[2025] FCA 1268
General information, not legal advice.
Federal Court of Australia
2025-10-20
Snaden J
Original judgment source is linked above.
Caason Investments Pty Ltd v Cao (No 2) [2018] FCA 527
Darwalla Milling Co Pty Ltd v F Hoffman-La Roche Ltd (No 2) [2006] FCA 1388; (2006) 236 ALR 322
Elliott-Carde v McDonald's Australia Limited (Stay Application) [2023] FCA 1210;
Equity Financial Planners Pty Ltd v AMP Financial Planning Pty Ltd [2024] FCA 1036
Ewok Pty Ltd as trustee for the E & E Magee Superannuation Fund v Wellard Limited [2024] FCA 296
Fakhouri v Secretary for the NSW Ministry of Health (No 2) [2024] NSWSC 1171
Matthews v AusNet Electricity Services Pty Ltd [2014] VSC 663
McDonald v Commonwealth [2025] FCA 380
Paxtours International Travel Pty Ltd v Singapore Airlines [2012] FCA 426
Smith v Commonwealth (No 2) [2020] FCA 837
Tham v Australian Capital Territory [2024] FCA 1508
AUSTRALIAN SALARIED MEDICAL OFFICERS' FEDERATION
(a) advise the court that the proposed orders attached as Annexures A and B of the court's reasons for judgment are suitable; or
(b) submit alternative agreed forms for the court's consideration.
Note: Entry of orders is dealt with in Rule 39.32 of the Federal Court Rules 2011.
Schedule to the court's orders dated 20 October 2025
The Australian Salaried Medical Officers' Federation & Anor v Peninsula Health
The Australian Salaried Medical Officers' Federation & Anor v Monash Health & Ors
The Australian Salaried Medical Officers' Federation & Anor v Western Health
The Australian Salaried Medical Officers' Federation & Anor v Eastern Health & Anor
The Australian Salaried Medical Officers' Federation & Anor v Alfred Health & St Vincent's Health
The Australian Salaried Medical Officers' Federation & Anor v Northern Health
The Australian Salaried Medical Officers' Federation & Anor v Bendigo Health
The Australian Salaried Medical Officers' Federation & Anor v Melbourne Health & Northeast Health Wangaratta
The Australian Salaried Medical Officers' Federation & Anor v Goulburn Valley Health & Anor
The Australian Salaried Medical Officers' Federation v Austin Health
The Australian Salaried Medical Officers' Federation v The Royal Children's Hospital
The Australian Salaried Medical Officers' Federation v Albury Wodonga Health
The Australian Salaried Medical Officers' Federation v Bass Coast Health
The Australian Salaried Medical Officers' Federation v Calvary Health Care Bethlehem Limited
The Australian Salaried Medical Officers' Federation v Central Gippsland Health Service
The Australian Salaried Medical Officers' Federation v East Grampians Health Service
The Australian Salaried Medical Officers' Federation v Echuca Regional Health
The Australian Salaried Medical Officers' Federation v the
Victorian Institute of Forensic Mental Health (trading as
Forensicare)
The Australian Salaried Medical Officers' Federation v Western District Health Service
The Australian Salaried Medical Officers' Federation v Gippsland Southern Health Service
The Australian Salaried Medical Officers' Federation v West Gippsland Healthcare Group
The Australian Salaried Medical Officers' Federation v Grampians Health
The Australian Salaried Medical Officers' Federation v the Royal Victorian Eye and Ear Hospital
The Australian Salaried Medical Officers' Federation v Mercy Hospitals Victoria Limited
The Australian Salaried Medical Officers' Federation v Swan Hill District Health
The Australian Salaried Medical Officers' Federation v Mildura Base Public Hospital
The Australian Salaried Medical Officers' Federation v NCN Health
The Australian Salaried Medical Officers' Federation v South West Healthcare
The Australian Salaried Medical Officers' Federation v Peter MacCallum Cancer Institute
The Australian Salaried Medical Officers' Federation v Portland District Health
(1) $135,000,000.00 (the "Settlement Sum"), to be divided between:
(a) the lead applicants (in an amount of up to $470,000.00), to reimburse them for assuming the roles that they assumed in the proceedings;
(b) the group members who meet the criteria prescribed in the Deed, each in an amount commensurate with the value of their claim, as assessed using the methodology set out in the scheme annexed thereto (the "Settlement Scheme");
(2) $20,802,489.68, to be paid in respect of the applicants' legal costs and disbursements incurred in the course of the proceedings; and
(3) $17,500,000.00, to be reserved for the costs of administering the distribution of funds to group members in accordance with the Settlement Scheme.
