Victorian government agrees to $125 million COVID hotel quarantine class action settlement

The Victorian government has agreed to a $125 million settlement in a class action lawsuit brought by businesses affected by the state’s second wave of COVID-19 in 2020. The claim alleged negligence in the operation of Victoria’s hotel quarantine program led to the virus escaping and causing widespread lockdowns. Approximately 16,000 businesses registered for the class action, with eligibility assessments still pending.

The legal action was directed against the State of Victoria, including former ministers Jenny Mikakos and Martin Pakula, and key public servants. Lawyers for the plaintiffs stated the settlement, reached on the eve of trial, represents a significant outcome for eligible businesses that faced “extraordinarily difficult” conditions during the July-October 2020 period.

The Victorian government justified the settlement as a means to avoid further costly legal battles, emphasizing the unprecedented nature of the pandemic and the actions taken based on the information available at the time. The settlement requires approval from the Supreme Court of Victoria before it is finalized.

(Source：ABC (Australian Broadcasting Corporation))