Maurice Blackburn has today filed an application in the Federal Court seeking approval for the settlement of the NAB bank fees class action. The case has been supported by litigation funder IMF Bentham.
In September 2010, Maurice Blackburn issued proceedings in the Federal Court against ANZ, in the first of a series of bank fee class actions involving nine Australian banks including NAB, CBA and Westpac. A High Court decision in the ANZ action is still pending.
The NAB bank fees class action was commenced in December 2011. In November 2014, the Federal Court approved orders to help facilitate a settlement of the NAB bank fees class action, after the bank committed to exploring opportunities for a resolution. The orders allowed NAB customers who had not yet registered to join the action to register to participate in any settlement by 27 January 2015.
If the settlement is approved by the Federal Court, NAB will make a payment of $6.6 million in settlement of the action.
Maurice Blackburn’s National Head of Class Actions, Andrew Watson, said the NAB’s approach was a sensible way for the bank to resolve the ongoing litigation.
“This settlement provides the opportunity for some financial redress for late payment fees on credit cards paid by NAB clients who registered in the class action,” Mr Watson said.
NAB Group Executive Governance and Reputation Michaela Healey said: “NAB is pleased to have reached agreement on this matter and provide certainty for our customers and shareholders.”
The Federal Court will allocate a time and date for the hearing of the application for settlement approval.
James Middleweek from IMF Bentham said it was a major move from one of the big four banks to resolve this long-running dispute.