Earglow Pty Ltd v Newcrest Mining Limited [2016] FCA 1433

FEDERAL COURT OF AUSTRALIA

Earglow Pty Ltd v Newcrest Mining Limited [2016] FCA 1433 File number: VID 406 of 2014

Judge: MURPHY J

Date of judgment: 28 November 2016

Catchwords: REPRESENTATIVE PROCEEDINGS – Settlement approval pursuant to s 33V of Federal Court of Australia Act 1976 (Cth) (the Act) – whether the proposed settlement is fair and reasonable in the interests of class members to be bound to it – consideration of relevant factors in relation to reasonableness of settlement - whether the proposed settlement distribution scheme is fair and reasonable –whether the legal costs incurred are reasonable – whether the applicant should be reimbursed for expenses incurred for work done on behalf of class members – whether the settlement approval costs and administration costs are reasonable – whether the funding commission to be deducted is fair and reasonable in the interests of class members – whether the Court has power to approve the proposed settlement and to make orders under ss 33V, 33Z, 33ZF and 23 of the Act to reduce an excessive funding commission – conclusion that the Court has such power – relevant factors in relation to whether the litigation funding commission is fair and reasonable –whether funding commission rates between 26% and 30% and the aggregate funding commission are fair and reasonable – settlement approved

Legislation: Corporations Act 2001 (Cth) Federal Court of Australia Act 1976 (Cth) Legal Profession Act 2004 (Vic) Legal Profession Uniform Law, Schedule 1 to Legal Profession Uniform Law Application Act 2014 (Vic) Supreme Court Rules 1970 (NSW)