Canada: When Class Members Oppose A Class Settlement: B.C. Court Approves Settlement Despite Objections Of Certain Class Members

In Jones v. Zimmer GMBH, 2016 BCSC 1847, Justice Bowden of the B.C. Supreme Court recently approved settlement of a class action despite the objections of a number of class members to the settlement agreement that had been reached between the representative plaintiff, class counsel and the defendant. This decision is instructive for class action defendants negotiating and arranging settlements with class counsel.

Events Leading To The Settlement Of The B.C. Class Action

This past July, we wrote about the decision of Justice Perell of the Ontario Superior Court in Crider v. Nguyen, 2016 ONSC 4400, where he ordered that an Ontario plaintiff could pursue an individual action against a manufacturer of a hip implant device, Zimmer, while claims relating to that same device were already being advanced against Zimmer as part of two class actions: one certified in British Columbia (Jones v. Zimmer), and the other certified in Ontario (McSherry v. Zimmer).

The representative plaintiffs in the Jones and McSherry class actions reached a settlement agreement with Zimmer, to which some fourteen objections were filed by certain class members who did not agree with the settlement. Two of the fourteen objections arose from members of the Ontario McSherry action, while the remaining twelve arose from the B.C. Jones action.

Shortly after issuing his decision in Crider, Justice Perell approved settlement of the Ontario McSherry class action despite the two objections that had been filed, and the parties then sought approval of the settlement of the Jones action from the B.C. Supreme Court.

The Objections Of Certain Class Members To The Settlement Of The B.C. Class Action

The proposed settlement agreement provided that class members would receive compensation in exchange for a release of their claims. The amount of compensation was to vary with the nature of a class member's individual claim. For example, a class member who underwent an uncomplicated revision surgery to correct complications with the hip implant might be eligible to receive up to $97,500, while one who experienced a complicated revision might be eligible to receive up to $172,500. On the other hand, a class member who had not undergone revision surgery by September 1, 2015 (the "Eligibility Deadline") would only be entitled to receive $600.

Justice Bowden summarized the twelve objections that had been filed by certain class members against this settlement into five categories:

  1. that the proposed settlement limited the potential damates of those class members who had not undergone revision surgery or scheduled such surgery prior to the Eligibility Deadline to a nominal $600..
  2. The proposed settlement did not include class members who require revision surgery but for various reasons did not have it or schedule it before September 1, 2015.
  3. The proposed settlement was reached before expert reports were exchanged or oral examinations for discovery were held. As a result, the defendants would have known that that plaintiff had little interest in going to trial.
  4. The proposed settlement did not provide any compensation for individual claims such as loss of earnings or pain and suffering short of revision surgery.
  5. The timing of the notification of the terms of the proposed settlement was such that class members were not able to opt out of the B.C. class action.

On October 6, 2016, Justice Bowden approved settlement of the Jones action despite these objections.

The B.C. Court's Treatment Of The Objections And Approval Of The Settlement

In coming to his decision, Justice Bowden noted that individual class members do not participate in the conduct of the litigation during the common issues phase of a class action. When the Jones class action was certified by the B.C. Supreme Court, the Court appointed a representative plaintiff to prosecute the action on behalf of the class and to instruct counsel for the class. Justice Bowden commented that it would not have been feasible or appriopriate for class members to generally be involved in the private and privileged mediation sessions and settlement negotiations that were conducted with the defendant over a number of years.

While the most serious objections to the proposed settlement were with respect to the Eligibility Deadline that determined a class member's level of potential compensation, Justice Bowden found that this deadline had been selected by the representative paintiff, class counsel and the defendant on a principled and reasonable basis that reflected the increasing difficulty for class members to prove causation with the further passage of time.

With respect to the various levels of compensation that were part of the settlement, and the overall quantum of the settlement, Justice Bowden noted that class litigation is in the hands of class counsel, as instructed by the representative plaintiff, and is not subject to the views of class members in general; therefore, Justice Bowden found any objection that the overall settlement amount is insufficient to be unpersuasive because, in his view, a settlement is a compromise of claims. Justice Bowden observed that it is a court's task to determine whether the settlement is fair, reasonable, and in the best interests of the class as a whole, and if it a court so finds, then the objections of a few class memebrs cannot be persuasive in changing this determination.