(1) 12,846 group members have registered with the applicants' solicitors their interest in participating in the Settlement Scheme; and
(2) three group members have lodged objections to the settlement proposal.
33V Settlement and discontinuance - representative proceeding
(1) A representative proceeding may not be settled or discontinued without the approval of the Court.
(2) If the Court gives such an approval, it may make such orders as are just with respect to the distribution of any money paid under a settlement or paid into the Court.
The role of the Court in considering whether a settlement of a class action should be approved reflects its supervisory jurisdiction with respect to group members' claims. The Court assumes an onerous and protective role in relation to group members' interests. The Court must be astute to recognise that the interests of the parties before it, and those of the group as a whole (or parts of the group), may not wholly coincide. The analysis involves two key considerations - namely, whether the proposed settlement:
(a) is fair and reasonable, having regard to the claims made on behalf of the class members who will be bound by the settlement; and
(b) has been undertaken in the interests of group members as a whole and not just in the interests of the applicant(s) and the respondents.
In considering an application for approval, the Court is concerned to "identify the risks involved in the litigation, to weigh them, and to seek to determine the likely outcome of the proceeding, and compare it with the settlement". There will rarely be one unique outcome which should be regarded as the only fair and reasonable one. So long as the proposed settlement falls within the range of fair and reasonable outcomes, taking everything into account, it will qualify for approval. The Court's assessment as to whether the applicant and group members are likely to succeed in their claims at trial, and as to the quantum of the damages they may obtain if they do succeed, involves the exercise of judgement based on imperfect knowledge.
In Williams v FAI Home Security Pty Ltd (No 4) [2000] FCA 1925, Goldberg J enumerated a list of nine factors to which the Court may have regard when assessing the reasonableness of the proposed settlement. These factors, with some modification, have been set out at paragraph 15.5 of the Court's Class Actions Practice Note (GPN-CA) and are:
(a) the complexity and likely duration of the litigation;
(b) the reaction of the group to the settlement;
(c) the stage of the proceedings;
(d) the risks of establishing liability;
(e) the risks of establishing loss or damage;
(f) the risks of maintaining a group proceeding;
(g) the ability of the defendants to withstand a greater judgment;
(h) the range of reasonableness of the settlement in light of the best recovery;
(i) the range of reasonableness of the settlement in light of all the attendant risks of litigation; and
(j) the terms of any advice received from counsel and/or from any independent expert in relation to the issues which arise in the proceeding.
Specific principles apply to an application for a reimbursement payment to be made to a representative applicant. The Court may order that an amount be deducted from the settlement sum to reimburse a representative applicant for out-of-pocket expenses incurred in representing group members in the proceeding. Such payments are based on "the notion that someone who assists in bringing in a fund for the benefit of others should have some compensation for the exertions of doing so." A payment of this kind requires consideration of whether such special or preferential treatment is justifiable and is in the interests of group members as a whole.
The consent or acquiescence of a respondent to such a compensation payment will not be determinative, particularly insofar as the proposed payment raises questions of fairness inter se between group members. A claim for such payment "must be based on adequate evidence" going to the time and effort expended by the applicant on the proceedings for the benefit of the group as a whole. The authorities indicate a conservative approach should be taken to the quantification of compensation of this kind.
Where a lead applicant is entitled to a compensation or reimbursement payment, "a distinction should be drawn between time devoted by the [applicant] to work activities that benefit the group as a whole, as opposed to work that benefits the [applicant's] personal claim." Evidence of the basis for compensation should not be reconstructed after the event and should be contemporaneously recorded, although this may not be a "hard and fast rule".
Lastly, there is no legal barrier to this Court approving a settlement which applies to multiple proceedings, provided the Court is satisfied the settlement is otherwise fair and reasonable in the interests of group members as a whole in each proceeding. This follows from the breadth and nature of the Court's power under s 33V: that is, the only limit on the Court's power to approve a settlement is that the power be exercised judicially, having regard to the all the circumstances of the particular application before it.
