Family law
Property settlement lawyers in Melbourne
Mazzeo Lawyers advises on the division of property after a marriage or de facto relationship ends, from its Melbourne office and for clients throughout Victoria. The work covers identifying and valuing the asset pool, assessing contributions and future needs, negotiating a settlement, and formalising the agreement so that it binds both parties. The firm acts for clients in negotiation, at mediation and in court.
A property settlement turns on the circumstances of the relationship, not on a formula.
The Family Law Act 1975 (Cth) sets out the matters a court considers, and parties who negotiate work through the same matters. Many settlements come about through negotiation or mediation and never reach a hearing.
The settlement
What a property settlement decides
A property settlement decides who keeps what once a relationship has ended. It covers the assets and liabilities either party holds, in joint or sole names, and in most cases superannuation, which the Act treats as property even though a member cannot access it until retirement. The settlement stands apart from divorce, parenting arrangements or spousal maintenance, although the parties commonly deal with these matters at the same time.
Whether the parties married or lived in a de facto relationship, the approach to dividing property is broadly the same. The outcome depends on the length of the relationship, what each party brought into it and contributed during it, and what each will need afterwards. No rule gives each party half.
Time limits apply. A married couple generally has 12 months from the date a divorce order takes effect to apply to the court for a property settlement, and a separated de facto couple generally has two years from the date of separation. The court may grant leave to apply out of time in some circumstances, but leave is not automatic, so understanding your position well before a limit approaches matters.
The asset pool
The questions a settlement turns on
Full and frank disclosure
Both parties must disclose their financial circumstances in full: property, bank accounts, superannuation, shares, vehicles, income, interests in companies or trusts, as well as debts including loans or credit cards. A court may later set aside a settlement reached on incomplete disclosure.
Valuing what is disputed
Where a value is in dispute, the parties may need an independent valuation, particularly for real property, a business or an interest in a company or trust. The date of valuation and the basis of valuation are commonly in dispute.
Superannuation
Superannuation forms part of the pool. The parties can divide it by a splitting order or by agreement, or leave it with the member and balance it against other assets, depending on what the overall division requires.
Contributions and future needs
Contributions include money brought in or earned, work done on property or in a business, and the years spent as homemaker or parent across the whole relationship. Future needs cover age and health, the care of children, as well as each party’s capacity to earn an income.
The process
Reaching an agreement and making it binding
01
Exchange of financial information
A property matter commonly begins with each party setting out their assets and liabilities, with the documents that support them, and their income. The exchange is the foundation of any negotiation, and gaps in it commonly become the main point of dispute.
02
Negotiation
Once the parties know the pool, they or their lawyers negotiate a division. Offers take account of the matters a court would consider, which is why advice on the likely range of outcomes comes before the first offer.
03
Mediation
In property matters, the court expects the parties to make a genuine effort to resolve the dispute before anyone commences proceedings. Mediation is the usual way to do so, and it can take place before or after proceedings have begun.
04
Consent orders or a financial agreement
An agreement between the parties does not bind them until they formalise it. They do so through consent orders made by the court, or through a financial agreement that both sign after each has received independent legal advice.
05
Court proceedings
Where the parties cannot agree, either may apply to the Federal Circuit and Family Court of Australia. The court works through the same matters the parties have negotiated over and decides on the evidence.
Our approach
How Mazzeo Lawyers approaches property settlements
Mazzeo Lawyers is a Melbourne litigation practice. Its Principal, Nick Mazzeo, began practising law in 1994, and the firm acts in family law matters before the Federal Circuit and Family Court of Australia. Every matter the firm acts in receives the time and personal attention of an experienced lawyer. We take the time to understand your situation before advising on a course of action.
Legal costs depend on the nature, complexity and scope of the matter. We explain the applicable fee arrangements and provide costs information in accordance with our legal obligations before commencing substantive work. All enquiries are handled in strict confidence, and an initial conversation does not commit you to anything.
Where a settlement involves a family trust or a business, the Family Law page sets out how the firm approaches those interests.
Property settlement questions
Common questions about property settlements
Do we have to go to court to settle property?
No. Many property settlements come about through negotiation or mediation, and the parties then formalise them by consent orders or a financial agreement. Court proceedings are the course where the parties cannot agree, or where a time limit is approaching.
Can we agree on a division between ourselves?
You can, but the agreement does not bind either party until you formalise it. Until then either party can seek a different outcome, and a lender or superannuation fund will not act on an informal arrangement. Consent orders or a financial agreement give the agreement legal effect.
Is superannuation included in a property settlement?
Yes. The Family Law Act 1975 (Cth) treats superannuation as property, so it forms part of the pool. Parties can split it between them or balance it against other assets, depending on the overall division.
What happens to the family home?
The home is one of the assets in the pool. Depending on the circumstances, the parties may sell it and divide the proceeds, transfer it to one party with an adjustment elsewhere in the settlement, or keep it for a period, for example while children finish school. The right course depends on the whole settlement rather than on the house alone.
How long does a property settlement take?
How long it takes turns on whether the parties can agree, how complete and prompt the financial disclosure is, and whether the parties need valuations. Where negotiation succeeds, the parties formalise the agreement within months. A matter that proceeds to a final hearing takes considerably longer.
Contact Mazzeo Lawyers
Discuss your property settlement
If you would like to understand your position after separation, arrange a confidential discussion about your matter. An initial conversation does not commit you to anything.
Mazzeo Lawyers is located at Level 8, 256 Queen Street, Melbourne VIC 3000.
