Doug Ford government to pay $320K in legal fees to basic income class action
The Ontario government has agreed to pay $320,000 in legal fees to a class action seeking $200 million in damages for the early termination of a basic income pilot project.
The 4,000 members involved argue the cancellation of a government-run basic income program equates to a breach of contract.
“Today, we're calling on Ontario to stop spending taxpayer money, $320,000 in costs to lawyers is the latest, and resolve this matter fairly and with justice,” Stephen Moreau, Cavalluzzo LLP partner and lead counsel of the class action, said at a news conference on Monday.
- Download our app to get local alerts on your device
- Get the latest local updates right to your inbox
The government fought to prevent the class action from going forward – and as a result they are now paying $320,000 for the legal fees spent over the last five years.
The legal action, which was certified last month, was pursued in response to the early cancellation of a three-year basic income pilot for low-income earners in Hamilton, Lindsay, and Thunder Bay, launched in 2017. The goal of the research study was to determine if the government should consider introducing a fixed income.
The 6,000 people who signed onto the pilot completed regular surveys and provided personal information to the researchers. In exchange, single participants received just under $17,000 a year while couples received just over $24,000.
A year later, following an election and change of hands in government, the province abruptly announced it was terminating the pilot. The final payment date was set as March 25, 2019.
At the time, the government claimed the program didn’t help people contribute to the economy and that it discouraged them from getting back on track. The class argues the province was motivated by “unjust enrichment.”
'Devastating'
Jess Golem, one of the pilot participants, called the cancellation devastating.
Prior to joining the basic income program, Golem said she was working several contract jobs while recovering from a financially-abusive relationship. She explained how she was exhausted and constantly working, yet barely able to afford the cost of living.
“The income floor enabled me to feel secure enough to take a risk in starting a business while knowing that my basic needs would be covered,” Golem said on Monday.
“I actually predicted that if the basic income pilot had continued, I would only have been on the pilot for two out of the three years it was supposed to run because my business would have been making enough money that I would no longer been eligible to be on the pilot.”
However, the program was cancelled, pulling Golem into poverty.
“This sort of government needs to be held accountable for the promise that they have broken, for the lives that they've carelessly thrown into disarray, and the permanent damage they have caused by breaking their contract with us and prematurely canceling the basic income.”
CTVNews.ca Top Stories
Blaine Higgs 'furious' over sexual education presentation
New Brunswick Premier Blaine Higgs has shared his anger on social media over a presentation in at least four high schools.
Grayson Murray's parents say the two-time PGA Tour winner died of suicide
Grayson Murray's parents said Sunday their 30-year-old son took his own life, just one day after he withdrew from a PGA Tour event.
The dreams of a 60-year-old beauty contestant come to an abrupt end in Argentina
A 60-year-old woman saw her dreams of becoming the oldest Miss Universe contestant in history melt away in a haze of sequins and selfies Saturday at Argentina’s annual beauty pageant.
2 died in plane crash near Squamish, B.C., police confirm
Two people died after a plane went down in a remote area near Squamish, B.C. on Friday, authorities have confirmed.
Kingston, Ont. tenants fed up with lack of action from landlord over broken floor tiles
Joel Felder and Misti Pitcher have been living in their apartment in Kingston, Ont. for over two years, but the past 12 months have been miserable.
Driver, 18, gets $3,000 ticket, 32 demerit points after speeding on Laval boulevard
A young driver received a hefty fine from Laval police after they say he was driving nearly 100 km/h over the posted speed limit.
Are you a loud snorer? You could have sleep apnea
You'll have a lot more energy throughout the day if you get a good night's sleep, but not everyone does due to a medical condition.
At least 15 dead after severe weather carves path of ruin across multiple U.S. states in the South
Powerful storms killed at least 15 people and left a wide trail of destruction Sunday across Texas, Oklahoma and Arkansas during the latest deadly weather to strike the central U.S.
North Korea informs Japan of a plan to launch military spy satellite
North Korea has told Japan it plans to launch a satellite by early next week, an apparent effort to put its second military spy satellite into orbit.