(1) construction - that is, whether the overtime provisions of the relevant industrial instruments, properly construed, encompass implied authorisation or are, instead, confined to express authorisation;
(2) overtime policies - that is, whether or the extent to which the respondents' overtime policies bear upon or limit the application of those overtime provisions;
(3) estoppel - that is, whether the applicants and group members are estopped from bringing their claims; and
(4) proof and quantum - that is, whether and to what extent each of the personal applicants (save for Dr Gaby Bolton, whose claim has been determined) and group members can prove that they did in fact perform relevantly authorised overtime.
(1) Dr Gaby Bolton: $75,000.00 (in respect of 171 hours of work);
(2) Dr Wendy Hodge: $40,000.00 (in respect of 46 hours of work);
(3) Dr Teak McPadden: $35,000.00 (in respect of 101 hours of work);
(4) Dr Catherine Gaggin: $20,000.00 (in respect of 45 hours of work);
(5) Dr Joanne Peel: $20,000.00 (in respect of 35 hours of work);
(6) Dr James Lisik: $20,000.00 (in respect of 41 hours of work);
(7) Dr Soumya Sarkar: $15,000.00 (in respect of 45 hours of work);
(8) Dr Michael Hand: $15,000.00 (in respect of 27 hours of work);
(9) Dr Evelyn Bian: $15,000.00 (in respect of 26 hours of work); and
(10) ASMOF: $175,000.00 - $215,000.00,
Notwithstanding those reductions, there are two aspects of these claims that have given me concern. The first arises from what I would call a general cautionary feeling that one has about the basis of calculation of the claims. At the point of quantifying the amount of time spent by each of the claimants, the court has nothing but the say-so of the claimant concerned. There is no audit of the process or the result, and the applicants' solicitors are in no position to certify as to the extent or nature of the attendances upon which the claims are based. Likewise, at the point of placing a money value on each hour, I have no reason to suppose that the standard rates supplied by the applicants' solicitors are appropriate (apart, that is, from the claimants' own say-so). As I have mentioned, there are no scales or taxation procedures. At both of these points, although the calculations are supported by spreadsheet records which look detailed enough as far as they go, there is very considerable generality in the way that some of the items are identified. If there is a risk that the real value of fair and reasonable compensation claims might be something less than stated in the spreadsheets, I am inclined to think that the claimants themselves should wear that risk_._ In other words, given that those who maintained the records on which the claims are based and then made the claims are the same parties as would stand to benefit from the granting of the claims, I consider that the court should be astute to identify any possibility of over-estimation and to make an appropriate allowance therefor.
(1) "I have done many afterhours overtime especially in the weekends. Not claimed these hours because our work culture at that time was like that";
(2) "I do not believe that it is appropriate to accept a settlement in this instance as while material payment will be made as reparation, it is not appropriate that the hospital services in question do not and will not acknowledge fault, and that no precedent will be set. The wage theft was deliberate and malicious in intent and to my belief admission of and documentation of fault is as important as the payments being made"; and
(3) "I've been paid appropriately. I believe Gordon Legal are more interested in their pay packet than the doctors affected by this."
It is wrong to assume that confidentiality or non-publication orders will be routinely or automatically made. Part VAA of the Act provides that the starting point for consideration of such orders, and it is mandatory under s 37AE for the Court to take into account that a primary objective of the administration of justice is to safeguard the public interest in open justice. The Court must be satisfied that the order is necessary "to prevent prejudice to the proper administration of justice" (s 37AG(1)(a)), and "necessary" is a "strong word": Hogan v Australian Crime Commission (2010) 240 CLR 651; [2010] HCA 21 at [30].
I certify that the preceding fifty-five (55) numbered paragraphs are a true copy of the Reasons for Judgment of the Honourable Justice Snaden.
AUSTRALIAN SALARIED MEDICAL OFFICERS' FEDERATION
(a) "applicants" is a reference to the applicants in the proceedings;
(b) "respondents" is a reference to the respondents in the proceedings; and
(c) "group members" is a reference to the group members in the proceedings.