Finally, with respect to the objection that many class members only learned of the terms of the settlement after the deadline by which they could have opted out of the class action, Justice Bowden highlighted that the B.C. class action legislation requires that class members make a decision to opt in or opt out of the proceeding before the outcome of the litigation is known and that, therefore, class members must elect to be bound by the judgment on the common issues, whether by settlement or a decision of the court, and whether favourable or unfavourable. In Justice Bowden's view, a class member is not permitted to wait on the sidelines and make their decision after knowing the results of the litigation; the predictability and finality required by the parties to resolve a class action would be undermined if a class member could change their election after knowing the results of the litigation.

Justice Bowden's decision indicates that representative plaitniffs, class counsel and class action defendants may negotiate and arrange settlements of class actions and obtain approval of such settlements despite the objections of some class members so long as the settlement agreement that is submitted for the court's approval is fair, reasonable, and in the best interests of the class as a whole.

The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.

To print this article, all you need is to be registered on

Click to Login as an existing user or Register so you can print this article.

In association with
Related Video
Up-coming Events Search
Font Size:
Mondaq on Twitter
Register for Access and our Free Biweekly Alert for
This service is completely free. Access 250,000 archived articles from 100+ countries and get a personalised email twice a week covering developments (and yes, our lawyers like to think you’ve read our Disclaimer).
Email Address
Company Name
Confirm Password
Mondaq Topics -- Select your Interests
 Law Performance
 Law Practice
 Media & IT
 Real Estate
 Wealth Mgt
Asia Pacific
European Union
Latin America
Middle East
United States
Worldwide Updates
Check to state you have read and
agree to our Terms and Conditions

Terms & Conditions and Privacy Statement (the Website) is owned and managed by Mondaq Ltd and as a user you are granted a non-exclusive, revocable license to access the Website under its terms and conditions of use. Your use of the Website constitutes your agreement to the following terms and conditions of use. Mondaq Ltd may terminate your use of the Website if you are in breach of these terms and conditions or if Mondaq Ltd decides to terminate your license of use for whatever reason.

Use of

You may use the Website but are required to register as a user if you wish to read the full text of the content and articles available (the Content). You may not modify, publish, transmit, transfer or sell, reproduce, create derivative works from, distribute, perform, link, display, or in any way exploit any of the Content, in whole or in part, except as expressly permitted in these terms & conditions or with the prior written consent of Mondaq Ltd. You may not use electronic or other means to extract details or information about’s content, users or contributors in order to offer them any services or products which compete directly or indirectly with Mondaq Ltd’s services and products.


Mondaq Ltd and/or its respective suppliers make no representations about the suitability of the information contained in the documents and related graphics published on this server for any purpose. All such documents and related graphics are provided "as is" without warranty of any kind. Mondaq Ltd and/or its respective suppliers hereby disclaim all warranties and conditions with regard to this information, including all implied warranties and conditions of merchantability, fitness for a particular purpose, title and non-infringement. In no event shall Mondaq Ltd and/or its respective suppliers be liable for any special, indirect or consequential damages or any damages whatsoever resulting from loss of use, data or profits, whether in an action of contract, negligence or other tortious action, arising out of or in connection with the use or performance of information available from this server.

The documents and related graphics published on this server could include technical inaccuracies or typographical errors. Changes are periodically added to the information herein. Mondaq Ltd and/or its respective suppliers may make improvements and/or changes in the product(s) and/or the program(s) described herein at any time.


Mondaq Ltd requires you to register and provide information that personally identifies you, including what sort of information you are interested in, for three primary purposes:

  • To allow you to personalize the Mondaq websites you are visiting.
  • To enable features such as password reminder, newsletter alerts, email a colleague, and linking from Mondaq (and its affiliate sites) to your website.
  • To produce demographic feedback for our information providers who provide information free for your use.

Mondaq (and its affiliate sites) do not sell or provide your details to third parties other than information providers. The reason we provide our information providers with this information is so that they can measure the response their articles are receiving and provide you with information about their products and services.

If you do not want us to provide your name and email address you may opt out by clicking here .

If you do not wish to receive any future announcements of products and services offered by Mondaq by clicking here .

