A statement released yesterday by plaintiff law firm Slater & Gordon, which represented more than 2,300 class action members, indicated that the $75 million settlement was reached following the conclusion of a four-week trial in the Federal Court of Australia.
However, the settlement is conditional on GPT denying liability under the terms of the agreement.
Proceedings were first filed in 2011 on behalf of investors in GPT stapled securities, alleging the property trust had engaged in misleading and deceptive conduct and breached continuous disclosure requirements.
“This is an excellent result for group members and follows complex and hard-fought litigation,” said Slater & Gordon litigator Ben Phi. “The settlement provides a strong return on the losses claimed, and reflects the strength of the evidence presented at trial.”
The statement said the class was made up both of retail and institutional investors, including banks and fund managers.
The class action was bankrolled by third-party funder Comprehensive Legal Funding, a US-based litigation finance company with an Australian presence. The funder was also involved as a backer in the successful litigation suits against Centro and Opes Prime.