(a) the deed of settlement between the applicants, the respondents, Gordon Legal and Hayden Stephens and Associates annexed as 'AG-1' to the affidavit of Mr Andrew Grech dated 7 March 2025 (the "Deed"); and
(b) the settlement scheme (the "Scheme"), in the form set out in Annexure A of the Deed.
(a) the applicants;
(b) the respondents;
(c) Gordon Legal;
(d) Hayden Stephens and Associates; and
(e) the group members who did not file an opt out notice in accordance with s 33J of the Act and/or order 15 of the court's orders dated 1 April 2025, or who did file such a notice and have been reinstated as group members pursuant to order 7.
(a) had opted out of the proceedings; and
(b) have since applied to be reinstated as group members, as set out at annexure AG-9 to the affidavit of Mr Grech affirmed on 21 August 2025,
be, in each case, reinstated as a group member in the proceeding from which they opted out.
(a) $67,500,00.00 (in respect of 50% of the Settlement Sum);
(b) $20,802,849.68 (in respect the Legal Costs Sum);
(c) $17,500,000.00 (in respect of the Administration Costs Sum) (as those terms are defined in cls 5.1(a) - (c) of the Deed),
into the applicants' solicitors trust account (the "Account") as payments in accordance with cls 5.5 and 5.6 of the Deed.
Approval of amount to be deducted from Settlement Sum pursuant to the Deed
(a) Dr Bolton: $75,000.00
(b) Dr Hodge: $40,000.00
(c) Dr McPadden: $35,000.00
(d) Dr Gaggin: $20,000.00
(e) Dr Peel: $20,000.00
(f) Dr Lisik: $20,000.00
(g) Dr Sarkar: $15,000.00
(h) Dr Hand: $15,000.00
(i) Dr Bian: $15,000.00
(j) ASMOF: $175,000.00
From the beginning of the paragraph to the words "... between February...".
Between the words "... as potential representative applicants,..." and "... who were then..." in the final sentence.
Until the expiry of any appeal period following approval of settlement
Until the expiry of any appeal period following approval of settlement
Until the expiry of any appeal period following approval of settlement
From the beginning of third sentence to the words "... a considerable amount of work..."
Until the expiry of any appeal period following approval of settlement
From the beginning of the first sentence to the words "... a claim that";
In the final sentence, from the words "... to introduce a similar allegation... " to the words "... noting that Hodge"
In the first sentence of the second paragraph, from the words "... until May 2023..." to the end of the sentence.
Last sentence, from the words "... was performed because..." to the end of the sentence
Until the expiry of any appeal period following approval of settlement
The values following the words "... claims is between..." and "... excluding legal costs..."
Until the expiry of any appeal period following approval of settlement
Until the expiry of any appeal period following approval of settlement
Until the expiry of any appeal period following approval of settlement
Until the expiry of any appeal period following approval of settlement
Until the expiry of any appeal period following approval of settlement
The value following the words "... economic loss of..."
Until the expiry of any appeal period following approval of settlement
Whole paragraphs (including the table following 99)
The values between the words "... is from..." and the words "... (excluding legal costs)..."
Until the expiry of any appeal period following approval of settlement
Until the expiry of any appeal period following approval of settlement
Between the words "... at paragraph 97(a)..." and the word "apply"
Until the expiry of any appeal period following approval of settlement
From the word "apply" to the end of the paragraph
From the heading immediately preceding paragraph 104 to the words "junior doctors" in paragraph 106.
The words between "junior doctors" and "... work on short, fixed term contracts".
Whole paragraphs (including the heading immediately before paragraph 127)
The names in the first, second and fourth sentences
Until the expiry of any appeal period following approval of settlement
Assumptions used in applicants' Loss Assessment Model (AG-4)
Until the expiry of any appeal period following approval of settlement
Until the expiry of any appeal period following approval of settlement
The expert report of Ms Kerrie Rosati dated 19 August 2025
The names, employers, addresses, email addresses and phone numbers of each reinstatement applicant (insofar as that information is present in each application)
The names, employers, addresses, email addresses and phone numbers of each group member who filed an objection notice (insofar as that information is present in each objection notice)
The names and positions of AMA and ASMOF employees in sub-paragraphs (a), (b) and (c)
From the words "... I was contacted by Mr Stephens..." to the end of the paragraph
Until the expiry of any appeal period following approval of settlement
From the start of the paragraph to the words "... Mr Stephens thereafter..."
