De-Facto: Property Settlement when you are not married
Property settlement is often associated with divorcing couples, but what about unmarried partners? Unmarried couples in Australia still have rights and obligations when it comes to dividing their assets. In this blog, we'll explore the key aspects of property settlement for unmarried couples in Australia, including rights, challenges, and steps to take.
In Australia, property rights for unmarried couples are governed by the Family Law Act 1975, specifically under Part VIIIAB for de facto relationships. According to the Act, a de facto relationship is defined as two people who live together in a genuine domestic partnership, regardless of gender.
However, to qualify as a de facto relationship, certain criteria must be met, though not all are required. These include:
living together for at least 2 years - which does not necessarily mean living in the same house; or
having a child together; or
being registered under state or territory law; or
making significant contributions to the relationship.
In deciding the above criteria a Court will consider a number of factors such as:
the relationship's duration;
public acknowledgment;
sexual involvement;
financial arrangements; and
commitment to a shared life.
What are the next steps?
Seek Legal Advice: Meeting with a family law solicitor who specializes in property settlement for unmarried couples can provide invaluable guidance and support throughout the process.
Document Contributions: Keep detailed records of financial and non-financial contributions made by each partner during the relationship, as this information will be crucial during property settlement negotiations.
Negotiate Amicably: Whenever possible, try to negotiate a fair property settlement agreement through mediation or alternative dispute resolution methods to avoid costly and time-consuming court proceedings.
Formalise Agreements: Once an agreement has been reached, formalise it in writing with the assistance of legal professionals to ensure its enforceability and legality.
Seek Court Intervention if Necessary: If disputes cannot be resolved through negotiation, seeking court intervention may be necessary.