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Gordon Legal, the firm spearheading the class action lawsuit, revealed that although 100,000 Australians have registered for compensation, many more could still be at risk of missing out.
Justin recalled the unexpected $5,500 debt he received in 2016, describing it as a shock that left him reeling.
“I immediately went into panic mode,” Justin admitted.
“I wondered, ‘How will I come up with this money?’ My life was already a week-to-week struggle.”
Ultimately, Justin managed to repay the entire debt, enduring several months of stringent budgeting to do so.
During that time, his financial situation became so dire that some nights he could only afford bread and some gravy for dinner.
“Because I was scared. I was scared of that letter,” he added.
The 2023 Royal Commission found that Centrelink unlawfully pursued $1.7 billion in welfare debts that people didn’t owe using an automated scheme between 2015 and 2019.
Federal Court Justice Bernard Murphy said in his ruling Robodebt was a “shameful chapter” in Australia’s history, as well as a “failure” in public administration.
It has been blamed for causing significant harm and multiple deaths, including suicides.
Justin said he was only offered a meagre $350 in compensation following the first $112 million class action lawsuit in 2022.
Gordon Legal appealed this settlement in 2024.
Justin described the initial payout as a “massive cop-out”.
And while there was some validation from knowing his debt was found to be illegal following a royal commission, the mental and financial toll is hard to erase.
“I had the rug pulled out from underneath my feet. I thought, ‘How could the government do this to me?”’ Justin said.
“They knew that this was wrong. And that’s the part that really hurts.”
This time, he hopes the financial outcome will be better.
“Because that first round was a slap in the face,” Justin said.
Justin was contacted by Gordon Legal regarding the initial class action settlement and has signed up for the second one.
There are hundreds of thousands of people who risk missing the deadline.
It may be that they don’t have the correct contact details for Gordon Legal to alert them to the second settlement.
Robodebt victims have until March 6 to register.
Gordon Legal partner Andrew Grech said victims deserve this impending compensation.
“Payments can range from a thousand dollars to tens of thousands of dollars, so it’s well worth people registering for compensation under the scheme,” Grech told nine.com.au.
“4pm on the 6th of March is a hard deadline and if they haven’t registered to participate they won’t be able to participate.
“It’s critical that they do register if they wish to do so.”
The Federal Court will be asked to approve the settlement in mid-2026.
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