"Most were fleeing religious persecution and violence," he said. "They came to Australia seeking protection but rather than consider their cases onshore, the Australian government sent this vulnerable group of people to be held on Manus Island indefinitely."
Baker said there have been countless stories about the appalling and inhumane conditions the detainees were subjected to, and the security issues have been well documented.
"While no amount of money could fully recognise the terrible conditions the detainees endured, we hope today's settlement can begin to provide them with an opportunity to help put this dark chapter of their lives behind them."
Lead plaintiff Majid Kamasaee, a 35-year-old Iranian asylum seeker, said the case was about every person who had been trapped on Manus Island.
"I came to Australia seeking peace but I was sent to Manus, which was hell," he said in a statement read on his behalf. "The way we were treated at the Manus Island detention centre was degrading and cruel."
The 1905 group members in the class action cover the majority of people detained on Manus Island since 2012.
Slater and Gordon practice group leader Rory Walsh said the firm believed the settlement amount was a strong outcome.
"This was a long, hard fight. We think it's a very good and strong outcome."
It is believed to be both the first and largest human rights class action settlement in Australian legal history.
The class action sought compensation for alleged physical and psychological injuries the detainees argued they suffered as a result of the conditions in which they were held.
It also sought damages for false imprisonment after the PNG Supreme Court ruled the detention of asylum seekers on Manus Island was unconstitutional.
The settlement will be paid by the Australian Government and the companies that have managed the Manus Island Regional Processing Centre, G4S Australia and Broadspectrum (formerly Transfield Services).
The amount to be paid to each defendant is confidential.
The settlement could potentially lead to the withdrawal of a separate legal action in Papua New Guinea against the PNG Government alleging false imprisonment, which lawyers estimated could be worth at least A$150 million for about 1000 detainees.
Walsh said Slater and Gordon has been in contact with the lawyers in the PNG case. "They agree with us that it is a very good outcome," Walsh said.
- AAP