Divorce and property settlement can be complex – emotionally and legally – so you’ll need a dependable lawyer on your side to guide you along the way.
At Lander Solicitors Queensland, we understand the nuances and challenges our clients face during trying times and the confusion of understanding the legal process. We hope to clear up any doubts you have as we guide you through what to expect during property settlement below.
Understanding property settlement
Property settlement is a crucial aspect of separation, involving a clear, legally binding division of assets, liabilities, resources, and superannuation entitlements between parties.
Not only does the process split the Property Pool and finalise the financial relationship between you and your partner, but it also proactively protects against future claims, so you can move forward without the fear of unexpected legal battles in the future.
This preventative aspect of property settlement is crucial because the Property Pool value is determined at the time of settlement, not separation. And without cutting financial ties, your partner may claim assets you’ve gained post-separation like inheritance or properties you own.
This means that everyone who has separated, regardless of how many assets they have, should seek advice about property settlement. In fact, navigating this process alone is one of the biggest mistakes you can make in separation.
The property settlement process
Here’s what to expect if you and your partner cannot reach an agreement outside of court:
- Identification of the asset pool: This includes all assets, liabilities, superannuation, and resources owned jointly or individually.
- Assessment of contributions: Contributions can be financial, non-financial, or as a homemaker and parent, and are evaluated for each party.
- Consideration of future needs: The court then evaluates the future needs of both parties. This includes considering factors such as age, health, earning capacities, and responsibilities towards the care of children. This step aims to ensure that the settlement accounts for the future welfare of both parties.
- Fair and equitable division: Finally, the court may decide to make some adjustments to ensure the settlement is just and equitable for both parties.
After settlement, what happens next?
Once a settlement is reached, the documentation phase begins. The process can take two paths:
- preparation of an Application for Consent Order and Minutes of Consent Order with the Federal Circuit and Family Court of Australia
- or via a Binding Financial Agreement (not registered with the Court).
Application for Consent Order
For those opting for a Consent Order, the Registrar examines the documents for fairness and equity, and upon approval, the parties proceed to implement the terms, such as transferring property ownership.
Note, the court charges a filing fee upon submission.
Binding Financial Agreement
After both parties sign the Agreement, alongside certificates verifying independent legal advice, the agreed terms can be put into action.
How long does the property settlement process take?
The property settlement process can vary, typically ranging from two to six months. However, factors such as the complexity of the asset pool, disputes over asset value, and external legal matters can extend this timeframe.
Engaging with a knowledgeable legal team can help streamline this process, ensuring resolution as quickly as possible.
How can I best prepare for the property settlement process?
Preparation is key to a smooth property settlement process.
Gather relevant documents such as:
- Tax documents
- Bank account details and statements
- Credit card statements
- Interests in shares
- Superannuation details and statements
- Details about business interests
- Loan agreements from third parties such as parents
- Employment contracts and payslips for both parties
- Debt statements like HELP and Centrelink debts
- accountant details for both parties
- List of assets, liabilities, and resources such as vehicles, property, businesses etc
We’ll also need personal details like:
- Your date of birth
- Your partner’s date of birth
- Your children’s dates of birth
- Date of marriage
- Date/s of separation and reconciliation during the relationship
- Date of final separation
Why choose Lander Solicitors Queensland?
Property settlement is rarely “simple”. We’ll help you close the previous chapter so you can look ahead to the next with confidence.
Our team is committed to providing guidance, support, and clarity through the complexities of property settlement. We’ll translate legal jargon, keep you informed every step of the way, advocate for your rights, and ensure you have the support and clarity to make decisions aligned with your future goals.
Get in touch with us today and book an initial consultation.
DISCLAIMER – The information provided in this blog is general and does not consider your individual legal needs or objectives. It does not constitute personal advice and is for informational purposes only. We recommend seeking out professional and independent legal advice from qualified Australian lawyer to advise on your individual situation before acting on any information contained below. Lander Solicitors Queensland accepts no express or implied liability for negligence or contractually for reliance on any information provided.