Quebec Superior Court Confirms That Representative Plaintiffs Cannot Receive A Share Of Unclaimed Class Action Settlement Funds

Funds remaining after administration of a class action settlement can represent significant sums of money. Judges in Quebec have relatively broad discretion to decide how these sums will be distributed and to whom. Charities and non-for-profit organizations related to the "cause" being pursued by the class action are frequent beneficiaries. But, is it ever permissible for a representative plaintiff to receive a share of leftover funds? In a recent decision, Option Consommateurs c. Infineon Technologies,¹  Justice Pierre-C. Gagnon of the Quebec Superior Court said no.

In this case, Justice Gagnon was asked to determine whether a non-for-profit organization that acted as class representative could receive a share of the nearly $1 million in settlement funds that remained unclaimed after administration of the settlement. He answered in the negative. While the new Quebec Code of Civil Procedure ("CCP") now allows a representative to receive compensation for its