WA Property Settlement After Divorce - Will House in My Name Stay Mine?

[June]

My husband and I are separating. The house is in my name. He is bankrupt, but that ends in May 2015. I need to know if he is entitled to half in a property settlement when we divorce?

He was bankrupt when I purchased it. I also have two children aged 16 and 13.

 

[Sophea]

Hi June,

There is no automatic right or entitlement to "half" when it comes to separation or divorce settlements. Generally what you each take away from the marriage is what you agree or negotiate between yourselves. Couples who are unable to agree on a property settlement, may need to go to mediation and if that fails seek the court's intervention to divide their assets.

In circumstances where a bankrupt party is involved, the bankruptcy trustee may be included in the case, if the court believes that the bankrupt's creditors could be affected by the property or maintenance orders. When determining the appropriate division of assets, a court will consider the competing rights of the creditors and the non-bankrupt partner.

I would seek personalised legal advice on this one as it is a fairly complicated area of law.