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Victorian government hit with multi-million dollar lawsuits over coronavirus restrictions

Everyday Victorians could be left to pay tens of billions in compensation as businesses line-up to sue the state government over the devastating restrictions implemented during coronavirus’ second wave.

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Tens of billions of taxpayer dollars could be paid out with the Andrews Government facing unprecedented legal action over its bungling of the coronavirus crisis.

The Herald Sun has been told the action is likely to be the biggest in Australia’s history.

About 700 Jim’s Mowing franchisees have become the latest to take on the government, joining a multi-million dollar lawsuit over the failed hotel quarantine program which unleashed Victoria’s deadly second wave.

Swinburne Law School Dean Mirko Bagaric said everyday Victorians would be the ones left to pay any potential compensation bill, with legal wrangling likely to drag on for years.

“The tens of billions of dollars – the accumulated damage done to Victorians has been enormous,’’ Mr Bagaric said.

“It could cripple the state and be financially detrimental to all Victorians.

“These class actions will take a decade – this will haunt the government.”

Unica Cucina e Caffe restaurant owner Michelle Loielo is taking the Victorian government to court over lockdown restrictions. Picture: Jake Nowakowski
Unica Cucina e Caffe restaurant owner Michelle Loielo is taking the Victorian government to court over lockdown restrictions. Picture: Jake Nowakowski

The class actions would together be the biggest Australia had seen.

“It will be the biggest in Australia’s history by a magnitude of at least 10 – this will dwarf any class action that has ever happened.

“Nearly every Victorian has been adversely affected by this.”

In actions underway, a Sydney-based law firm is seeking compensation for all businesses that have suffered losses due to the outbreak, while Carbone Lawyers has filed a writ in the Supreme Court on behalf of Victorians who have lost their jobs.

It can be revealed about 700 Jim’s Mowing franchisees prevented from working under stage four restrictions are joining the multi-million lawsuit.

Carbone Lawyers managing partner Tony Carbone said his firm would be pushing for about $20 million in compensation for Jim’s Mowing franchisees alone.

“The bottom line is these gardeners should have been working, how is it possible that a gardener working on their own outside can infect anyone,” he said.

“The government’s whole decision making on who can and can’t work was so arbitrary these gardeners have been left so destitute they are suffering from mental illness.”

Jim’s Mowing founder Jim Penman said affected franchisees had been losing about $3000 a week for more than two months.

The case against the government was strengthened by genomic testing showing 99 per cent of second wave cases were linked to the hotel quarantine program.

“We hold the Premier, the Health Minister and other senior ministers personally responsible for the failures of quarantine that unleashed this disaster upon our state,” Mr Penman said.

“Further, the Premier’s arbitrary action in ignoring the advice of the Department of Health and Human Services and barring sole operators from working, brought needless loss and misery upon many.

“The senseless waste of this measure is shown by the fact that Council gardeners continued working in groups through the lockdown, thus raising the risk of infection.”

Lawyer Tony Carbone has brought a class action against the Victorian government. Picture: LinkedIn
Lawyer Tony Carbone has brought a class action against the Victorian government. Picture: LinkedIn

The Herald Sun has been told there is a high probability the government would settle most legal claims to stem any political fallout.

Future actions could extend beyond economic damage to physical and psychiatric harm as a result of the lockdown.

Self-Employed Australia, which represents small business owners, last week wrote to WorkSafe “seeking prosecution” of the premier, three ministers, 16 senior bureaucrats and five government departments for criminal breaches of the Occupational Health and Safety Act 2004.

A Monash University professor has also warned Victoria’s tough new industrial manslaughter laws could have senior members of the government nervous in the wake of the hotel quarantine inquiry.

Shadow Attorney-General Edward O’Donohue said the second wave had destroyed thousands of small businesses and thrown tens of thousands of Victorians out of work.

“With ongoing restrictions that have destroyed so much of Victoria’s economy since the second wave was unleashed by the Andrews Government’s Hotel Quarantine fiasco, it’s to be expected that many Victorians that have suffered are now considering legal action.”

A government spokeswoman said: “As these matters are currently before the court, it would be inappropriate to comment further.”

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andrew.koubaridis@news.com.au

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Original URL: https://www.heraldsun.com.au/truecrimeaustralia/police-courts/victorian-government-hit-with-multimillion-dollar-lawsuits-over-coronavirus-restrictions/news-story/eca2c40e104e666277b36dc0cb66c3d6