A recent Full Court of the Family Court decision has reinforced two really important principles of property settlement in Family Law, and ones that are particularly important to women:
- A Court must not under value the importance of homemaking and parenting as a contribution, even when that contribution is being made during periods of separation or after the relationship ends.
- A Court must properly take account of the financial impacts of family violence if relevant
In Whiton & Dagne, the Full Court found that a primary judge had made an error by not taking account of the financial and physical support the de facto wife in that case had given to the parties’ children during many separations they had because of the husband’s violent behaviour.
He also made an error by giving all the credit for the acquisition of a property to the husband. The Trial Judge found that the property was purchased by the husband using the proceeds of a property previously owned by him and on which he payed the mortgage, and that the wife had made no contribution to it. The Full Court found this was wrong. The parties had been together for 5 years at the time of purchase, during which they had two children (and the wife was caring for them) and the wife had worked. The Full Court found her contribution in terms of income, homemaking and parenting was ignored by the Trial Judge, and this error needed to be corrected.
They also found that the Trial Judge made an error when he gave credit to the husband for helping the wife pay debts she had incurred while living apart from the husband, which related to expenses for her and the children.
While these aren’t new principles, it is good to see the Full Court clearly saying that contributions to the family during a period of separation are relevant to a property settlement. This means that parents who continue caring for children during separations, leaving the other parent free to do other stuff, aren’t penalised for this.