Cladding Class Action Gets Bigger
As more claimants join the cladding class action, what can we expect next ...
The ever-growing size [and cost] of the Australian combustible cladding crisis means that the only proposed class action becomes more and more important. So, what’s the latest news about its progress.
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I’ve written before about the Australian combustible cladding crisis in ‘A Combustible Cladding Round-Up’ and the proposed class action by William Roberts for buildings with combustible cladding in and ‘Suing for Strata Building Defects: A 2021 Update’.
Since it’s the only class action about this building material, it’s worth keeping an eye on progress.
The cladding class-action/s overviewed
Omni Bridgeway Limited [as litigation funder] and William Roberts Lawyers are working together to investigate and bring viable claims for compensation, on behalf of persons and entities with proprietary interests in buildings in Australia, on which there is installed certain types of aluminium composite panel cladding with a combustible core comprised wholly or substantially of polyethylene (PE).
There are 2 proceedings.
This first court proceeding (Alucobond Combustible Cladding Class Action) is a product liability claim and a claim for false or misleading representations and misleading conduct against 3A Composites GmbH and Halifax Vogel Group Pty Limited about Alucobond cladding products.
The second court proceeding (Vitrabond Combustible Cladding Class Action) is a product liability claim and a claim for false or misleading representations and misleading conduct against Fairview Architectural Pty Limited aboutVitrabond PE cladding products.
In those actions, damages are being claimed for the cost of replacing the cladding and other losses including, to make the building fire safe, increased insurance premiums, building safety assessments, and loss of property values.
At this stage, the 2 proceedings are filed and there are Court approved notices and information for potential claimants to allow them to opt in or out.
You can find out more and participate in the action at the William Roberts class action webpage.
More claimants joining
As the claimants to the class actions are being finalised, there’s interesting news about who’s joining and not in this article by The Urban Developer, ‘Buildings in Cladding Legal Fight ‘Number in the Thousands’.
According to the reporting:
Willoughby Council in Sydney has joined the class actions,
William Roberts believes some developers will join the class actions if they are or remain owners of affected buildings,
Some buildings and building owners are staying out of the class actions and running their own separate claims, and
Some insurers are seeking to negotiate claims quielty and outside legal proceedings.
What remains interesting about the class action and the participants is that Maurice Balckburn, a leading class action law firm, declined to conduct a class action for combustible cladding when they easily could have [I wonder why] and that the State of Victoria has now decided to opt out of the class action even though they opted in during 2020.
A long way to go yet
It’s not clear who is now in the class action and Williams Roberts aren’t saying. But on the face of the Court opt in/opt out notices the joining dates have passed.
So, the class actions will now move through the next stages of the litigation according to the Federal Court Class Action Guidelines and the various actions, strategies and gamesmanship of the lawyers.
That could take a while.
But, I’ll be watching closely as the issues, impacts and legal decisions that arise from these class actions will affect strata stakeholders in relation to building defect claims generally and to other kinds of damages claims arising from the development and construction of strata buildings.
So, watch this space.
July 13, 2021
Francesco …