Class action alleges Australian aged care provider charged residents for unusable services

A class action filed in federal court alleges that residents at more than 50 Arcare aged care facilities were charged a daily additional services fee for items they could not use. The suit covers facilities in four states and territories and spans the period from July 2020 to July 2026.

The statement of claim says the fees were embedded in a signature package presented as mandatory for admission. It alleges that residents who were immobile, cognitively impaired, or receiving enteral nutrition were still charged for high teas, exercise classes, bus outings, and menu choices.

Alleged charges for required services The claim further states that some residents were billed for Foxtel, newspapers, and wireless internet despite lacking the capacity to use them. It also alleges that Arcare charged for meals and other services it was already legally required to provide.

According to the statement of claim, residents or their families were told the signature package could not be negotiated and that the additional services fee was a condition of admission.

Company response A company spokesperson said it would not be appropriate to comment on the allegations or the legal proceedings because the matter is before the court. The spokesperson added that the company remains committed to providing high-quality care and values feedback from residents and families.

The lawsuit was filed on behalf of an 82-year-old former resident who could not participate in exercise classes or use wireless internet due to mobility and technology limitations. The class includes anyone who lived at an Arcare facility in the covered states and territories during the six-year period and paid the additional services fee.