In a legal twist, Uiatu "Joan" Taufua will pursue a mental-health defence over the deaths of Susan Zimmer, her daughter Steffi and Ms Zimmer's ex-partner Chris Fawcett almost three years ago.
Taufua faced Queensland Supreme Court on Thursday on three counts of manslaughter stemming from the horrific crash on a narrow rural road in the Gold Coast hinterland on December 30, 2022.
Taufua was due to enter pleas to the charges but her barrister Martin Longhurst instead sought to have the matter referred to the Mental Health Court.
It is a crushing blow for Claudine Snow, who lost her mother and sister in the crash and fears Taufua may never face justice.
"They have been waiting for three years for some closure and for this to finally come before the court," a family spokesman told AAP.
"It has come as a huge shock to Claudine, and she is so disappointed if this is the final result."
He said Ms Snow's mother, intellectually disabled sister and her mother's partner were innocent victims who were simply on their way to buy groceries but never made it home.
After almost three years of adjournments and delays, the latest twist has left Ms Snow devastated.
"All she wants is justice for her mother and her sister, and right now, there seems to be a very real chance it will never happen.
"She is angry and emotional - she broke down in tears when she was told that the driver may never face trial."
Her defence team conceded there had been significant delays in Taufua's case.
"This matter has a long history ... a psychiatric report has been a very long time coming," Mr Longhurst said.
"I received the report yesterday afternoon. That has been disclosed to (prosecutors). It does give a reference to a potential section 27 defence."
Section 27 of the Queensland criminal code is an insanity defence that a person is not criminally responsible for an act if they were delusional or did not have the mental capacity to control their actions or know they were wrong.
Taufua's case should be immediately referred to the Mental Health Court, Mr Longhurst told Justice Elizabeth Wilson.
That court decides whether an alleged offender was of unsound mind.
Taufua stood in the dock wearing gold-rimmed glasses and a black dress with a yellow flower pattern.
Police will allege that she was fleeing police before ploughing into an oncoming vehicle, killing the trio.
Mr Longhurst told the Supreme Court in October Taufua had struggled to accept the death of her child.
"In the time leading up to the driving, the defendant had been displaying very aberrant behaviour ," Mr Longhurst said.
Chace Haas, 21, died in Gold Coast Hospital in August 2020.
He had lived his entire life using a wheelchair after breaking his neck in a car accident at just five months of age.
It would be extraordinary for a case that has been running since December 2022 to have a referral to the Mental Health Court at this stage, crown prosecutor Dejana Kovac said.
"It's a position that could have been avoided had these issues been sorted out earlier than yesterday at 4.58pm. The prolonged process has already had an impact on the families," Ms Kovac said.
Taufua - the mother of Brisbane Broncos forward Payne Haas and Gold Coast Titans rising star Klese Haas - was the crash's sole survivor.
Taufua was on parole at the time of the crash after being sentenced to nine months in prison for assaulting two security guards at The Star casino.
Justice Wilson said she would suspend Taufua's Supreme Court matter.
Taufua was remanded in custody and her case will return to the Supreme Court in February for an update on the Mental Health Court's progress.
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