VIC Divorce Property Settlement Post Separation

[bob jones]

Hi - I have a few quick questions.

Can I start divorce property settlement before the 12 months is up post separation?

My ex wants to buy me out of house. Does she have to give me half the valuation of the property or just half the equity in the property?

Is property still split 50/50 if she has the kids or I can only expect about 35%? All assets were purchased jointly during the marriage.

During the marriage, a relative on her side who I no longer have contact with loaned us money. There was no written agreement. Am I required legally to pay them back?

 

[AllForHer]

I believe you can commence a property settlement at any time following separation, especially where agreement has been reached about distribution of assets.

Whether your ex gives you half the valuation or the equity is a matter for you to discuss with your ex, as I believe it can be either by agreement. The same principle applies to your question about the 50/50 split. If there's agreement, it can be any percentage you agree to.

As for the loan of money, it's difficult for the court to enforce repayment where the contract was only verbal and not in writing anywhere in the past.

Just for interest's sake, the court would use a four-step process to decide the property settlement, if you asked it to do so. This process is as follows:
1. What is the total value of the asset pool, including assets and liabilities?
2. What is the total contribution of each party, including both financial and non-financial contributions?
3. What are the future needs of each party, such as costs associated with caring for children, whether either party has fewer employment prospects due to periods of family care or similar, etc.?
4. Is the settlement just and equitable?

There's no set formula, but a good place to start is at 50/50 and then work out the additions or losses from there. For example, if your ex has care of the kids, she may be entitled to a slight adjustment in her favour, and if your ex has a reduced employability after having cared for the kids for a long period, another slight adjustment might be made in her favour.

It depends entirely on your circumstances, of course, but a 35/65 split is generally only awarded where the contribution, financial or non-financial (such as housekeeping) of one party is significantly higher or lower than the other. Where it's not 50/50, most property settlements end up being around the 45/55 mark. As I said, though, it's entirely dependent on your circumstances, and there's no formula to decide how property settlement should be made.