Spence's campaign asked television stations across the state to pull the ad from their airwaves.
The commercial from Governor Jay Nixon's campaign states Spence voted to accept a $40 million bailout in 2008.
Governor Nixon attended a democratic rally in Cameron Tuesday night and says he stands by the ad, and says the the information is accurate.
"That ad stands for itself. It's very clear. He was on a bank board. They took TARP funds. He voted not to pay the money back. That's very clear. It's public resources and I think it's presented in a very direct and fair way," Gov. Nixon said.
Spence's camp says otherwise. A cease and desist letter from Spence's lawyers states Spence was only on the bank board, and he joined after the bank voted to accept bailout money.
The ad also claims that Spence used taxpayers' money to buy a million dollar mansion.
Spence's campaign page says his personal loan has nothing to do with the taxpayer's money.
The cease and desist letter states that federal regulators recommended the board delay the TARP payments.
The Spence for Governor Campaign says the negative ads are defamatory and television stations that continue to run the ads could face legal action.
Governor Nixon says he has no plans to remove the ad.