Town Hall FAQ

Most Frequently Asked Questions

How do I stay updated about the partial settlement and ongoing personal injury class action?

To stay updated, it is very important that you sign up for our mailing list at this link. We regularly send email updates and that is the best way to make sure that you do not miss any important information.

Also, you can find a list of Recalled Products at the bottom of Our Homepage.

In the Town Hall you mentioned “economic loss”. What is that?

This settlement only covers “economic loss”. In general terms, this refers to the direct out of pocket expenses incurred. Economic loss is a controversial issue in Canadian law and it is only payable in limited circumstances. In this settlement, the compensable Economic Loss consists of:

  • The Universal Device Payment – meant to compensate you for the time you wasted, and any inconvenience you suffered due to the Recall.
  • The Device Replacement Award – meant to compensate those who purchased a replacement device because of the Recall.

Please note that there is no guarantee that either of these above-noted payments, or any other economic loss would be ordered payable outside of the settlement. In other words, if you “opt-out” of the proceeding and proceed with an individual lawsuit, you may not receive anything.

Economic loss does not include damages for personal injuries or mental distress.  We are still in active litigation over the personal injury and mental distress claims. If we win those claims at trial, or settle those claims in the future, you may receive compensation for your personal injuries or mental distress at that time.

If my relative passed away but purchased or used one of the Recalled Products, does he or she still have a claim?

Yes, provided that your relative who passed away lived in Canada when they purchased or used one of the Recalled Products, you can make a claim on his/her behalf.

The compensation available to a deceased class member is the same as the compensation available to a living class member.

How do I ensure that I am included in the partial settlement?

You do not need to do anything – all class members are automatically included in the partial settlement and are eligible to make a claim when the claim period opens (likely in the last quarter of 2025).

How many people are currently in part of the Class Action?

We do not know the exact number of people who are in the Class Action. While we know that there are hundreds of thousands of machines that were subject to the recall, we do not the exact number that were still in service at the time of the recall.

How do opt outs affect the approval of the partial settlement?

If there are more than 18 class members who “opt out” of the partial settlement, the defendants may (not must) terminate the partial settlement agreement.

Why is the partial settlement not higher?

Class Counsel negotiated the very highest amount we could get from the Defendants, through two separate mediations. If you opt out, you will have to hire your own lawyer to advance a claim that is at most $2,500, and your legal fees will exceed your compensation. Even if you try your own case in Small Claims Court, you will have to prove that your Recalled Product was dangerous and win on the controversial issue of economic loss. If you lose you will get nothing.

What is the likelihood that the partial settlement will be approved?

The court will approve the partial settlement if it is persuaded that it is in the best interests of the class. We believe that the partial settlement is a good resolution of the economic loss claims and, overall, much better than could be achieved by the vast majority of individual class members on their own.

Questions on Compensation to Class Members

How much compensation can I get from the partial settlement?

  • All class members will receive a Universal Device Payment of up to $125, for each Recalled Product they purchased.
  • All class members will receive a Device Replacement Award of up to the amounts noted in the chart below, for each replacement device they purchased:
How old was your Recalled Product at time of Recall?
> 5 years old 3 – 5 years old < 3 years old
If the Recalled Product was a CPAP $360 $840 $1,080
BiPAP $750 $1,750 $2,250
Ventilator $3,550 $8,284 $10,651

What if my third-party insurer paid for or partially paid for my replacement device? Do I still get the same Device Replacement Award as set out in the chart above?

The partial settlement will only compensate you based on what you yourself paid.

If you paid nothing for your replacement device (i.e. your insurance company paid for it entirely), you will not get a Device Replacement Award, but you will still receive a Universal Device Payment.

If you paid for some of your replacement device (i.e. your insurance company paid for part of your replacement device), your Device Replacement Award will be the amount of money you paid out of pocket on a replacement device (i.e. excluding any amounts paid for or reimbursed by an insurer), up to a maximum dollar amount set out in the above table.

My original CPAP machine was 2 years old at the time of the Recall on June 14, 2021. How much compensation will I receive if I purchased a CPAP replacement device for $1,600, and I received reimbursement from my insurer for: A) $300 B) $1,200

Example 11A

  • The amount you paid out of pocket was $1,300 ($1,600-300).
  • $1,300 > $1,080. Your Device Replacement Award is $1,080 – which is the maximum amount set out in the above table (for Recalled Products that were under 3 years of age at the time of Recall).

