Our highly experienced Melbourne-based Family Law property settlement lawyers are here to guide you through property settlement with integrity and expertise. Our team collaborates with you to help you achieve efficient and fair outcomes for your family law property settlement matters.
We understand that property division can be challenging, especially when complex assets like businesses or family trusts are involved. Whether straightforward or more complex, our team is here to help you reach a balanced agreement with your ex-partner.
You can rely on our expertise to ensure you have the insights to make informed decisions for your future and take the best action regarding property settlements.
Our highly experienced team will guide you through your options and provide advice to ensure you can navigate the property division successfully after a relationship breakdown.
We work to create fair outcomes, employing collaborative law and mediation to reach amicable agreements where possible, minimising the need for court proceedings.
When married or de facto couples separate, property settlement generally occurs in the following months or years, depending on their circumstances. Some people may even choose to do it before officially separating, and others work with a family lawyer early on in the relationship to create a prenuptial or cohabitation financial agreement to address these matters preemptively.
The property settlement process involves dividing assets, debts and belongings to allow each person to move forward with clarity after the relationship has ended. Some people can negotiate with their former partner and have a property settlement lawyer finalise matters. In other cases, you may need to work with a Family Lawyer to assist with negotiations or represent them during legal proceedings if an agreement regarding property matters cannot be reached.
Learn more about property settlement in this short and informative video from Cassandra Rush, one of our experienced Property Settlement Lawyers.
There are different ways to negotiate and formalise a property settlement after a marriage or de facto relationship ends. The Family Law Act requires settlements to be ‘just and equitable’, which means fair to both parties.
The process may include:
Identify assets and debts, including all property, bank accounts, investments, and shared debts like mortgages or loans
Full and frank disclosure of all aspects of each party’s financial resources
Accurately assessing the value of assets, including real estate, cars, or collections
Determining who receives what, from property to household items and debt responsibilities
Documenting and legally finalising the agreement through financial agreements or consent orders, ensuring a transparent and fair outcome.
Transfer of any assets as per agreements made and any payments for any child support or spousal maintenance agreements to begin.
Whilst each settlement is unique, the Family Law Act focuses on an equitable split for both parties. This does not mean that both parties automatically get half of everything, and many factors are considered to ensure fairness for both parties. If you and your ex-partner can agree on an appropriate property settlement, you can have it finalised through a private agreement or by way of consent orders.
The general criteria for assessing the fairness of a proposed property settlement are:
Evaluate the entire property pool (debts, assets, gifts, inheritances) and the income of both parties
Looking at direct financial contributions towards the property pool
Non-financial contributions, such as maintaining the property, raising children or helping run a family business
Both parties’ future needs and ability to support themself going forward
There is no set ‘split’. Each matter is assessed based on a range of contributing factors, including the unique circumstances of the relationship.
In Australia, the majority of people resolve property settlements through mutual agreement, often with the support of legal professionals. Instead of going to court – which can be costly and stressful – couples usually negotiate directly or with the help of their lawyers or a trained mediator. These professionals guide the discussions, helping to reach a fair outcome for both parties.
Once an agreement is reached, it can be formalised in one of two ways:
Consent Orders: These are approved by the court, making the agreement legally binding without needing a court appearance.
Financial Agreement: Financial agreements are a private contract between both parties under the Family Law Act, making the settlement enforceable.
Both methods secure the arrangement, providing certainty and peace of mind while helping to avoid further disputes.
The property settlement pool in divorce or separation proceedings encompasses a broad range of assets, liabilities, property owned and financial interests. These may include:
Real estate and property interests: This includes the family home, any investment properties, and other real estate holdings owned by either party. It’s important to note that the value of these properties, including mortgages and any outstanding debts, will factor into the overall property pool.
Money and financial resources: This includes bank accounts, cash savings, and other liquid assets. It’s essential to consider all available funds and their sources when determining the property pool.
Investments: These can include shares, bonds, managed funds, and other financial instruments that either party holds. Business investments may also be included, and any investment returns or future capital gains should be considered.
Superannuation: Both parties’ superannuation entitlements (including funds from self-managed or SMSFs) are treated as assets in the settlement pool. These are divided based on their respective value and any relevant financial agreements.
Debts and liabilities: This encompasses any outstanding financial obligations, including credit card debt, personal loans, mortgages, and business debts. The responsibility for these debts is also part of the asset division.
Vehicles: Cars, boats, motorcycles, and other vehicles owned by either party are included in the settlement pool. Their value and any related loans or financial commitments should be considered.
Business assets and interests: If either party owns a business or has shares in a business, the value of these assets is included in the property pool. This may involve a detailed valuation process, especially in complex property settlements or where one party’s business interests are substantial.
