The Federal Court of Canada has approved a groundbreaking $817 million settlement that brings closure to a long-running class-action lawsuit. This case focused on the underpayment of disability pension benefits to veterans of the Canadian Armed Forces (CAF), the Royal Canadian Mounted Police (RCMP), and their survivors. The lawsuit was brought forward by a group of plaintiffs, including Dennis Manuge, Raymond Toth, Betty Brousse, Brenton MacDonald, Jean-Francois Pelletier, and David White. They claimed that Veterans Affairs Canada (VAC) miscalculated disability benefits by failing to adequately adjust payments for inflation.
This error resulted in veterans and their survivors receiving significantly lower payments than they were entitled to over a span of 20 years. The aim of this class-action lawsuit was to correct these discrepancies and ensure fair compensation for those affected.
Who Can Claim This Settlement?
The settlement is available to current and former members of the Canadian Armed Forces (CAF) and the Royal Canadian Mounted Police (RCMP), as well as their spouses and dependents. To qualify, individuals must have been receiving disability pensions, disability awards, or other related benefits from Veterans Affairs Canada since January 1, 2003. The settlement period includes payments from January 1, 2003, to December 31, 2023, and must have been impacted by the annual pension adjustments.
How Many Individuals Are Affected?
Over 330,000 individuals are impacted by this settlement, making it one of the largest class-action settlements in Canadian history. The affected individuals include veterans, RCMP members, and their families, all of whom will be receiving compensation due to the miscalculation of their disability pension benefits.
Details of the Settlement
As part of the settlement, each eligible class member will receive a one-time payment. This amount will be approximately 2% of the total disability benefits they received from 2003 to 2023. Depending on the number of valid claims, the total compensation to be distributed is expected to range between $435 million and $817 million.
Automatic Payments and Claim Process
For individuals who are currently receiving disability pensions from Veterans Affairs Canada, the settlement payments will be made automatically. This means that no additional action will be required from these individuals to receive their compensation.
However, for those who are not currently receiving benefits, it is necessary to file a claim form to be eligible for the settlement. Those who fall into this category must ensure they submit their claim by March 19, 2025, to be considered for compensation.
Claim Submission Deadline and Court Approval
The final approval hearing for the settlement took place on December 18, 2023. During this hearing, the Federal Court reviewed the terms of the settlement to ensure it was fair and adequate for all class members. To ensure eligibility, individuals must file their claim forms before the March 19, 2025 deadline.
Steps to File the VA Disability Pension Claim Form
If you are eligible and need to file a claim, follow these steps:
- Visit the Veterans Affairs Canada website to access the claim form.
- Fill in your personal details, service information, and provide documents proving your eligibility (e.g., benefit statements, pension records, etc.).
- Read the instructions carefully before completing the form.
- Ensure all required fields are accurately filled out.
- Attach clear and legible copies of all necessary documentation.
- Double-check the form for completeness and accuracy before submitting.
- After submission, you should receive a confirmation (either electronically or by mail) indicating your claim has been received.
- The claims processing team will review your submission, determine eligibility, and calculate the appropriate settlement amount.
- Due to the expected volume of claims, processing may take time. Stay patient and check for updates on the official settlement website.
- Once your claim is processed and approved, you will receive your settlement payment.
Conclusion
The $817 million settlement represents a significant step in rectifying the underpayment of disability pension benefits for veterans, RCMP members, and their families. With automatic payments for those already receiving benefits and a straightforward claims process for others, the settlement aims to provide fair compensation for those affected by the miscalculation. By following the steps outlined and adhering to the deadline, eligible individuals can secure the compensation they are owed for the past two decades.
