ARTICLE - Property settlement under the Family Law Act?

The Family Court - and its accompanying Act - has wide powers to enforce property orders. One of the underlying principles asks what is 'fair and equitable' in each case. The court usually goes through a three-step process in deciding an appropriate property settlement. This may involve:

• compiling an inventory of the matrimonial property, together with values of individual assets
• considering the contributions made by each party
• considering the present and future needs of the parties.

• assets owned at the date of marriage
• financial contributions during the marriage, eg wages, gifts and inheritances
• work done on a property, eg renovating
• building and running a business
• contributions as homemaker, eg cooking
• contributions as a parent, eg bringing up children, involvement in schooling etc.

In many cases, the contributions to the needs of each party include:

• age and health
• ability of each party to support themselves
• either party having the care of children
• circumstances of cohabitation with a new partner
• entitlements to superannuation.

For example, a court might make an order that a wife be entitled to 60 per cent of the property or more, on the basis that she has the care of two young children even though the past contributions might be considered to be equal. In other cases, a wife might receive a greater share of the property, to 'balance' the superannuation entitlements of the husband.

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Contact Kerrisons for more information relating to property settlement
under the Family Law Act: Phone 02 4655 7066 or email us today.