Shane Monks represented the Applicants, instructed by Bounty Law.
The Applicants, as lead applicants in a representative proceeding under Pt IVA of the Federal Court of Australia Act 1976 (Cth), sought approval under s 33V to settle and discontinue a class action against the Respondent firm. An earlier application had been refused because the benefits to the lead applicants were not adequately disclosed and the settlement sought to restrain the lawyers who had acted in the matter from assisting other litigants against the Respondent.
By a deed of variation and further affidavit evidence, the Applicants addressed both concerns. The evidence showed that the $155,000 settlement sum would be applied solely to the expenses of the litigation, with none going to the lead applicants, and the deed released the lawyers from their restraining undertakings. The Court was satisfied that the settlement was fair and reasonable and that group members would not be disadvantaged. Ancillary orders were made setting aside an earlier costs order by consent and releasing the Applicants and their solicitor from undertakings so that documents obtained in the proceeding could be provided to group members.
The settlement was approved with no order as to costs.
The judgment can be read by clicking here
