Claiming Compensation from the department
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If you think the department has made a mistake that has caused you a financial loss or some other detriment, you may be able to make a claim for compensation from the department.
Types of compensation
There are three bases upon which monetary compensation can be obtained for loss suffered as a result of:
- legal liability
- defective administration
or - special circumstance arising out of Commonwealth administration (Act of Grace).
Compensation for legal liability
The department may assess your claim and pay compensation in accordance with the Attorney General's Legal Services Directions, where there is a risk that the department could be found to be liable to pay compensation if the matter went to court.
Examples: Negligence, actions in contract, personal injury and property damage.
Important: We recommend that you seek legal advice if you think that your circumstances might give rise to a claim that raises issues of potential legal liability.
Compensation for Detriment caused by Defective Administration (CDDA)
The CDDA Scheme allows the department to compensate you if you have been adversely affected by the department's defective administration and where no legal liability exists. Payments made under the CDDA scheme are discretionary and may be made where it is considered that there is a moral obligation, rather than a legal liability.
Compensation is not payable for grief, anxiety, hurt, humiliation, embarrassment, or disappointment that is unrelated to personal injury, no matter how intense the emotion may be.
In order for your claim to be successful under the CDDA scheme, the decision maker must be satisfied that:
- there was defective administration by the department
- the loss or detriment you suffered was a direct result of the department's defective administration
and - the type of detriment suffered by you must have been reasonably foreseeable by the department.
Defective administration is defined as:
- a specific and unreasonable lapse in complying with existing administrative procedures
or - an unreasonable failure to institute appropriate administrative procedures
or - an unreasonable failure to give to (or for) an applicant, the proper advice that was within the official's power and knowledge to give (or reasonably capable of being obtained by the official to give)
or - giving advice to (or for) an applicant that was, in all the circumstances, incorrect or ambiguous.
The overarching principle of the CDDA scheme is to restore you to the position you would have been in had the defective administration not occurred.
Act of Grace payment
The Act of Grace Scheme is administered by the Department of Finance and Deregulation (Finance). If the Finance Minister or delegate considers it appropriate to do so because of special circumstances, he or she may authorise making an Act of Grace payment. Act of Grace claims are considered on their individual merits. Act of Grace payments are discretionary and may be made where there is a moral, rather than legal liability and there is no other redress available; including where:
- the direct role of an agent/agency of the department has caused an unintended and inequitable result for the individual or entity concerned
or - the application of the department's legislation has produced a result that is unintended, anomalous, inequitable or otherwise unacceptable in a particular case (including in cases where the department has acted correctly in administrating the legislation involved)
or - the matter is not covered by legislation or specific policy, but the department intends to introduce such legislation or policy, and it is considered desirable in a particular case to apply the benefits of the relevant provisions prospectively.
Applying for compensation
If your claim is under the CDDA scheme, you should complete the application form. CDDA application form.
See: Application Claim Form for Compensation for Detriment caused by Defective Administration ( 41KB PDF file).
If your claim is for an Act of Grace payment you should complete the application form.
See: Application Form for an Act of Grace payment ( 48KB PDF file).
In some circumstances, the department, or the Commonwealth Ombudsman may invite you to apply for compensation under either the CDDA Scheme or the Act of Grace Scheme.
Note: An invitation to apply for compensation does not constitute an admission of liability, nor does it guarantee that compensation will be paid.
You can send the completed application form and supporting documentation by post, email or facsimile.
Postal address:
Director
Civil Litigation and Compensation Section
Department of Immigration and Citizenship
PO Box 25
BELCONNEN ACT 2616
Email: Compensation mailbox
Fax: 02 6264 1401
You will receive an acknowledgement letter within seven working days of the department receiving your claim. Claims are processed in order of receipt. The department cannot provide a definite date for completion of claims; however, you will be kept informed of the progress of your claim.
Receiving a decision
You will be notified in writing of the outcome of your claim. The following table details steps to be taken if your application for compensation is deemed as payable or not.
| Departmental decision | Steps to be taken |
|---|---|
| Compensation is payable | The department will provide you a Deed of Release and Indemnity (deed) to sign. The deed indemnifies the department from any future claims arising from the same factual circumstances. Payment will be made by electronic funds transfer into your nominated bank account. |
| Compensation is not payable (application has been fully or partially rejected) | You can contact the Director of Civil Litigation and Compensation
Section. Alternatively, you can contact the Commonwealth Ombudsman. |
Further assistance
For further information on guidelines for processing legal liability claims refer to Appendix C of the legal Service Directions 2005 issued by the Commonwealth Attorney-General.
See: Legal service directions
For further information on the CDDA or Act of Grace schemes refer to Finance Circular 2009/09 Discretionary Compensation and Waiver of Debt Mechanisms on the Department of Finance and Regulation's website.
See: Finance Circular 2009/09 – Discretionary Compensation and Waiver of Debt Mechanisms