Wotton v State of Queensland (No 11) [2018] FCA 1841

Wotton v State of Queensland (No 11) [2018] FCA 1841

The Court ordered that $233,540 be set aside from the settlement fund because financial counselling, advice and assistance were in the interests of the registered class members, many of whom were vulnerable to exploitation and had limited financial literacy; the services would assist class members to use compensation effectively, protect them from predatory conduct and deal with effects on government entitlements, while the deduction would have only a minimal effect on individual distributions. The Court had power to make the orders under s 33V(2) of the Federal Court of Australia Act 1976 (Cth), alternatively under ss 33ZF and 33Z.

Jurisdiction
Australia
Judgment Date
09 August 2018
Procedural Posture
Representative Proceeding / Class Action / Application for an Amount to Be Set Aside From the Settlement Fund to Provide Financial Counselling to Class Members, Heard on the Papers
Outcome
Application allowed; financial counselling sum set aside from the settlement fund and related orders made.
Legal Topics
['settlement Approval' 'settlement Distribution Scheme' 'financial Counselling for Class Members' 'palm Island Class Action Settlement Scheme' 'court Powers in Representative Proceedings']
['practice and Procedure' 'representative Proceedings' 'administrative and Constitutional Law and Human Rights' 'racial Discrimination'] ['settlement Approval' 'settlement Distribution Scheme' 'financial Counselling for Class Members' 'palm Island Class Action Settlement Scheme' 'court Powers in Representative Proceedings']

Case Brief

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Procedural Posture

Representative Proceeding / Class Action / Application for an Amount to Be Set Aside From the Settlement Fund to Provide Financial Counselling to Class Members, Heard on the Papers

Legal Issues

  1. 1 ['Whether $233,540 should be set aside from the settlement fund to provide financial counselling, advice and assistance to registered class members.' 'Whether setting aside that amount from the settlement fund was in the interests of class members.' 'Whether the Court had power under the Federal Court of Australia Act 1976 (Cth) to make the orders.']

Ratio Decidendi

The Court ordered that $233,540 be set aside from the settlement fund because financial counselling, advice and assistance were in the interests of the registered class members, many of whom were vulnerable to exploitation and had limited financial literacy; the services would assist class members to use compensation effectively, protect them from predatory conduct and deal with effects on government entitlements, while the deduction would have only a minimal effect on individual distributions. The Court had power to make the orders under s 33V(2) of the Federal Court of Australia Act 1976 (Cth), alternatively under ss 33ZF and 33Z.

Court Disposition

Application allowed; financial counselling sum set aside from the settlement fund and related orders made.

Orders

  • ['The sum of $233,540 ("the Financial Counselling Sum") be set aside from the settlement sum to be applied for the purposes of clause 51A of the Palm Island Class Action Settlement Scheme in the form attached as Schedule 1 to the orders made 15 June 2018 ("the Scheme").' 'Until further order or the completion of the...