What You Need to Know About Matrimonial Assets?

In a family law property settlement, the asset pool is the total net value of all matrimonial assets. This pool will include assets, liabilities and superannuation interests in the name of both parties, in the name of either party and that are under the control of one party.

Identifying the assets that are `matrimonial’ or `relationship’ and so available for distribution between a separating couple is an important and sometimes complex step in a property settlement. If you and your spouse or de facto partner cannot agree as to what assets are matrimonial or relationship, the Court will have to decide this.

How Does the Court Divide the Matrimonial Assets?

The Court must make an Order that it considers is fair and reasonable in all of the circumstances. Once the Court has found out what assets there are to distribute, they will look at the contributions made by each of the parties towards getting, maintaining and conserving them. The Court will essentially use a 3-step process in working out how to distribute marital assets:

1. It will consider the value of all of the assets and any liabilities and find what is left after the payment of those liabilities.
2. The Court will look at the contributions made by each party towards getting and looking after the marital assets. There are 3 things they consider here:

· Direct financial contributions.

· Non-financial contributions made either directly or indirectly on behalf of the party to the marriage or a child of the marriage, such as repairs and maintenance of the home.

· Contributions to the families’ welfare, including any contribution made in the capacity of a parent and/or homemaker.

3. Finally the Court must look at the factors set out in section 75(2) of the Family Law Act 1975 (Cth) which looks at the needs of the parties. This includes things like the amount of time for which each will have the care and control of a child or children under the age of 18, the health and mental capacity of each of the parties and their ability to find employment, and the effect that any proposed order will have upon the earning capacity of each party. The Court can attach as much weight to those factors as it thinks is appropriate in the circumstances.

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Alternatively, you can email us at info@straitslawyers.com or call at 08 8410 9069 to find out more.

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Please note that this article does not constitute legal advice and Straits Lawyers will not be legally responsible for any actions you take based on this article.