Section 75(2) Factors – What Are They?
If you are, or have been, involved in family law matters you may have heard of Section 75(2) factors. This section of the Family Law Act relates to adjusting a property settlement based on the contributions of the parties. It also considers factors which can “soften” the effect of looking at a property settlement.
The matters that are taken into account for the parties are:
- Age and health.
- Income, property, finances and ability to earn an income.
- Whether they are caring for a child under 18.
- Commitments relating to support of themselves, a dependent or other person.
- Eligibility for a pension, allowance or benefit.
- Where the parties have separated or divorced.
- The extent to which payment of maintenance could enabling further education and therefore increase their earning capacity.
- Effect of any proposed order on the ability of a creditor of a party to recover a creditor’s debt.
- Extent to which one party has contributed to the income, earning capacity, property and financial resources of the other party.
- How the length of the marriage affected the earning capacity of the party seeking maintenance.
- The need to protect a party who wishes to continue their role as a parent.
- Financial circumstances of any current cohabitation by either party.
- Orders made under Section 79 of the Family Law Act, if any. This section regulates how assets are to be divided.
- Any child support that one of the parties is liable for.
- Any fact or circumstance which the court feels needs to be taken into account for reasons of justice.
- The terms of any financial agreement binding on the parties to the marriage.
Section 75(2) Factors – What Do They Mean for You?
But what do the factors mean for you if you are going through a separation? Your contribution to the relationship is a common factor that might affect your property settlement. Whether there are children and who has care of them can also be considered. However there are many factors that the Court will take into consideration when deciding who gets what portion of the assets.
It is therefore important to note that property settlements can become quite complex. As you can see, the Section 75(2) factors that the Court takes into consideration are extensive. Furthermore there can be many that apply to you, yet not all of them will.
Seeking Legal Advice
If you are involved in property settlement please get in touch. We can explain how your circumstances fit into the law. In addition we can advise what results you might expect if the matter went to Court. We can also advise how to reasonably approach negotiations. Please do not hesitate to contact us. We can arrange an obligation-free first consultation to talk about your situation.