Information Collection and Use

We require site users to register with Mondaq (and its affiliate sites) to view the free information on the site. We also collect information from our users at several different points on the websites: this is so that we can customise the sites according to individual usage, provide 'session-aware' functionality, and ensure that content is acquired and developed appropriately. This gives us an overall picture of our user profiles, which in turn shows to our Editorial Contributors the type of person they are reaching by posting articles on Mondaq (and its affiliate sites) – meaning more free content for registered users.

We are only able to provide the material on the Mondaq (and its affiliate sites) site free to site visitors because we can pass on information about the pages that users are viewing and the personal information users provide to us (e.g. email addresses) to reputable contributing firms such as law firms who author those pages. We do not sell or rent information to anyone else other than the authors of those pages, who may change from time to time. Should you wish us not to disclose your details to any of these parties, please tick the box above or tick the box marked "Opt out of Registration Information Disclosure" on the Your Profile page. We and our author organisations may only contact you via email or other means if you allow us to do so. Users can opt out of contact when they register on the site, or send an email to with “no disclosure” in the subject heading

Mondaq News Alerts

In order to receive Mondaq News Alerts, users have to complete a separate registration form. This is a personalised service where users choose regions and topics of interest and we send it only to those users who have requested it. Users can stop receiving these Alerts by going to the Mondaq News Alerts page and deselecting all interest areas. In the same way users can amend their personal preferences to add or remove subject areas.


A cookie is a small text file written to a user’s hard drive that contains an identifying user number. The cookies do not contain any personal information about users. We use the cookie so users do not have to log in every time they use the service and the cookie will automatically expire if you do not visit the Mondaq website (or its affiliate sites) for 12 months. We also use the cookie to personalise a user's experience of the site (for example to show information specific to a user's region). As the Mondaq sites are fully personalised and cookies are essential to its core technology the site will function unpredictably with browsers that do not support cookies - or where cookies are disabled (in these circumstances we advise you to attempt to locate the information you require elsewhere on the web). However if you are concerned about the presence of a Mondaq cookie on your machine you can also choose to expire the cookie immediately (remove it) by selecting the 'Log Off' menu option as the last thing you do when you use the site.

Some of our business partners may use cookies on our site (for example, advertisers). However, we have no access to or control over these cookies and we are not aware of any at present that do so.

Log Files

We use IP addresses to analyse trends, administer the site, track movement, and gather broad demographic information for aggregate use. IP addresses are not linked to personally identifiable information.


This web site contains links to other sites. Please be aware that Mondaq (or its affiliate sites) are not responsible for the privacy practices of such other sites. We encourage our users to be aware when they leave our site and to read the privacy statements of these third party sites. This privacy statement applies solely to information collected by this Web site.

Surveys & Contests

From time-to-time our site requests information from users via surveys or contests. Participation in these surveys or contests is completely voluntary and the user therefore has a choice whether or not to disclose any information requested. Information requested may include contact information (such as name and delivery address), and demographic information (such as postcode, age level). Contact information will be used to notify the winners and award prizes. Survey information will be used for purposes of monitoring or improving the functionality of the site.


If a user elects to use our referral service for informing a friend about our site, we ask them for the friend’s name and email address. Mondaq stores this information and may contact the friend to invite them to register with Mondaq, but they will not be contacted more than once. The friend may contact Mondaq to request the removal of this information from our database.


This website takes every reasonable precaution to protect our users’ information. When users submit sensitive information via the website, your information is protected using firewalls and other security technology. If you have any questions about the security at our website, you can send an email to

Correcting/Updating Personal Information

If a user’s personally identifiable information changes (such as postcode), or if a user no longer desires our service, we will endeavour to provide a way to correct, update or remove that user’s personal data provided to us. This can usually be done at the “Your Profile” page or by sending an email to

Notification of Changes

If we decide to change our Terms & Conditions or Privacy Policy, we will post those changes on our site so our users are always aware of what information we collect, how we use it, and under what circumstances, if any, we disclose it. If at any point we decide to use personally identifiable information in a manner different from that stated at the time it was collected, we will notify users by way of an email. Users will have a choice as to whether or not we use their information in this different manner. We will use information in accordance with the privacy policy under which the information was collected.

How to contact Mondaq

You can contact us with comments or queries at

If for some reason you believe Mondaq Ltd. has not adhered to these principles, please notify us by e-mail at and we will use commercially reasonable efforts to determine and correct the problem promptly.