Property Dispute
1. Property Settlement
In Australia, property settlement aims to achieve a fair and equitable division of assets and liabilities between separating couples. The Family Law Act 1975 governs property settlements and provides a framework for the court to determine how to divide property.
2. Asset Pool
The first step in a property dispute is to identify and value all the assets, liabilities, and financial resources owned by the couple. This includes not only tangible assets like properties, vehicles, and bank accounts but also superannuation (pension) interests, investments, businesses, and any debts or liabilities.
3. Contributions
The court considers both financial and non-financial contributions made by each party during the relationship. Financial contributions may include income, savings, and assets brought into the relationship or acquired during the relationship. Non-financial contributions can include homemaking, child-rearing, and contributions to the welfare of the family.
4. Future Needs
The court also considers the future needs and circumstances of each party, including factors such as age, health, income, earning capacity, care of children, and financial resources. This step ensures that any property settlement takes into account the individual needs of each party moving forward.
5. Just and Equitable Outcome
The court aims to achieve a just and equitable outcome based on all the relevant circumstances. This does not necessarily mean an equal division of assets but rather a fair division considering the specific circumstances of the case.
6. Consent Orders
If separating couples can reach an agreement on property settlement, they can apply for Consent Orders. These are formal agreements that outline the agreed-upon division of assets and liabilities. Once the court approves the Consent Orders, they become legally binding.
7. Court Proceedings
If an agreement cannot be reached, either party can file an application with the court for property settlement. The court will then make a decision based on the evidence and submissions presented by both parties. The court has the power to make orders for the division of property, including the sale or transfer of assets and the settlement of debts.