Property Settlements and Family Law: Are you running out of time?
Putting your property settlement plans on hold may be a mistake for those parties who have already been separated or divorced for some time. Find out why.
Amidst the economic uncertainty we currently face, it may be tempting to put your plans to reach a property settlement with your ex-partner on hold. However, this may prove to be a mistake for those parties who have already been separated or divorced for some time.
The Family Law Act 1975 sets out strict time limits as to when a person may commence property settlement proceedings. In some respects, this is a good thing because it provides certainty for parties post-separation, allowing them to move on with their lives without the ongoing risk of having to divide their assets at some point down the track.
Conversely, these time limits may be detrimental to a party who may not be aware of these limitation periods and decides to hold off on commencing legal property settlement proceedings. No two separations are the same and often people may have an informal agreement in place, or they may not realise they are entitled to a portion of the property pool. Furthermore, financial situations change and years may go by before a person may require spousal maintenance.
Time limitations for Marriages
Under Family Law, married couples must be separated for 12 months before they may apply for Divorce. After the Divorce is granted, the parties only have 12 months to commence property settlement proceedings.
Time limitations for De-Facto Couples
De-Facto couples must commence property settlement proceedings within two years after separation.
Out of Time Applications
In certain cases, it may be open for parties to seek leave to bring an Out of Time Application. The Court must be provided with a good reason to grant this leave, such as the Applicant being subject to hardship should leave not be granted, or a reasonable explanation for the delay in commencing proceedings.
While legal expenses can be costly and your financial situation difficult, we recommend speaking with a Family Law Solicitor about your situation so that you know where you stand in relation to the time limits that apply to your relationship.
Contact property settlement solicitors in Nambour at Butler McDermott Lawyers Sunshine Coast for legal advice and services pertaining to your specific situation.
This article is not intended to advise you in relation to your specific circumstances and should be used as a general guide only.