CBA reaches in-principle agreement to settle $249m class action
Commonwealth Bank of Australia (CBA) has reached an in-principle agreement to settle a class action for $249 million, subject to documentation and Federal Court of Australia approval.
The class action was commenced in 2018 by Slater and Gordon on behalf of class members against Colonial First State Investments Limited (CFSIL), Avanteos Investments Limited (AIL) and CBA.
Importantly for investors, the proposed settlement is covered by a provision recognised by the Group in a prior period. In agreeing to resolve the proceedings, CBA, CFSIL and AIL continue to deny the allegations and make no admission of liability or wrongdoing.
The announcement was released on 26 August 2026.
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What the class action was about
The class action relates to certain cash and deposit options issued by CBA and offered through Colonial First State superannuation and wrap products. The relevant period runs from November 2008 to September 2021.
If the Federal Court of Australia approves the settlement, eligible class members may be entitled to receive a share of the settlement sum. This remains subject to the approved settlement distribution scheme, and after accounting for deductions such as legal fees and amounts paid to the funder of the class action.
The key facts are summarised below:
| Detail | Information |
|---|---|
| Products involved | Colonial First State superannuation and wrap products |
| Options in question | Certain cash and deposit options |
| Relevant period | November 2008 – September 2021 |
| Applicants’ lawyers | Slater and Gordon |
Why this matters for CBA investors
A key detail for investors is that the settlement has already been provisioned. The $249 million figure is not a fresh surprise to the balance sheet.
The matter relates to legacy Colonial First State products.
CBA’s broader FY26 results across the group include the impact of legacy legal provisions and settlements, with the ASB subsidiary in New Zealand separately absorbing costs related to its own class action resolution during the same reporting period.
From the announcement
“The proposed settlement is covered by a provision recognised by the Group in a prior period.”
What happens next
The settlement is not yet final. It remains subject to documentation and Federal Court of Australia approval. If approved, eligible class members may receive a share of the settlement sum after court-approved deductions.
CBA has stated that, as the matter remains subject to approval, it is not appropriate to comment further. Class action group members seeking more information should contact Slater and Gordon.
The remaining process involves the following steps:
-
Finalisation of settlement documentation
-
Federal Court of Australia approval
-
Approval of the settlement distribution scheme
-
Distribution to eligible class members (after deductions)
No timeline has been disclosed for these steps in the announcement.
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