Example 11B

  • The amount you paid out of pocket was $400 ($1,600-$1,200).
  • You will receive $400, which is your full out of pocket loss.

Why are insurance premiums not being reimbursed under the partial settlement agreement?

Insurance premiums are not compensable under the partial settlement because you did not incur those premiums because of the Recalled Products. In other words, you paid your insurance premiums in exchange for your health care coverage as a whole.

Can I be compensated for my additional expenses associated with travelling out-of-province to replace my Recalled Product(s)?

No, not all expenses have been compensated under the partial settlement. All settlements are compromises and must account for the risk that we might not win at trial, and even if we did win, that it would take considerably longer for class members to receive any compensation.

How much of the settlement funds go towards compensating class members claiming for Universal Device Payments and Device Replacement Awards?

As shown in the chart below, we have allotted $6,223,371.60 for the Universal Device Payments (before payment of legal fees) and $12,287,750.40 (before payment of legal fees) for the Device Replacement Award.

How did Class Counsel decide on the above breakdown for Universal Device Payments and Device Replacement Award.

The Universal Device Payment of $125 is based on an estimate of the time that an average class member would spend responding to the recall. By its nature, payments like these are approximations. Some class members will have spent more time and some will have spent less. Please note, however, that it would be very challenging for persons bringing individual lawsuits to receive compensation for lost time in an individual law suit.

The Device Replacement Awards were calculated based on data received in response to our survey of class members. These are average numbers. The reason that we used average numbers was to make the administration simple, straightforward and cost-effective. There is a limited pool of funds and we wanted to make sure as little as possible is spent on administration.

What happens if more class members claim for the Universal Device Payment or the Device Replacement Award than what you have projected?

If the total number of allowed claims for Universal Device Payments exceeds $6,223,371.60 before legal fees, or if the total number of allowed claims for the Device Replacement Awards exceeds $12,287,750.40 before legal fees, then each individual award to class members will be reduced on a pro rata basis so that the total amounts paid out to class members do not exceed $6,223,371.60 before legal fees and $12,287,750.40 before legal fees, respectively.

In short, this means that class members could be paid less for their Universal Device Payment or Device Replacement Award if there are more class members with approved claims than we have projected.

Please note, however, that in determining the size of the awards, and the size of the pools, we have had the benefit of seeing rates of claims in the US litigation. We believe the claims rates in Canada will be similar and there should not be a significant difference between the estimated payments and the actual amounts.

What happens if fewer class members claim for the Universal Device Payment than what you have projected?

If the total number of allowed claims for Universal Device Payments is less than $6,223,371.60 before legal fees, then the excess funds will be applied to first cover any shortfall in payments to class members receiving a Device Replacement Award (if there is a shortfall), and second, to be split amongst class members receiving a Universal Device Payment.

In short, this means that class members could be paid a greater amount for their Universal Device Payment if there are fewer class members with approved claims than we have projected.

What happens if fewer class members claim for the Universal Device Payment or the Device Replacement Award than what you have projected?

If the total number of allowed claims for Device Replacement Awards is less than $12,287,750.40 before legal fees, then the excess funds will be split amongst class members receiving a Universal Device Payment.

In short, this means that class members could be paid a greater amount for their Universal Device Payment if there are fewer class members with approved claims than we have projected.

Can I be compensated for more than one defective Recalled Product?

Yes, you will receive a Universal Device Payment for each Recalled Product you purchased.

You will receive a Device Replacement Award for each replacement device you purchased, in the amount(s) set out in the above table.

Will I receive any compensation if the product I was using was an APAP device?

So long as your APAP is a Recalled Product (refer to link below), and you purchased a replacement device, you will receive the same level of compensation as those class members who owned a Recalled Product that was an CPAP. You will also receive a Universal Device Payment.

Please refer to the list of Recalled Products at the bottom of Our Homepage.

If I received a replacement device from Philips, am I still eligible to receive compensation under the partial settlement?

Yes. The Philips’ replacement program is entirely separate from the partial settlement. So, even if you received a Philips’ replacement device, you are still eligible to receive the same compensation as those class members who never received a Philips’ replacement device.

