Federal Court Approves $817 Million Settlement in Class Proceeding involving Calculation of Disability Benefits for Disabled Veterans of the Canadian Armed Forces and Royal Canadian Mounted Police.

TORONTO, April 9, 2024 /CNW/ - The Federal Court has approved an agreement ("Agreement") to resolve a certified class proceeding involving underpayment of certain disability pension benefits administered by Veterans Affairs Canada (VAC). The benefits were payable to members and former members of the Canadian Armed Forces and the Royal Canadian Mounted Police and their survivors ("Class Members") between January 1, 2003 and December 31, 2023.

The Representative Plaintiffs brought the proceeding on behalf of over 330,000 Class Members who received the benefits. The central allegation is that VAC miscalculated the benefits between January 1, 2003 and December 31, 2023 by not indexing payments properly for inflation.

The Agreement provides that Class Members will receive a one-time payment of approximately 2% of the total amount of their affected benefits received between January 1, 2003 and December 31, 2023. The estimated value of the Agreement is at least $435 million and up to $817 million depending on total claims.  The payments will compensate Class Members for reduced benefits received between January 1, 2003 and December 31, 2023.

Later this year, Class Members who currently receive disability pensions directly from VAC will automatically receive settlement payments from VAC by direct deposit or cheque.

Estates, family members of deceased Class Members, and other Class Members who do not currently receive disability pensions directly from VAC ("Claimants") must submit a Claim in writing by March 19, 2025. A Claimant may submit a Claim online to the website of the Administrator, KPMG, at: https://veteranspensionsettlement.kpmg.ca/

KPMG has established a dedicated call centre to address general inquiries and help Claimants complete Claim forms. Please call 1 [phone]. You may also visit the Administrator's FAQ page at the above website.

The Representative Plaintiffs are Dennis Manuge, Raymond Toth, Betty Brousse, Brenton MacDonald, Jean-Francois Pelletier, and David White.  Class Counsel are McInnes Cooper, Gowling WLG (Canada) LLP, Koskie Minsky LLP, Murphy Battista LLP, and Michel Drapeau Law Office.

For additional information, or to obtain a copy of the Agreement, please visit www.vetspensionerror.ca. For media enquiries, please contact Daniel Wallace ([email protected]), Malcolm Ruby ([email protected]), or Michel Drapeau ([email protected]).       

Quotes

"It is important to ensure that veterans receive their proper financial consideration. I am pleased that has been achieved through this Agreement and that the Class of disabled veterans will receive compensation."

David White, Representative Plaintiff

SOURCE Koskie Minsky LLP