Victorian government loses bid to halt COVID lockdown class action

Thousands of Victorian businesses who are continuing to suffer the financial impact of COVID-19 lockdowns are closer to having their class action case against the state heard.

The State of Victoria on Friday lost an attempt to delay the case, which has been brought by lead plaintiff burger bar 5 Boroughs NY on behalf of a group of businesses over economic loss resulting from the 2020 lockdown.

Melbourne’s Federation Square during lockdown in 2020.Credit:Penny Stephens

The businesses are seeking damages from the state, saying it breached its duty to take reasonable care in implementing infection-prevention procedures at quarantine hotels, resulting in the spread of COVID-19 and a 112-day lockdown.

The government attempted to stay the proceedings pending a resolution to separate criminal proceedings brought by WorkSafe against the Department of Health over its hotel quarantine program.

However, Supreme Court Justice John Dixon rejected this and asked the parties to discuss pre-trial dates to help the case to progress.

He found delaying the case any further could cause more harm to businesses that were already suffering financially, as many of the businesses continue to face hardship from the 2020 lockdown.

“This includes members that have to pay back rent which was subject to a moratorium during that lockdown, putting them under financial strain, some have been placed in administration or liquidation, and some are at risk of having their business deregistered as a result of losses incurred during the lockdown,” he said in written reasons on Friday.

“Therefore, while any delay in relief is an injustice, the harm is particularly acute in this case.”

The matter will return to court at a later date.

AAP

Most Viewed in National

Source: Read Full Article