I was pricing a option with big dividend in the underlying. However, I got negative transition probability in a trinomial tree.

Will it cause arbitrage? Does anyone have reference paper or book chapter can share?

I failed to find the following paper. The paper suppose to discuss negative probabilities.

Can anyone help? Thanks a lot.

Mayhew, S. ?On Estimating the Risk-Neutral Probability Distribution Implied by Option Prices.?

Working Paper, Purdue University, 1995.