Abuse survivors and the redress scheme – Is it a last resort?

August 12, 2024

How can two brothers suffer the same abuse and yet while one received compensation of $40,000 the other was awarded $900,000?

Many survivors of abuse have accessed the National Redress Scheme without being aware that they might have the option to make a direct claim against the accountable organisation, which could result in a significantly higher compensation payout.

The need to consider all available options was particularly evident in a recent case involving Knowmore Legal. Knowmore is a not-for-profit centre that provides free advice and support to survivors of child sexual abuse across the country. Almost half of its clients identify as Aboriginal or Torres Strait Islander.

A class action involving at least 180 former Knowmore Legal clients has been launched against the service, with sexual abuse survivors alleging they were encouraged to accept compensation payments that were lower than what they could have received. Brian, the lead plaintiff, suffered abuse at the hands of two paedophiles at the former Bayswater Boys’ Home (pictured), run by The Salvation Army. In 2020, he received just $43,000 in compensation through the National Redress Scheme. His lawyer argues that Brian could have received a much higher compensation payout if he had pursued a direct claim against the Salvation Army in court. This class action highlights the potential disparities in compensation payouts and the importance of seeking personalised legal advice.

 

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The example of the two brothers was discussed in an episode of ‘The Stick Up with Russell Manser’ with Super for Survivors member Adam Washbourne of Fighters Against Child Abuse Australia.  Despite effectively suffering the same abuse, Brother A was awarded $40,000 through the Redress Scheme whilst Brother B obtained a judgment of $900,000 through the civil courts.

The National Redress Scheme was set up in response to the Royal Commission into Institutional Responses to Child Sexual Abuse. The Scheme is operating for a period of 10 years from 1 July 2018 to 30 June 2027.

The stated purpose of the Scheme is to provide victim survivors with a ‘fast-tracked’ approach to obtaining damages for sexual abuse sustained while in institutional care rather than being forced to prosecute a claim through a civil court.

Whilst the ‘fast-tracking’ of claims was the intention, the Scheme has been plagued with delays and setbacks. It is, therefore, likely that prosecuting a civil claim may, in fact, be quicker than lodging a claim through the Scheme.

Claims through the Scheme are capped at $150,000, whereas a civil court has no cap on what it can award.

Whilst the Scheme is set up to ease the burden on the court system and compensate victim survivors without the need to prosecute a civil action, the damages are a fraction of what one could expect with a successful claim against an institution.

The Knowmore Legal case demonstrates how, in fact, institutions have benefited from the Redress Scheme, as they can escape significant liability by paying out a fraction of the damages they would ordinarily face in the event a civil action was commenced. Once a person receives a payout under the Redress Scheme, they will forever release the institution, its agents, employees, etc., from any and all future claims.

As the time period it takes for a Redress Scheme application to be accepted has significantly increased, individuals who have lodged an application should immediately talk with a lawyer to determine whether a civil claim will far outweigh any payments they may receive from the Redress Scheme.

If you or someone you know has been a victim of abuse, contact Websters Lawyers today for a free, no-obligation telephone consultation on 8231 1363.