Asset Division in Family Law
The client is undergoing a separation after a long-term relationship and is located in New South Wales, Australia. They are living separately from their ex and share assets including real estate, vehicles, and personal belongings. The client has attempted to communicate with their ex regarding asset division but has been unsuccessful, and there are no existing legal agreements pertaining to these assets. There are children involved, and the client plans to reside in one of the shared properties while seeking full custody. Additionally, one of the properties is currently rented.
Questions about this case
These answers have been verified by a lawyer in the LEAP networkHow can I initiate the process of dividing our assets legally?
To initiate the process of dividing assets legally, consider applying for a property settlement through the Family Court of Australia. This involves filing an application for consent orders if both parties can agree, or initiating proceedings for a court order if not. Given your situation, it is advisable to seek legal advice from a family lawyer to understand your entitlements and draft necessary documents. Ensure all shared assets are documented accurately.
What factors will the court consider when dividing our assets?
The court will consider several factors when dividing your assets under the Family Law Act 1975. These include the duration of your relationship, contributions from both parties, the future needs of each party, and the care and welfare of your children. Additionally, the court will evaluate the current and future financial resources of both parties.
How does the Family Law Act impact the division of our assets?
The Family Law Act 1975 sets out the principles for dividing property in a separation, focusing on just and equitable distribution. This does not mean an equal split but considers factors like financial and non-financial contributions, future needs, and the welfare of any children involved.
Are there any tax implications I should be aware of when dividing our assets?
When dividing assets during a separation in Australia, there are potential tax implications to consider. Capital Gains Tax may arise if you sell shared properties, although certain exemptions apply if the property is transferred between spouses as part of a family law settlement. It's advisable to seek advice from a tax professional to understand your specific situation.
What can I do if my ex refuses to negotiate or communicate about asset division?
If your ex-partner refuses to negotiate about asset division, you can apply to the Family Court for a property settlement order. The court will assess your application, considering factors such as the length of the relationship and contributions made by each party.
