Separation is a challenging time, and dividing assets can be one of the most complex aspects of the process. Understanding your legal rights and responsibilities can help you navigate this period with clarity and confidence. At Digital Age Lawyers, our experienced family lawyers in Sydney provide expert guidance to ensure a fair and legally sound outcome.

How Are Assets Divided in NSW?

In Australia, there is no automatic 50/50 split of assets following separation. Instead, asset division is determined based on what is “just and equitable” under the Family Law Act 1975. Factors that influence the division include:

• The financial and non-financial contributions of each party.
• Each person’s future needs, including income, health, and care responsibilities of any children under the age of 18.
• The length of the relationship and any impact on career or earning capacity.

What Assets Are Included in the Division?

All assets and liabilities acquired before, during, and even after separation may be considered in a property settlement. This includes:

• Real estate (family home, investment properties, and any property held interstate or overseas).
• Bank accounts, shares, and investments.
• Superannuation.
• Vehicles, jewellery, and personal belongings.
• Businesses that you own and operate.
• Debts and liabilities (including mortgages, loans, and credit card debts).

Steps in Reaching a Property Settlement

The property settlement process involves several steps:

• Identifying all assets and liabilities – A full financial disclosure is required. Generally, you will be required to produce documents dating back at least 12 months prior to separation. Rule 6.06 of the Federal Circuit and Family Court of Australia (Family Law) Rules 2021 details the type of documents required when exchanging your financial disclosure documents.
• Valuing the assets – This may involve property valuations, financial assessments, or expert advice. This is important if you do not agree with any value of an asset and mainly applies to real property and businesses that you own or operate.
• Considering contributions and future needs – Courts assess both financial and non-financial contributions, as well as any future needs factors. For further information as to the types of factors assessed, see section 75(2) of the Family Law Act 1975 (Cth).
• Negotiation and settlement – Many cases are resolved through mediation or lawyer-assisted negotiation.
• Seeking court orders – If an agreement cannot be reached, an application can be made to the Family Court for a legally binding decision.

Do You Have to Go to Court?

Not all separations require court involvement. Binding Financial Agreements (BFAs) or Consent Orders allow couples to formalise asset division without litigation. These agreements must be fair and legally sound, ensuring that both parties understand their rights before signing.

Time Limits for Property Settlements

Strict time limits apply to commencing proceedings in the Federal Circuit and Family Court of Australia for property settlements:

• Married couples must apply within 12 months of finalising their divorce.
• De facto couples must apply within 2 years of separation.

If these deadlines are missed, special permission from the court is required to proceed with a claim. It is also no guarantee that a court will grant such permission.

How Digital Age Lawyers Can Assist

Yes, you can file for divorce either jointly or individually.

• A joint application is signed and submitted by both parties.
• An individual application requires you to serve divorce papers on your ex-partner.
• If your ex-partner is overseas, additional legal steps apply.

Given the complexity of legal requirements, seeking advice from experienced divorce lawyers in Sydney can help avoid delays or errors in your application.

How Digital Age Lawyers Can Help

At Digital Age Lawyers, we provide expert legal assistance in:

• Negotiating property settlements.
• Drafting and reviewing Binding Financial Agreements.
• Applying for Consent Orders or Court Orders if needed.
• Protecting your financial interests during separation.

Get Legal Guidance for a Fair Settlement

Navigating the division of assets after separation requires careful consideration and expert legal support. Our dedicated family lawyers in Sydney are here to help ensure a fair and legally compliant outcome.

Contact Digital Age Lawyers today for tailored advice on your property settlement.

(02) 8858 3211 | info@digitalagelawyers.com