› Settlement approval – whether fair and reasonable – s 33V Supreme Court Act 1986 (Vic)
Practice and procedure
› Group proceedings
› Group costs order – amendment of percentage – material change in circumstances – s 33ZDA(3)
Practice and procedure
› Group proceedings
› Settlement distribution scheme – loss assessment formula – minimum payments – late registrants – deregistered companies
Practice and procedure
› Group proceedings
› Reimbursement payment to representative plaintiff – administration costs – not payable from GCO amount
Quick Take
1Reimbursement payments to a representative plaintiff and the costs of administering a settlement are not 'legal costs payable to the law practice representing the plaintiff' under s 33ZDA(1)(a) of the Supreme Court Act 1986 (Vic); they should be deducted from the settlement sum as separate payments subject to court approval under s 33V(2), not paid out of the amount payable under a group costs order.
2Where a law practice represented at the time a GCO was made that reimbursement payments and administration costs would be borne from its GCO receipt, a later departure from that position is a material change in circumstances justifying amendment of the GCO percentage under s 33ZDA(3). By contrast, costs overruns, a settlement below the anticipated range, and termination of the law practice's own litigation finance arrangements did not, on the facts, justify amendment.
3A plaintiff's reimbursement payment compensates for the time, cost and burden of acting as representative. It does not extend to repaying a loan that discharged the plaintiff's own tax debts, or to emotional impacts on the plaintiff company's director and family. The average distribution to group members is a relevant consideration in assessing the payment.