Can I still receive compensation if I bought a replacement device from a manufacturer other than Philips?

Yes. The replacement device can be made by any manufacturer.

If Philips only replaced part of my machine (just the basic machine not mask and hose) how does that affect my compensation?

The Philips’ replacement program is entirely separate from the partial settlement and does not impact what you receive under this partial settlement.

Questions on Legal Fees

How much money will Class Counsel be paid?

  • Class Counsel will charge legal fees of 30% plus tax on $18,511,122 (the total of the UDP and DRA awards below), for a total of $5,553,336.60 plus tax, which is subject to approval by the Court.

Class Counsel will also be reimbursed for expenses they have incurred in prosecuting this case for class members, which is currently about $483,878.

Questions on the Claims Process

How do I receive compensation from the Partial Settlement?

You will need to complete a simple claim application, either in paper format or online. We do not have exact dates for when the claims process will open, but we expect that will start in the last quarter of 2025.

Well before the claim process opens, you will receive an email from the claims administrator (KPMG) confirming when you can make your claim and how to make your claim.

When can I expect to receive compensation?

We anticipate that class members with approved claims will receive compensation in early 2026

When the claims process starts, what information will I need to prove my claim?

  • To apply for a Universal Device Payment Award, you will need to provide the serial number for your Recalled Product(s).
  • To apply for a Device Replacement Award, you will need to provide proof of purchase (ie receipt) for each replacement device you have purchased.

If you do not have this proof, you will not be compensated. If you do not have your receipt or serial number, contact your supplier/

Should I keep my Recalled Product(s) to support my claim?

You do not need to keep your Recalled Product to support your claim for economic loss, but you absolutely need to keep a record of its serial number. Before disposing of your Recalled Product, be sure to get its serial number for the claim process.

As well, as we have previously advised, if you believe that you have been injured by your machine, please keep the hose and memory chip,

Questions on Personal Injury Claims

Why is there no current settlement for personal injury claims?

The Defendants refused to negotiate the personal injury component of the class action.

This means that we are continuing to litigate the personal injury claims and mental distress claims suffered by class members on account of using Recalled Products.

When will I be compensated for my personal injuries or mental distress?

You will not be compensated for your personal injuries and/or mental distress until we move through the following litigation steps:

  • We need to proceed to a contested certification hearing of the personal injury claims: The B.C. Supreme Court will decide whether the personal injury claims can proceed as a class action, or whether to refuse certification. This is a typical step in all class actions.
    • A hearing date has not yet been set.
    • We have filed most of our written materials for the hearing.
    • The Defendants have not yet filed their responsive court materials.
    • Class members who have registered for updates will be notified when a hearing date is set.
  • If we do not settle the personal injury class action after certification, we will proceed to a common issues trial. If the action is certified, we will go to trial on the issues that are common to all class members.
    • We have not reached this step yet.
  • If we win at the common issues trial, a class member claims process will start. It is too early to be able to guess what type of process will be set up.
    • We have not reached this step yet.

How can I ensure I am included in the ongoing personal injury class action?

If you meet the definition of a class member, you are automatically included in the personal injury class action and do not opt out. Please note that if you opt out of the current partial settlement, you are not also opted out of the personal injury class action.

What compensation will be available for personal injuries or mental distress suffered by class members?

It is too early to say what sort of compensation might be available to class members who suffered personal injuries or mental distress on account of using the Recalled Products.

What deadlines should I be aware of in the personal injury class action?

There are no upcoming deadlines related to the personal injury class action to be aware of at this time.

To stay updated on the status of the personal injury class action, it is very important that you sign up for our mailing list at this link.

What should I do to ensure my injury claim is preserved?

Generally, injuries are proved by records of doctors, hospitals or paramedical providers. If you saw a doctor at a clinic or hospital or another paramedical provider in relation to your injuries or mental distress, you can order their records when it becomes necessary.

If you have incurred any out-of-pocket expenses related to your injury or mental distress, find and store those receipts in a safe place (i.e. receipts for treatments, devices and so on).

How can I get more information?

Please refer to this link for Class Counsel contact information:

Contact Us – Philips CPAP Class Action

Should I contact Class Counsel about my CPAP related injuries?

If you have specific questions, you may contact class counsel, but it is not required at this time.