DE FACTO RELATIONSHIPS - HOW A COURT DECIDES PROPERTY ADJUSTMENT ORDERS

After a Defacto relationship has ended, a Defacto spouse may apply to the Court for an Order adjusting interest in the property of either or both of the Defacto spouses. The Application may be for the benefit of either or both of the Defacto spouses or a child of the Defacto spouses.

For a definition of Defacto spouse and Defacto relationship refer to Information Sheet Number 14 entitled "Defacto Relationships in Queensland, Australia - The Important Facts You Need to Know".

In making a Property Adjustment Order the Court must make an Order that is just and equitable between the Defacto spouses. In determining what is just and equitable the Court must consider the following matters:

Financial and non-financial contributions made directly or indirectly by or for the Defacto spouses or a child of the Defacto spouses to:

	The acquisition, conservation or improvement of any of the property of either or both of the Defacto spouses; and
	The financial resources of either or both of the Defacto spouses.

The Court must also consider the contributions including any homemaking or parenting contributions made by either of the Defacto spouses to the welfare of the family.

The Court must also consider the effect of any proposed Order on the earning capacity of the Defacto spouses.

The Court must also consider various other matters to the extent that they are relevant in deciding what Orders adjusting property interests are just and equitable. Some of these matters that the Court must further consider include:

	The age and state of health of each of the Defacto spouses;
	The income, property and financial resources of each of the Defacto spouses and the physical and mental capacity of each of them for appropriate gainful employment;
	Whether either of the Defacto spouses have the care of a child of the Defacto spouses who is under the age of 18 years;
	The Court must also consider the commitments of each of the Defacto spouses necessary to enable the Defacto spouse to support himself or herself and a child or another person whom the Defacto spouse has a duty to maintain;
	The Court must also consider the responsibility of either Defacto spouse to support another person;
	· The Court must also consider the eligibility of either Defacto spouse for a pension allowance or benefit etc;
	The Court must also consider what standard of living is reasonable for each of the Defacto spouses in all circumstances;
	The contributions made by either Defacto spouse to the income and earning capacity of the other spouse;
	The length of the Defacto relationship;
	The extent to which the relationship has effected the earning capacity of each of the Defacto spouses;
	If either of the Defacto spouses are cohabiting with another person, the Court must consider the financial circumstances of the cohabitation;
	The Court must also consider any payments provided for the maintenance of a child in the care of either Defacto spouse;
	The Court must also consider any other factor or circumstance which the Court considers the justice of the case requires to be taken into account.

It is important to note that a party to a proceeding for Property Adjustment Orders must fully disclose the parties relevant financial circumstances.

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