Reviewing the Various Aspects of Property Settlements
If you are married and have separated, at some point in the process, you will need to divide your property as well. A property settlement includes a couple’s assets, liabilities, and other financial resources. The financial resources may include superannuation, investments, and/or pensions. Other items in a property settlement include:
- Jointly-owned assets
- Business interests
- Family trusts
- Assets before the commencement of the relationship
- Assets obtained after the separation
Besides the division of the financial resources and assets between the two parties, liabilities are divided as well. Liabilities include loans, debts, and tax obligations. All the liabilities are considered in a settlement, whether they are held jointly, or in the name of one of the parties.
How Property is Divided in Australia
Contrary to popular belief, Australian law does not allow that the division of property be distributed 50/50. Neither is there any rule of thumb on how the courts will divide the properties between the two parties. Instead, the court will review the facts of each case, based on its own merits, then make an order that they consider proper in each case’s situation. You can find out more about division by referring to such sites as http://www.cgfamilylaw.com.au.
In terms of division, a property settlement, for example, may be allocated 60/40. In this scenario, the wife receives 60% whilst the husband receives 40%. If the net property pool was $400,000 then (for total assets + financial resources – liabilities), the wife would get $240,000 whilst the husband would receive $160,000.
Assets Are Specified and Distributed Accordingly
The court normally specifies which assets each of the parties will retain, or whether any of the assets should be sold. The court will also direct whether one party must pay a cash adjustment amount to the other party in order to obtain the state percentage for the property division.
How a Family Lawyer Can Help
As you can see, the division of the marital assets and financial resources can become complicated. That is why you should seek the services of a family law lawyer. Besides deciding on the property settlement during a separation, lawyers also assist by providing other services. These services include mediation, filing applications in the family court and federal circuit court, preparing children’s issues and parenting orders, creating prenuptial agreements and binding financial agreements, and preparing urgent recovery orders.
In many family law cases, mediation is necessary to resolve certain matters in dispute. These matters may include property settlement issues or issues associated with the children in a marriage. Most parties who engage the services of a mediator ask for legal advice about their rights and obligations in this regard. In turn, a legal team will represent your interests and advise you through the process. If you do reach an agreement during mediation, all the necessary documentation can be registered in the family court.
If children are involved in the legal dispute, then applicants must fulfil prescribed pre-filing processes as well as ensure the court that they tried to come to a resolution before filing applications legally.