Victorian government agrees to $125m settlement of COVID-19 hotel quarantine class action by businesses
The Facts
- The Victorian government agreed to a $125 million settlement to resolve a class action brought by businesses over losses linked to Victoria’s 2020 COVID-19 second wave and lockdowns.
- The settlement was announced on Monday in proceedings at the Supreme Court of Victoria, and the settlement will be subject to court approval.
- Lawyers for the class action said the settlement was reached on the eve of the trial, which had been due to begin on March 10.
- About 16,000 businesses registered for the class action.
- The legal action alleged negligence in relation to Victoria’s hotel quarantine program and sought damages for business losses during the second wave period.
- The settlement amount was described as inclusive of costs and interest in court.
- Reporting indicated that around 30% of the settlement is expected to go to legal costs and litigation funders.
Context
Who brought the class action and what were they claiming?
The case was brought on behalf of thousands of Victorian businesses seeking compensation for financial losses, alleging negligence connected to the state’s hotel quarantine program contributed to the 2020 second wave and subsequent restrictions that harmed businesses. NZ Herald News.com.au Australian Broadcas…
When was the trial supposed to start, and why didn’t it proceed as scheduled?
The matter had been listed for trial starting March 10, but reporting says it was postponed/adjourned and a settlement was reached on the eve of trial, with the agreement then raised at a directions hearing on Monday. NZ Herald Perth Now Australian Broadcas…
How many businesses are involved, and are they all guaranteed a payout?
About 16,000 businesses registered for the class action, but the ABC reported they still need to be assessed for eligibility. Australian Broadcas… News.com.au
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