Veterans Disability Benefits Class Action Heard in Federal Court

A class action lawsuit over a dispute about veteran disability benefits has gone to trial.

The legal arguments were held Tuesday in Federal Court in Halifax. Justice Richard Southcott heard arguments from both sides but has not yet issued a decision on the veterans disability benefits class action lawsuit.

In February 2016, plaintiff Simon Logan was discharged from the Canadian Forces after serving for 28 years. According to the veterans disability benefits class action lawsuit, he was earning a base salary of $6,801 and $3,863 in allowances at the time of his discharge. The total of his pre-tax monthly earnings was $10,664.

Most of Logan’s allowances were given to him because of his status as a “special operations assaulter,” which engage in high-risk services like hostage rescue and counterterrorism, CBC.ca reports.

When he was discharged from the Canadian Forces, Logan expected to receive 75 per cent of his monthly pay as set forth by the military’s disability insurance policy, which covers veterans who suffer injuries during service that make it impossible for them to continue serving and which may affect their future employability in any other profession.

According to Daniel Wallace, the lawyer representing Logan in the veterans disability benefits class action lawsuit, Logan only received $5,100 per month because the Canadian Forces only used the base salary amount to calculate his pay and did not consider the amount of his allowances.

Wallace argued that the allowances Logan received were included in his understanding of his pay, and that it is reasonable that other service members would also report their earnings as the total amount they earn rather than just the base salary. He says that it is reasonable for the court to interpret a veteran’s base salary plus allowances as their monthly pay.

To further bolster his point, Wallace noted that allowances are subject to employment insurance, making it more likely that an ordinary person would believe the allowances should also be subject to disability insurance.

Approximately 6,500 Canadian veterans have joined the veterans disability benefits class action lawsuit, CBC.ca reports.

An attorney representing the federal government argued that the contract language is “clear and unambiguous” for military members when distinguishing monthly pay from allowances. The contract includes tables that define monthly pay for military members, depending on their type of service. Allowances are covered in a different part of the contract, she notes.

The government’s lawyer also argued that base pay and allowances are listed in separate categories on military paychecks, so it should not come as a surprise that they would be treated differently.

Are you a Canadian military veteran who did not receive the amount of pay you expected after you were discharged? Let us know in the comments below.

Logan is represented by Daniel Wallace.

The Veterans Disability Benefits Class Action Lawsuit is Logan v. Her Majesty The Queen, Case No. T-1358-18, in Federal Court in Halifax, Canada. 

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