remarks.
"You'll find it difficult to supervise him. I have worked with a lot of Iranian men and they're like that," then NCCC executive director Leanne Kapoor claims she heard Dr Peat say.
Associate Professor Gabrielle Russell recalled further remarks made by Dr Peat, who has since retired.
"It would be very hard for you as women to manage him as an Iranian man. I've worked with Iranian men before," he is alleged to have said.
In a separate defence, Dr Peat completely rejected allegations he made any sort of racist remark.
After being rejected for the role, the philosopher then took up work as a senior project officer within the NCCC in February 2017, but says he felt anxious, tense and uncomfortable during his time there because of the comments made.
After a cold reception to a Refugee Alternatives Conference in late February 2017, Ms Kapoor allegedly became critical of his work.
The university said it was unaware of how Dr Tofighian felt during this time, and rejected allegations that the NCCC head was "highly critical' of his work. Instead, she offered him constructive feedback.
All reasonable steps were taken to prevent Dr Peat from engaging in racial discrimination, the university claimed.
Dr Peat said he had a long tenure of working with the Iranian philosopher as well as students from diverse backgrounds and that he had never received a complaint about his conduct.
Dr Tofighian is seeking compensation for missing out on the associate professor position, future losses from being mentally unfit to work, and from any hurt, humiliation, distress and anxiety caused.
He is also demanding a written apology.
As well as working in the NCCC, Dr Tofighian is an honorary research associate in the university's Department of Philosophy.
In February 2019, he won the Victorian Prize for Literature, the Victorian Premier's Prize for Nonfiction and the NSW Premier's Literary Award for his translation of asylum seeker Behrouz Boochani's book No Friend but the Mountains: Writing from Manus Prison.