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VIC Federal Circuit Court - De Facto and Property Settlement Dispute?

Discussion in 'Family Law Forum' started by andre nikatina, 29 September 2015.

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  1. andre nikatina

    andre nikatina Active Member

    29 September 2015
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    I am in a bizarre situation. I was in a de facto for 4 years, split up about a year ago, and the house was in partner's name and a factory was on mine. Both properties have been sold. The situation was/is, the partner denies the de facto, which is really ridiculous because the proof and evidence is beyond abundant. But because of that I was forced to initiate proceedings for property settlement in the Federal Circuit Court. I lodged a caveat on the property and just prior to it selling, a judge ordered an amount be put into trust until the court decides what to do with it.

    Now the dilemma, the factory has just sold and likewise the ex decided to get a caveat out on it. Problem is the equity was all the money I had left after spending a lot on legal fees lately, needless to say the judge decided to hold all the equity in trust until our case is decided by a judge. And only next August is the hearing to see if there was a de facto or not, so my funds will be frozen for well over a year.

    My question is, since my ex is challenging the de facto and by doing so challenging the court's jurisdiction, what happens to the 2 lots of funds in trust if I was to discontinue my application? Am I correct to assume the court would then have no jurisdiction over our dispute and could not divide any property? And would the funds frozen be returned to each party and that's that?

    Also would the ex then prior to the funds being returned have time and be able to have a change of heart and issue de facto proceedings against me and have the funds stay where they are until the resolution? Or would it be a new case and they would have to make new applications for interlocutory orders, etc?

    Thank you in advance for anyone who can shed some light on this, I assume, rather unusual scenario.
  2. Therese

    Therese Well-Known Member

    11 October 2015
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    Hi Andre,

    My understanding is that when funds are frozen, there are conditions in which you can still access necessary funds i.e. for business or prevent bankruptcy. Has this not occurred with the trusts?

    My suggestion would be to contact legal aid or a lawyer and ask them. This link my be helpful: Get Connected with the Right Lawyer for You

    I imagine not being able to access funds for over a year to be very impractical!

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