In family law property settlement it is possible and a person is encouraged to settle matters outside of court whenever possible. An agreement can be reached by people in order to decide how assets in the marriage will be divided. Ongoing contribution by one spouse to another may also be included in such an arrangement.
After a couple has divorced, or even before they divorce, their assets may be divided. The couple starts the process from the date of their divorce to divide their assets. If the assets are not divided within a limited time, the courts may chip in an ancillary relief. If a couple is unable to agree on the matter, an application can be made to the courts to issue an order.
With the assistance of a lawyer, couples are able to come to an agreement about how they are going to divide their assets. The agreement can be made binding and enforceable if the couple seeks a consent order. Tax benefits will also be available if a consent order is made.
The steps that are involved in dividing the assets of a divorcing couple are as follows. The assets will first of all need to be identified and valued. In addition, the financial resources and liabilities of the couple will also be identified. This is a simple task but if there are businesses involved, it can become quite complex.
The other step is to assess the contributions that have been made by each party during the relationship. Direct and indirect contributions will be assessed and this includes both financial and non-financial contributions. There are some circumstances that the court may find that the contributions made by the parties were not equal.
If one part entered the relationship having more assets compared to the other, is considered in a court. If the relationship lasted for a short time with no children, courts will focus more on direct financial contributions made by each party. Special skills that one party may bring into the relationship will be considered.
The future needs that all parties will then be considered and what the court will consider is the age and health of each party. Employment status is considered and the courts will also check the eligibility of the parties to get pension. Reasonable living standards will also be considered and the earning capacity of each party is also considered. In family law property settlement for proposed asset division is fair to all parties.