"[Wednesday]’s result shows the federal government has accepted what advocates have been saying for years – using only income averaging to raise debts is both inaccurate and inconsistent with the Social Security Act."
She said she wanted Centrelink to reach out to every person who'd received a debt notice,"to clarify whether or not their debt remains,or falls into the category of unlawful debts like Deanna's".
Hundreds of thousands of robodebt cases already stand to be reviewed by the Morrison government after Government Services Minister Stuart Robert announced last week that Centrelink would no longer rely solely on averaged income data from the Australian Taxation Office to raise debts.
In response to the Federal Court orders on Wednesday,a spokesperson for Mr Robert said:"The government has already taken action to strengthen the income compliance program."
The government is also facing a potential class action challenging the legality of robodebt.
Earlier on Wednesday,the Senate passed a Greens-initiated motion calling on the government to provide the legal advice related to its decision to stop using"income averaging"to determine robodebts.
Loading
Greens senator Rachel Siewert told the Senate she had heard"repeated examples of how people felt demonised,stigmatised,vulnerable"when receiving robodebt notices.
"The Parliament and the community need to know what is the legal status of this program."
Gavin Silbert,QC,who retired as Victoria's chief crown prosecutor last year,has repeatedly accused the Department of Human Services of ignoring its legal obligations and acting like a bully towards some of the nation's most vulnerable people.
Mr Silbert said those pressured to pay disputed debts under the contentious scheme could now have legal recourse to claim back the payments.
"Will those who have succumbed to Centrelink’s threats and paid money which they were not legally obliged to pay receive a refund?"he asked.
"The least that Centrelink can do is offer a full and public explanation for the position it has now adopted and perhaps an apology to those who have suffered,"Mr Silbert said.
Victoria Legal Aid brought the case on behalf of Ms Amato in June after she learnt in January that her full tax return of $1709.87 had been taken.
She said that was the first she heard of her robodebt. Centrelink sent eight letters to an address Ms Amato no longer lived at and never spoke to her before it raised the debt against her.
As she was no longer receiving social security,she had no obligation to update her contact details,Ms McRae said.
The debt was later reduced to $1.48 on review,and then waived.
Bill Shorten,Labor spokesman for government services,said there were hundreds of thousands of Australians who had been improperly sent debt letters.
"The government owes its citizens the courtesy of explaining how those people will be contacted and paid back,"the former opposition leader said in a statement.