A property settlement is a process which involves the division of assets between parties.
If you have separated with your partner you may be left wondering what your rights to the assets might be. You might be questioning what is involved and how our lawyers can assist you to reach a property settlement agreement.
Here at Matthews Folbigg Lawyers, the usual process to get your Property Settlement started is to meet with one of our lawyers who will work through 4 important steps with you.
Step 1: Work out the “Net Assets”
Working out the “net assets” involves listing the parties’ assets, liabilities, superannuation and financial resources to reach a net equity which we call “the asset pool”.
Step 2: Consider the “Contributions of each party
This step considers the “contributions” of each party. It includes financial contributions towards the acquisition of assets including the purchase of a home and mortgage repayments as well as non-financial contributions such as being the parent and homemaker.
For example, if one party has made significant financial contributions towards the asset pool or has come into the relationship already having owned property, it may be appropriate for this party receive an “adjustment” of the net asset pool in their favour.
Step 3: Consider the “Future Needs” of each party
This step provides consideration of a wide range of factors such as the age, health and income of the parties. It also provides consideration for the parent who will be the primary carer of any children that are under the age of 18.
For example, if one party will be tasked with the primary care of the Children for the foreseeable future and the other party therefore has an increased income earning capacity, it may be appropriate to “adjust” the asset pool slightly in favour of the person who will have the care of the Children.
Step 4: Consider whether the Outcome is “Just and Equitable”
The fourth and final step is to consider whether the outcome is “just and equitable”. This is done by our lawyers examining the unique circumstances of each of the parties and assessing what a fair or just outcome would be having regard to the length of the relationship, the contributions factors and the future needs considerations relevant to your matter.
Each matter is different in facts and circumstances. Therefore each outcome, as well as the “weight” given to the relevant considerations, can differ.
Finalising your Property Settlement
There are various ways to finalise your property settlement. Often it is possible to come to a property settlement agreement without going to Court. This includes Consent Orders being prepared and filed in Court without either party being required to attend at court.
Alternatively parties can reach their own agreement and record it in writing in a Binding Financial Agreement which is often called a BFA.
If no agreement can be reached, the matter can be litigated through the Court process and if no settlement can be reached along the way, a Judge will be required to determine the matter on a final basis.
Time Limitations
Finally, it is important to know that there are time limitations in which to commence property proceedings.
While there are exceptions, the general rule is that married couples have a time limitation of 1 year from the date that your Divorce Order comes into effect.
For de facto couples the time limitation is 2 years from the date of separation.
Remember each case is different. Here at Matthews Folbigg our lawyers will be able to advise you based on the facts that are relevant to your family circumstances.
For advice about negotiating a Property Settlement Agreement contact us on.
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Disclaimer
Family law situations can be complex and sometimes they can involve serious issues. Information outlined is proposed to provide general guidance only. Due to the seriousness of legal matters as well as the uniqueness of your individual situation, professional advice should be sought. For advice, please contact one of our Family Lawyers.
