What Is a Fair Divorce Settlement in Australia? What Most Couples Experience

A divorce settlement is the process by which former spouses decide how their financial resources, assets, liabilities and other entitlements will be divided following the dissolution of their marriage. To get a fair divorce settlement, an application is submitted to the Family Court of Western Australia by a spouse with the help of separation lawyers. In this blog, we will discuss how the court distributes the property that falls under divorce settlement and spousal maintenance.

Will All My Property Be Assessed During My Divorce Settlement?

In legal terms, ‘fair’ settlement means ‘just and equitable’. This implies that it’s not about an equal division of property by default, but rather based on the circumstances, contributions, and future needs of both parties. According to the Family Law Act 1975 (Cth), all of your property will be subject to the settlement procedure except for the following conditions:

• If the couple already had a binding financial agreement that dealt with certain financial matters in case they separated. Examples include a prenup or prenuptial agreement. In that case, the court cannot use the laws applying to this act to distribute the properties stated in the agreement.

The Duty of Disclosure

You must help the court deliver a fair settlement order by disclosing all your relevant financial information completely. Disclosing the whole truth on time is a legal duty that starts when the case proceeding begins and continues until it ends. Failure to do this will adversely affect your divorce property settlement Perth in the following ways:

• Give the other party a bigger share of the property.
• Order the non-disclosing party to pay additional legal costs.
• Pause or completely dismiss the case.

Should I Have to Pay Money to Maintain my Spouse in a Divorce Settlement?

Your spouse does not automatically have a right to claim a settlement. However, the Family Court of Western Australia may approve the financial maintenance of your spouse if the following conditions are fulfilled:

Inability to Self-Support

If your spouse is unable to support themselves adequately due to certain situations. Those are:

• Caring for your child or children under 18
• Your spouse cannot get an adequate job due to age, physical inability and mental incapacity

Your Ability to Pay

Your ability to pay the maintenance and be reasonably able to do so is assessed by the court. In case you are bankrupt, your responsibility for spouse maintenance is not automatically lifted.

The court proceeds to look at your income and assets in the bankruptcy estate to see whether they could be legally transferred to meet the maintenance requirements. The amount of maintenance will be reduced or lifted only if you genuinely do not have any capacity to pay.

How are Matters Related to Property Settled During Divorce in WA?

According to divorce lawyers Perth WA, when a property ownership matter is to be considered in the Family Court of Western Australia, the main aim is to be equitable. This means its outcome should reflect fairness in all circumstances, not just mathematically. The aspects that are considered to determine that are stated below:

Financial Contributions

The salaries of each party are assessed, with the savings used to buy properties. Deposits and mortgage payments are seen. It doesn’t matter in whose name the property is registered; the court can change property ownership from one spouse to another according to circumstances.

Non-Financial Contributions

The efforts of the spouse in looking after the welfare of the family are considered. Managing any family business, investments, and running the household is treated as a real contribution.

Impact of Family Violence

If one spouse suffered family violence, how much that violence affected their life is considered. Loss of income and ability to contribute financially or non-financially due to the violence inflicted are assessed.

Effect of Proposed Orders On Earning Capacity

The court looks at whether giving ownership of a property to a spouse would harm or improve the spouse’s future ability to earn. This factor is especially screened if the settlement of spouse maintenance also applies.

What About Custody of Pets During Divorce Settlements?

A number of Australian households are owners of companion animals. So, if a dispute regarding a companion animal goes to court, they consider the following factors to determine the outcome:

• Whether any spouse has imposed violence on the pet
• The pet’s attachment to a spouse
• Who bought the pet
• Who maintained the well-being of the pet, which includes meals, grooming and shared activities

Conclusion

The estranged spouses can agree to a fair divorce settlement by considering all the following factors with the help of divorce separation lawyers in Perth. By applying for a consent order, they can solve it outside the court. However, in case of disputes, consulting a reputable law firm is necessary to properly present your circumstances in court for a fair settlement.