A Supreme Court hearing was scheduled for late May - after the Government last year appealed the Court of Appeal's ruling against state-owned insurer Southern Response.
The case focuses on claims the insurer settled before October 2014 - where the insurer concealed from claimants the true cost of rebuilding their homes.
Solicitor Grant Cameron says with three-thousand potential plaintiffs - the Government could end up owing more than 400-million dollars.
He says the highest amount concealed from an individual policyholder that they know of was 447-thousand dollars.