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De Facto Law Changes - March 2009
SMART SOLUTIONS. PERSONAL ATTENTION.
De facto laws have changed significantly. From 1 March 2009 the majority of heterosexual and same sex de facto couples now have their property and maintenance matters dealt with under the Family Law Act upon the breakdown of their relationship.
De facto laws have changed significantly.
Since 1 March 2009, property and maintenance disputes arising from the breakdown of de facto relationships (same and opposite sex) have fallen within the jurisdicton of the Family Law Act 1975, with rights and obligations similar to marriage relationships.
Before 1 March 2009, all de facto property matters were dealt with under state based law. Proponents of the changes to the law applying to de facto relationships declared them 'simpler, less costly and ... fairer'. Others have declared the changes to be unfair and more burdensome on casual relationships, and undermining of the institution of marriage.
The move to the federal jurisdiction is significant for all de facto couples. The Family Law Act has 'been amended to treat de facto couples much like marriages - whereas before March 2009 de facto partners had greater financial independence from each other, since the change, de facto couples need to be acutely aware of the legal significance of living together'.
Some of the major changes for de facto couples include:
De facto couples can now enter into pre-nuptial Financial Agreement equivalents (before, during and after the end of the de facto relationship) - which should attract the same level of legally binding status as the marriage equivalents. So whilst de facto parties are more finanically vulnerable to each other, they also have the ability to contract out or in to situations with greater legal certainty
The law applicable to de facto couples (if they haven't signed a Financial Agreement before or during their de facto relationship) and their property and maintenance issues upon the breakdown of their de facto relationship now allows for:
One person to claim spousal maintenance from the other
Superannuation can now be 'split' in favour of de facto partners
The principles applicable to a property division are potentially more generous to the less wealthy party
Mathews Family Law advises that 'the best way to have some control over how a financial settlement and maintenance issues might be dealt with at the breakdown of the relationship, is to get advice before commencing (or early in to) the de facto relationship. This way, our clients are informed early of the legal implications of their relationship and can make informed decisions along the way. By entering into Financial Agreements, de facto couples, like marriage couples, can agree before they commence their de facto relationship, or at any time during their relationship, how their property and maintenance issues will be dealt with upon the breakdown of their relationship'.
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