Update: Consolidation of proceedings
On 24 March 2023, the Federal Court of Australia ordered that the class actions filed by Shine Lawyers and Banton Group be consolidated.
The Federal Court of Australia ordered that the Shine Lawyers and Banton Group be jointly named as solicitors on the record of the consolidated class action.
This means that the two firms will cooperatively work together to advance the interests of group members in the Blue Sky Class Action.
In terms of next steps in the consolidated proceeding, the Court will hear applications (on a date to be fixed):
a) to determine the form and content of a notice to group members regarding information about the proposed funding of the consolidated proceeding; and
b) seeking leave to join insurers of Blue Sky as respondents to the class action.
What is the Blue Sky Class Action about?
BLA shares were placed into voluntary suspension on 28 March 2018 following a report published by Glaucus Research Group which alleged BLA had significantly overstated its fee earning assets under management and overstated the performance of its investments.
The Glaucus Research Group Report triggered a catastrophic downturn in BLA’s share price and business, culminating in the appointment of receivers and managers on 20 May 2019. BLA also appointed voluntary administrators on 20 May 2019.
On 20 June 2019, the creditors of BLA voted to enter into a temporary deed of company arrangements that included a moratorium on all claims against BLA. On 31 May 2021, creditors of BLA voted to place BLA into liquidation, which saw the moratorium lifted.
Shareholders who acquired an interest in BLA shares:
between 19 August 2016 and 20 May 2019 and:
prior to 28 March 2018; or
after 28 March 2018 but before:
5 April 2018; or
12 February 2019;
before 19 August 2016 and retained that interest until after 19 August 2016 or after 28 March 2018.
are encouraged to register their interest in this class action.
Can I join the Blue Sky Class Action?
You may be eligible to participate in this class action if you acquired an interest in BLA shares:
between 19 August 2016 and 20 May 2019 and:
prior to 28 March 2018; or
after 28 March 2018 but before:
5 April 2018; or
12 February 2019;
before 19 August 2016 and retained that interest until after 19 August 2016 or after 28 March 2018.
If you meet this criteria, you may be entitled to compensation, and you are encouraged to express your interest in the class action below.
Frequently Asked Questions
What is a class action?
When Governments, large companies or institutions do the wrong thing and people are harmed or suffer loss as a result, an individual can have little to no means of bringing a legal claim.
Class actions are an important mechanism within Australia’s legal system that allow large groups of people to come together to pursue a claim collectively.
For a class action to take place, there are three criteria that need to be met:
There must be 7 or more people that have claims against the same defendant; and
The claims relate to the same or similar circumstances; and
The claim must relate to at least one common issue of law or fact.
For more information about how class actions resolve, click here.
How long do class actions take to resolve?
It can take up to several years for a class action to resolve. The time taken from case commencement through to resolution and settlement administration depends on the particular case, and the nature of the claim.
For more information about class actions and how they work, click here.
Does it cost anything to join a class action?
Shine Lawyers is committed to ensuring that everyone, regardless of their background or financial situation, has access to justice. We run our class actions in a way that means you are not exposed to any costs or financial risk, so joining a class action will cost you nothing.
When a class action is successful, the legal fees and costs to run the class action are deducted from the settlement amount that is approved by the Court. If the class action is unsuccessful, we will ensure there are no out-of-pocket costs to you.
Will my contact details be kept private?
Yes, your contact details will remain confidential and we will seek your consent before disclosing any of your personal information (including before such disclosure is required by the Court).
Shine Lawyers will only use your personal information strictly for the purpose of the legal proceedings.
Meet the Blue Sky Class Action team
Shine Lawyers’ Blue Sky Class Action team includes some of the firm’s most experienced litigators, solicitors and support staff. You can learn more about the team running this class action by clicking on their profile below.
