Business Losses Class Action
Class Action on behalf of Victorian Businesses
Registration is open to Victorian retail businesses that were unable to provide (or were limited in their ability to supply) goods or services from their place of business to the public because of the second-wave lockdowns.
Register or Opt Out by 8 July 2024
With the consent of both parties, the Supreme Court of Victoria has ordered mediation to occur in November this year. The Court has also ordered that if any retail business wishes to have the opportunity to recover any losses from compensation potentially achieved at the mediation, then they must register their claim with Quinn Emanuel by 8 July 2024.
Crucially, the Court has also ordered that if the action settles at the mediation in November, any retail business that does not take one of the steps set out in the Court Notice to group members will not be entitled to recover compensation for which it may otherwise be eligible.
What must you do before 8 July 2024?
- Register: if you want to be guaranteed the opportunity to receive any compensation achieved by way of settlement at the mediation, then you must register by 4:00pm on 8 July 2024. It does not and will not cost you anything to participate in the class action.
- Opt Out: if you do not wish to be eligible to receive any compensation achieved by way of settlement at the mediation, or for your rights to be determined by the class action, then you may opt out by 4:00pm on 8 July 2024 by completing the opt out form at schedule 2 of the “Court Ordered Notice”. It is important that you read the Notice carefully
- Do nothing: if you do nothing, you will remain a group member in the class action and your rights will be determined by the class action, but you will not be eligible to receive any compensation achieved by way of settlement at the mediation.
Am I eligible to register as a Group Member?
You are a eligible group member of the Business Losses Class Action, if you meet all 3 of the following criteria:
- as at 1 July 2020, you operated a business that supplied goods or services to the public from physical premises located in Victoria; and
- members of the public acquired those goods or services by attending the physical premises; and
- as a result of the restrictions in place from the second wave lockdown in Melbourne and parts of regional Victoria between July and October 2020, your business was required to shut, or operate at a reduced capacity and/or members of the public were restricted or prohibited from visiting your retail premises, and this caused your business to suffer financial losses.
The full definition of a “group member” appears at paragraph 1 of the Amended Statement of Claim, linked below.
Why should I register?
If you register in this class action:
- → it guarantees you the opportunity to recoup some losses incurred by your business resulting from disrupted operations caused by the second wave lockdowns in July to October 2020, in the event of a successful settlement or judgment or award.
- → it is cost and obligation free. It does not and will not cost you any out-of-pocket costs to register.
- → it provides both Quinn Emanuel and the solicitors for the defendants with a better understanding on the number of Victorian business impacted by the second wave lockdowns and the economic loss that they suffered. This allows settlement discussions to occur on a more informed basis at the upcoming mediation.
- → your registration should not be publicly disclosed.
- → other than registering a claim for loss, an eligible business does not need to take any active part in the class action in order to receive compensation.
Overview of the class action
Quinn Emanuel has filed a class action against the State of Victoria (and other servants and agents of the State of Victoria). The class action alleges that operational failures in the Victorian hotel quarantine program caused the second wave lockdowns in Victoria (July 2020 to October 2020), which resulted in significant economic loss for retail businesses who had to close or significantly reduce operations as a result of these lockdowns. The class action seeks to return those economic losses to retail businesses in Victoria.
Key Dates – Registration and Opt Out
4 MARCH
2024
Registration opens for Victorian Businesses to register in the class action.
8 JULY
2024
Registration closes. If you have not registered in the class action by this time, you will not be eligible to receive any compensation achieved by way of settlement at the Mediation in November 2024.
NOVEMBER
2024
The Court has ordered mediation to occur in November 2024.
Key Documents
Court Notices
Class Action Summary Information
- Amended Statement of Claim
-
Defence (not yet filed)
FAQs
I received a Court Notice, is it a scam?
No, this is not a scam. The Notice has been issued by order of the Court and contains important information about the class action and your legal rights. You should read it carefully. If you have any questions about the Notice, you should contact us:
Does it cost me anything to register?
No. It does not and will not cost you any out-of-pocket expenses to register or to participate in the class action.
Will registering my business be public knowledge?
Registering is confidential and your name, or your business name, should not be made public.
Am I eligible to be part of the class action?
The class action has been commenced as an 'open class', meaning that any business which falls within the criteria of group member is automatically a member of the class action (unless it elects to opt out of the proceeding).
You are a group member if:
- At 1 July 2020, you carried on a business (a retail business) the ordinary operations of which involved:
- The supply of goods or services at premises physically located within Victoria;
- The attendance by members of the general public at those premises for the acquisition of the goods or services supplied at those premises;
- The retail business was prohibited from supplying, or was restricted in its ability to supply, goods or services to members of the general public at such premises, or which operated such premises the attendance at which by members of the general public was prohibited or restricted, by one or more of:
- The "stage 3" restrictions put in place in certain postcodes of Melbourne from 2 July 2020, and in Melbourne and the Mitchell Shire local government area from 9 July 2020;
- The "stage 4" restrictions put in place in Melbourne from 2 August 2020, including the workplace closures put in place from 6 August 2020;
- The regional "stage 3" restrictions put in place in Victoria outside of Melbourne from 6 August 2020;
- The retail business suffered economic loss by reason of one or more of the above-mentioned matters.
My business is no longer operating, am I still eligible to be part of this class action?
Yes. If your eligible business was operating at 1 July 2020, you are able to participate in the class action. As long as your business is still registered, it does not matter if your business is no longer operating, or when it ceased operating after this time. If your business is no longer registered, please email us at hqclassaction@quinnemanuel.com so we can assess your eligibility
Does my business need to have closed down completely to participate?
No - your business can participate in the class action if it has suffered any economic loss as a result of the second and longest lockdown between July 2020 and October 2020 (this may include a reduction in its sales, or your business may have closed down some or all of its operations completely during the second-wave lockdown period).
How much involvement will I need to have if I register?
Very little involvement. It is likely that your involvement will be limited to:
- registering your claim and providing proof of you claim and losses;
- in the event of a successful outcome, providing your details (such a bank details) for the purposes of receiving any entitlement to the resolution sum.
Are there any risks to me or my business by registering in the class action?
- You will not be exposed to any adverse costs;
- The details of your registration (including the name of your business) will not be made public;
- You will not be exposed to any out-of-pocket costs.
Am I eligible if my business has received Job Keeper payments or a Government grant?
Yes, you are eligible even if your business has received Job Keeper payments and/or any Government grants. Those payments will simply be taken into account in calculating the amount of your losses.
You are also eligible even if your business has never received a Job Keeper payment and/or is not eligible for any Government grants.
What businesses are not eligible?
Unfortunately, the below businesses (or, business operations) do not meet the criteria of a “group member” for the purposes of this class action and are not eligible to participate in the claim:
- Businesses that operated independently of a business premises (such as a Taxi driver or hire car operator);
- Businesses that provided services from locations not owned/leased by the business (e.g., builders, painters, plumbers, cleaners, handymen, etc.);
- Businesses whose services were not provided directly from the business's owned/leased premises (e.g., landlords, real estate agents, travel agents, etc.);
- Businesses whose goods or services did not require members of the general public to attend the business's premises in order to acquire the good/service (e.g., online retailers, caterers delivering food, etc.);
- Businesses that were able to continue to provide services remotely during the lockdown (e.g., lawyers, accountants, consultants, etc.).