The Federal Court of Canada has recently approved a landmark $817 million settlement, bringing closure to a long-running class-action lawsuit. This case involved allegations that Veterans Affairs Canada (VAC) had underpaid disability pension benefits to veterans of the Canadian Armed Forces (CAF), the Royal Canadian Mounted Police (RCMP), and their surviving family members.
The class-action lawsuit was filed by a group of representative plaintiffs, including Dennis Manuge, Raymond Toth, Betty Brousse, Brenton MacDonald, Jean-Francois Pelletier, and David White. The plaintiffs argued that VAC had improperly calculated disability benefits by failing to adjust pension payments for inflation, which resulted in veterans and their families receiving significantly lower payments than they were entitled to for over 20 years. The goal of the lawsuit was to correct these discrepancies and ensure fair compensation for those affected.
Who Is Eligible to Claim This Settlement?
This 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 be eligible, individuals must have received or qualified for disability pensions, disability awards, or other benefits from Veterans Affairs Canada (VAC) since January 1, 2003. Additionally, their benefits must have been impacted by the annual adjustment of the basic pension. The settlement covers the period from January 1, 2003, through December 31, 2023.
How Many People Are Affected?
The settlement will impact more than 330,000 individuals, making it one of the largest class-action settlements in Canadian history. These individuals include CAF and RCMP veterans, as well as their spouses and dependents.
Settlement Terms
Under the terms of the settlement, each eligible class member will receive a one-time payment, which will be approximately 2% of the total disability benefits they received during the period from 2003 to 2023. The total payout for this settlement will range between $435 million and $817 million, depending on the number of valid claims submitted and processed.
Automatic Payments and Claim Requirements
For individuals currently receiving disability pensions from Veterans Affairs Canada, the settlement payment will be processed automatically, meaning they will not need to take any additional steps to claim their compensation. However, those who are not currently receiving benefits must submit a claim form in order to qualify for the settlement.
Claim Submission Deadline and Final Approval Hearing
Eligible class members must ensure they file their claims in time to receive their settlement. While those receiving disability pensions will automatically receive compensation, others must submit their claim by March 19, 2025. The final approval hearing for the settlement took place on December 18, 2023, where the Federal Court reviewed and confirmed that the terms were fair and suitable for all affected individuals.
How to File the VA Disability Pension Claim Submission Form
For those who need to file a claim, here’s a step-by-step guide:
- Visit the official Veterans Affairs Canada website to access the claim form.
- Complete the form with required personal and service details, including any supporting documents that prove your eligibility, such as pension statements or benefit documents.
- Read through the instructions provided on the claim form carefully.
- Fill out all required fields with accurate information.
- Attach clear and legible copies of all necessary documentation.
- Double-check your form for completeness and accuracy before submission.
- After submitting, you should receive a confirmation (either by mail or electronically) that your form has been received.
- The claims team will review your submission to determine your eligibility and calculate the settlement payment amount.
- Due to the high volume of claims expected, this process may take some time. Be patient and monitor the official settlement website for updates.
- Once your claim is processed and approved, you will receive your settlement payment.
This settlement marks a significant step toward ensuring veterans and their families receive the benefits they are owed. For those affected, it provides much-needed compensation for the underpayment they experienced due to administrative errors over the years.
