The Federal Court of Canada has approved an $817 million settlement, resolving a long-running class-action lawsuit concerning the underpayment of disability pension benefits to veterans, members of the Canadian Armed Forces (CAF), the Royal Canadian Mounted Police (RCMP), and their survivors. This landmark case addresses the failure of Veterans Affairs Canada (VAC) to properly adjust disability benefits for inflation, resulting in veterans and their families receiving much lower payments than they were entitled to over two decades.
The lawsuit was brought forward by plaintiffs such as Dennis Manuge, Raymond Toth, Betty Brousse, Brenton MacDonald, Jean-Francois Pelletier, and David White. They argued that the miscalculation of benefits by VAC left many disabled veterans and survivors undercompensated for years.
Who Can Claim the Settlement?
This settlement applies to current and former CAF and RCMP members, as well as their spouses and dependents, who have qualified for disability pensions, disability awards, or any other benefits from Veterans Affairs Canada (VAC) since January 1, 2003. To be eligible, the benefits must have been affected by the annual adjustment of the basic pension, covering the period from January 1, 2003, to December 31, 2023.
Who’s Affected by the Settlement?
The settlement impacts over 330,000 individuals, making it one of the largest class-action settlements in Canadian history. This group includes CAF and RCMP veterans, as well as their spouses and dependents who were affected by the miscalculated pension adjustments.
What Are the Terms of the Settlement?
Each eligible person will receive a one-time payment, which is about 2% of the total disability benefits they received from 2003 to 2023. The total payout could range between $435 million and $817 million, depending on how many claims are processed and validated.
Automatic Payments and Claim Requirements
If you are currently receiving a disability pension from VAC, you will automatically receive your settlement payment. There’s no need for further action on your part. However, if you are not receiving benefits, you must file a claim form to be eligible for the settlement.
Important Deadlines and Approval
The final approval hearing for this settlement took place on December 18, 2023. During this hearing, the Federal Court confirmed that the settlement was fair and adequate for all members of the class. If you’re not already receiving benefits, be sure to submit your claim form by March 19, 2025, to ensure you’re considered for compensation.
How to Submit a Claim for VA Disability Pension?
Follow these steps to file your claim and ensure you receive your rightful compensation:
Visit the Official VAC Website: Go to the Veterans Affairs Canada website to access the claim form.
Fill Out the Form: Provide your personal and service details, and include documentation that proves your eligibility and the benefits you received (e.g., benefit statements, pension documents).
Review the Instructions: Carefully read all instructions on the claim form.
Complete the Form: Fill in all required fields accurately.
Attach Necessary Documents: Ensure that the attached documents are clear and legible.
Double-Check Your Form: Review your form for completeness before submission.
Submit the Form: After submission, you’ll receive confirmation that your claim has been received, either electronically or by mail.
Wait for Processing: Your claim will be reviewed by the processing team to confirm eligibility and determine the compensation amount. Due to the large number of claims, this process may take some time, so please be patient and check the official settlement website for updates.
Once your claim is processed and approved, you will receive your settlement payment.
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