Personal property: Items such as jewellery, artwork, antiques, and other valuable personal belongings are part of the property pool. While often harder to value, these assets should be accounted for, especially in high-value cases.
Other assets: This category includes any other property or financial assets not covered in the categories above, such as future inheritances, insurance payouts, or long-term investments.
All of these assets and liabilities need to be divided in a fair settlement that considers each party’s contributions, both financial and non-financial. Family law matters consider factors such as the length of the relationship, the role of each party (e.g., homemaker or breadwinner), and the future needs of each individual.
Seeking legal advice is essential to ensure a fair and equitable property division. A specialist family lawyer can help navigate the complexities of property disputes, complex property settlements, and financial settlements, ensuring that each party’s interests are represented and protected.
Preparing for a property settlement requires careful organisation and planning. Gather detailed documentation of all assets, liabilities, income, and expenses. Seek professional legal advice to understand your rights and obligations under the Family Law Act. Consider your future financial needs and desired outcomes, ensuring these align with a realistic and strategic settlement approach.
Property settlement in a divorce is calculated by assessing several factors, including each party’s contributions (financial and non-financial), current economic circumstances, and future needs. The process considers assets, liabilities, and financial resources to achieve a fair and equitable distribution. A legal professional can guide this analysis to ensure both parties’ unique situations are fairly represented.
Financial resources refer to assets and income streams contributing to an individual’s financial position. These can include salaries, savings, superannuation, investments, business interests, or any other financial holdings. Such resources play a critical role in property settlement, as they are factored into the equitable division of property and calculated when assessing each party’s financial capacity and ongoing needs.
Parenting and homemaker contributions are the things you do for your family that don’t involve receiving payments. This includes caring for the home, looking after the kids, childcare, emotional support, or other unpaid work. All of these contributions are considered when it comes to deciding how things get shared, especially when both parties have made multiple contributions to a relationship. Recognising and valuing these contributions is integral to achieving an equitable property settlement.
Indirect financial contributions are when you help improve the economic situation without directly giving money, for example, supporting your partner’s career, having a family loan that enables a home to be purchased or a business to be started, or managing the household income well.
In Australia, the duty of disclosure regarding property settlement refers to the legal obligation of both parties involved in a family law matter to provide complete and honest information about their financial situation. This duty is outlined in the Family Law Act 1975. During property settlement proceedings, each party must disclose all relevant financial details, including income, assets, liabilities, and financial resources.
The duty of disclosure aims to ensure transparency and fairness when reaching a property settlement. Failure to fulfil this duty can have serious consequences, and the court may set aside any agreement or order made if there’s evidence of non-disclosure or incomplete disclosure. Both parties must act in good faith and provide all necessary information to facilitate an equitable resolution.
Yes, time limits apply for finalising property settlements following the end of a relationship. Meeting these deadlines is crucial to avoid complications and ensure that financial matters are resolved smoothly and fairly.
For married couples, property settlement must be initiated within 12 months of the date the divorce becomes final. This ensures that any claims on assets, liabilities, or superannuation are addressed promptly.
For de facto couples, the timeframe is typically 24 months from the date of separation.
If you fail to act within these timeframes, you may require court permission (referred to as “leave of the court”) to proceed with your property settlement. This can be a complex and challenging process, with no guarantee of approval, so acting promptly is essential.
Seeking early legal advice from experienced property settlement lawyers can help you navigate these deadlines effectively. A legal professional can assist in preparing the necessary documentation, negotiating with the other party, and formalising agreements to avoid delays or missed deadlines. If the timeframe is approaching or has already passed, immediate action is recommended to explore your options and protect your rights.
Our family lawyers can guide you through the divorce process, providing expert advice and support in obtaining a divorce order, handling court applications, and ensuring a smooth, legally compliant divorce.
We offer experienced guidance in managing the legal complexities of de facto separation, helping you navigate property settlements, financial disputes, and parenting arrangements post-separation.
We provide comprehensive legal services for same-sex couples experiencing relationship breakdowns, including advice on property division, financial settlements, and parenting arrangements to ensure a fair and respectful resolution.
Our legal team can assist in applying for financial orders following separation or divorce, ensuring the fair division of assets, liabilities, and spousal maintenance to secure a fair financial outcome.
We offer legal support in drafting and reviewing financial agreements, ensuring clear terms regarding property division and financial matters during or after relationships to protect your interests and assets.
Our family law services can help you navigate child support arrangements, ensuring the proper calculation and enforcement of payments to meet your child’s needs and welfare in accordance with Australian law.
Please book an appointment with one of our experienced team members today or call us at (03) 9435 9044. We can advise you on the best path forward for property settlement during or after your relationship breaks down.
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Contact us today on (03) 9435 9044
8-10 Flintoff Street
Greensborough
VIC 3088
Email: mail@tonkinlaw.com
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