Half-billion dollar settlement approved for former kids in care in Manitoba

A judge has approved a settlement for three class-action lawsuits, worth $530 million, over child benefit payments that were clawed back by the Manitoba government.

The agreement compensates an estimated 30,000 children, some of whom have since become adults, for money the province took from federal benefits over a 14-year period.

The province started clawing back the Children’s Special Allowance, which goes to agencies that care for children, in 2005.

Get breaking National news

For news impacting Canada and around the world, sign up for breaking news alerts delivered directly to you when they happen.

The government stopped the practice in 2019 but also tried to ban any lawsuits over the clawback in a bill that was later struck down.

The province and lawyers for the lead plaintiffs negotiated and reached the settlement in March.

Court of King’s Bench Justice Alain Huberdeau has approved the deal, calling it fair and in the best interest of the people affected.

0:52 Manitoba’s top priorities include ‘making children whole’, minister says