PFAS Pollution Case Settles, with Some Claimants Upset

An Australian case involving contamination from firefighting foam has settled with what the judge called a “fair and reasonable” amount. The class action over PFAS contamination in three Australian towns has been underway for years, involved multiple law firms and over 500 claimants.

World Socialist Website explains that while the judge was pleased with the decision, many members of the class were not. Individual settlement amounts call into question whether the amount taken from the award for costs is excessive.

The final settlement amount was $212 million. From that figure, litigation funder Omni Bridgeway will take $53.1 million in profits plus nearly a million more for costs. Lawyers will get just over $30 million, and a further $2 million will be taken for administration. Does taking nearly one-quarter of the settlement in exchange for providing funding seem fair? Legal minds may disagree, but the truth is, that without litigation funding, the case would probably not have moved forward at all. Most ordinary citizens or even small business owners lack the resources needed to sue the federal government.

Still, it’s easy to see why there were objections to the settlement—75 of them all told. One farmer who reported a $2 million loss will receive a mere $152,000. Another lost $200,000 and will receive less than $33,000. Those who objected to the settlement determined that the money offered wouldn’t come close to covering their actual losses. The offer presumed a figure of 21.5% property devaluation. Many residents though, were shown to have suffered much larger losses than that.

The judge accepted the settlement, saying that a trial might still end with a loss and would take years to resolve. Meanwhile, PFAS chemicals are still found in sites all over Australia.