The Victorian government has proposed a $5 million settlement to public housing tower residents who were subjected to a contentious COVID-19 lockdown.
The class action was launched by residents of nine public housing towers in Flemington and North Melbourne, who were locked down during Melbourne's second lockdown in July 2020.
The residents are seeking damages and declarations that the government's actions were unlawful or beyond its powers.
The class action alleges the government wrongly detained residents of the towers for up to 14 days and wrongly threatened them if they tried to leave the towers.
In a notice posted to its website, the state government denies the claims set out in the class action, but proposes to resolve the issue through a settlement without trial.
The $5 million settlement would be divided between residents who opt in to the agreement, with adults receiving a full share and children a 50 per cent share.
About 3,000 people were living in the towers at the time of the lockdown.
The government said residents wishing to participate in the settlement, which is subject to court approval, must register by June 27.
Lawyer Benedict Clemens, who represented the group taking action, said subject to its approval, the settlement was "a very positive result in light of the hardship endured by the plaintiffs and other residents as well as visitors who suffered through the lockdown".
"The residents come from a highly vulnerable lower socio-economic group. Many reported delays in receiving food and essential medicines, and many experienced trauma, including refugees who re-lived trauma they had suffered overseas," he said.
A Victorian Ombudsman's review released in December 2020 found the state government breached human rights laws when it locked down the public housing towers.
The investigation found the temporary lockdown, which was lifted at eight of the nine towers within five days, was warranted.
But ombudsman Deborah Glass said the timing of the lockdown was not based on direct public health advice.
"The rushed lockdown was not compatible with the residents' human rights, including their right to humane treatment when deprived of liberty," she said.
Ms Glass called on the government to apologise not for taking decisive action, but rather for the "harm and distress caused by the immediacy of their lockdown".
The government has so far resisted calls to make an apology and there is no mention of an apology in the proposed settlement.
One of the residents involved in the class action, Barry Berih, said there had not yet been a discussion about whether the settlement would be accepted.
Mr Berih said he was still seeking an apology from the government.
"I can't speak on behalf of the other residents, but I can speak on my behalf myself. Look, if it's settled at the moment, I can't really go forward for it," he said.
"To me, it's not really that important in terms of the money situation. The main important part is the apology and the community itself."
