Moira Deeming issued her first public statement on Monday following a police investigation into her claim Victorian Liberal colleague Matthew Guy assaulted her at an event in May.
Mrs Deeming reported the incident, which happened at a Macedonian community function in Sunshine West, to police in June.
Victoria Police on Thursday said "there was no offence detected" during the incident.
"The woman did not require medical attention," police said.
In the statement, released on behalf of Mrs Deeming to AAP by her lawyer Tim Houweling, she said her complaint was made "honestly, in good faith and only as a matter of last resort".
"Ms Deeming instructs me that her complaint regarding the incident was based upon her own recollection of what had occurred and in accordance with her understanding of the events at the time," Mr Houweling said.
He said Mrs Deeming saw footage of the incident for the first time in media reports.
"She accepts that she misunderstood the technical meaning of the term 'headlock', but maintains that she used it in good faith to describe what happened."
Mr Houweling referred to CCTV footage which shows Mr Guy sitting at a table and talking with Mrs Deeming and another man.
The former leader appears to place his hand on Mrs Deeming's upper back or shoulder area and pull her in to say something before doing a similar gesture with the man.
The lawyer said Mr Guy had maintained a grip as Mrs Deeming attempted to pull away, preventing her from freely moving her head for several seconds.
"Without attributing motive to the other party, our client maintains that from her perspective this physical contact by a senior male colleague in the workplace was unexpected, unwelcome, physically painful and caused her to feel fear and confusion," he said.
Mr Guy had demanded a public apology from Mrs Deeming and said his family name and reputation was "not a political toy".
"There was no ambiguity. I did not do what was alleged. The CCTV proves this. It did from the start, and Victoria Police agree," he told reporters on Friday.
"Moira Deeming owes me a public apology."
Mr Houweling said this was not going to happen
"She will not apologise for something she has not done," he said in the statement.
"She categorically rejects any suggestion that her complaint was falsely made and considers any such allegation to be entirely without foundation and highly defamatory.
"A decision by police not to pursue charges is not a finding that a complaint was falsely made."
Mrs Deeming's husband Andrew took to X to defend her on Thursday, saying he would "never grab a woman by the back of the neck".
"And as a husband - keep your f***ing hands off my wife," he wrote.
Mr Guy issued an impassioned call to the "Aussie males who are sick of not being believed" following the allegation.
"The premier and the attorney-general yesterday told every Victorian male over 40, they don't have your back. They never believe you. In (their) eyes, you're guilty before proven innocent" he said.
"I have your back."
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