Different principles are applied in dividing the property based on the circumstances. For example, if one party contributed a large sum of money toward the purchase of the family home and the relationship came to an end within 3 years from the commencement, then the share of each spouse in the relationship property is to be determined in accordance with the contribution of each spouse to the de facto relationship or marriage.
If you don’t wish for that to occur then you will need to enter in a contracting out agreement (commonly known as a ‘pre-nup’). This is where the agreed terms, outside what is dictated by Law, are set out in an Agreement. Both parties must obtain independent legal advice for a contracting out agreement to be legally binding and enforceable.
For more information on separation and division of relationship property see our other articles linked here:
- Relationship property - an overview of the difference between Australia and New Zealand legislation.
- What is disclosure and why do I have to share it?
By Kim Crosby | Solicitor
The information contained in this article is provided for informational purposes only and should not be construed as legal advice on any subject matter.