Until the expiry of any appeal period following approval of settlement
Until the expiry of any appeal period following approval of settlement
From the words "... scope of the investigation..." to the end of the second sentence.
Between the words "... due to the need to..." to "... and explain why..." in the third sentence.
From the words "... to obtain information, including:..." to the end of the paragraph
Until the expiry of any appeal period following approval of settlement
From the words "... regarding those doctors, particularly..." to the end of the first sentence
Until the expiry of any appeal period following approval of settlement
From the words "... from ASMOF by..." to the end of the first sentence.
From the words "... on matters relating to..." to the end of the third sentence.
Until the expiry of any appeal period following approval of settlement
From the words "... with senior doctors to..." to the end of the penultimate sentence.
Until the expiry of any appeal period following approval of settlement
Until the expiry of any appeal period following approval of settlement
From the start of the second sentence to the end of the paragraph
Until the expiry of any appeal period following approval of settlement
Between the words "... representing junior doctors,..." and "... ASMOF found itself...".
From words "... leading role in litigation doctors,..." to the end of the penultimate sentence.
From the words "... the sum paid to ASMOF..." to the end of the first sentence.
From the words "... group members because..." to the end of the second sentence.
Between the words "... was used to..." and "... meaning that the balance..." in the third sentence.
Until the expiry of any appeal period following approval of settlement
Note: Entry of orders is dealt with in Rule 39.32 of the Federal Court Rules 2011.
The Australian Salaried Medical Officers' Federation & Anor v Peninsula Health
The Australian Salaried Medical Officers' Federation & Anor v Monash Health & Ors
The Australian Salaried Medical Officers' Federation & Anor v Western Health
The Australian Salaried Medical Officers' Federation & Anor v Eastern Health & Anor
The Australian Salaried Medical Officers' Federation & Anor v Alfred Health & St Vincent's Health
The Australian Salaried Medical Officers' Federation & Anor v Northern Health
The Australian Salaried Medical Officers' Federation & Anor v Bendigo Health
The Australian Salaried Medical Officers' Federation & Anor v Melbourne Health & Northeast Health Wangaratta
The Australian Salaried Medical Officers' Federation & Anor v Goulburn Valley Health & Anor
The Australian Salaried Medical Officers' Federation v Austin Health
The Australian Salaried Medical Officers' Federation v The Royal Children's Hospital
The Australian Salaried Medical Officers' Federation v Albury Wodonga Health
The Australian Salaried Medical Officers' Federation v Bass Coast Health
The Australian Salaried Medical Officers' Federation v Calvary Health Care Bethlehem Limited
The Australian Salaried Medical Officers' Federation v Central Gippsland Health Service
The Australian Salaried Medical Officers' Federation v East Grampians Health Service
The Australian Salaried Medical Officers' Federation v Echuca Regional Health
The Australian Salaried Medical Officers' Federation v the
Victorian Institute of Forensic Mental Health (trading as
Forensicare)
The Australian Salaried Medical Officers' Federation v Western District Health Service
The Australian Salaried Medical Officers' Federation v Gippsland Southern Health Service
The Australian Salaried Medical Officers' Federation v West Gippsland Healthcare Group
The Australian Salaried Medical Officers' Federation v Grampians Health
The Australian Salaried Medical Officers' Federation v the Royal Victorian Eye and Ear Hospital
The Australian Salaried Medical Officers' Federation v Mercy Hospitals Victoria Limited
The Australian Salaried Medical Officers' Federation v Swan Hill District Health
The Australian Salaried Medical Officers' Federation v Mildura Base Public Hospital
The Australian Salaried Medical Officers' Federation v NCN Health
The Australian Salaried Medical Officers' Federation v South West Healthcare
The Australian Salaried Medical Officers' Federation v Peter MacCallum Cancer Institute
The Australian Salaried Medical Officers' Federation v Portland District Health
AUSTRALIAN SALARIED MEDICAL OFFICERS' FEDERATION and another named in the schedule
Note: Entry of orders is dealt with in Rule 39.32 of the Federal Court Rules 2011.
Australian Salaried Medical Officers' Federation
Peninsula Health
(2006) 236 ALR 322
(2023) 301 FCR 84
(2010) 240 CLR 651