Navigating the Complex World of Matrimonial Property Division in New Zealand
When a marriage or de facto relationship comes to an end in New Zealand, one of the most challenging aspects to resolve is the division of matrimonial property. Matrimonial property, also known as relationship property, refers to the assets and debts acquired by either or both partners during the course of their relationship. Family lawyers NZ play a crucial role in guiding clients through this complex process, ensuring that their rights and interests are protected.
Understanding the Property (Relationships) Act 1976
The primary legislation governing matrimonial property division in New Zealand is the Property (Relationships) Act 1976. This Act provides a framework for the fair and equitable distribution of assets and liabilities between partners when their relationship ends. As stated in the Act:
“The purpose of this Act is to reform the law relating to the property of married couples and civil union couples, and of couples who live together in a de facto relationship.”
NZ family lawyers and family court lawyers are well-versed in interpreting and applying the provisions of this Act to ensure that their clients receive a just and equitable share of the relationship property.
Equal Sharing Principle
The Property (Relationships) Act 1976 is based on the principle of equal sharing. This means that, in most cases, the relationship property should be divided equally between the partners upon separation or divorce. However, there are some exceptions to this rule, such as when one partner has made a significantly greater contribution to the relationship property or when there are extraordinary circumstances that would make equal sharing repugnant to justice.
Family law solicitors and attorneys work closely with their clients to assess the unique circumstances of their case and determine whether any exceptions to the equal sharing principle may apply.
Identifying Relationship Property
One of the first steps in the matrimonial property division process is identifying which assets and debts are considered relationship property. Generally, relationship property includes:
- The family home and any other real estate acquired during the relationship
- Furniture, appliances, and other household items
- Vehicles and boats
- Bank accounts, investments, and superannuation schemes
- Businesses and professional practices
- Any debts incurred during the relationship
Separate property, such as assets owned before the relationship began or inheritances received during the relationship, may not be subject to division. However, if separate property has been intermingled with relationship property or used for the benefit of the relationship, it may become subject to division. A skilled family lawyer in NZ can help clients navigate these complexities and protect their separate property where possible.
Resolving Disputes Through Negotiation, Mediation, or Litigation
When partners cannot agree on the division of their relationship property, they may need to seek the assistance of a family lawyer or law firm. In many cases, disputes can be resolved through negotiation or mediation, where both parties work with their respective legal representatives to reach a mutually agreeable settlement. This approach can be less time-consuming, less expensive, and less stressful than going to court.
If negotiations or mediation fail, the matter may need to be resolved through litigation in the Family Court. In this case, a judge will hear evidence from both sides and make a decision based on the principles of the Property (Relationships) Act 1976 and the specific circumstances of the case. While litigation can be a more costly and adversarial process, it may be necessary when partners cannot reach an agreement on their own.
For those facing matrimonial property division, seeking the advice and representation of an experienced family law solicitor is essential. These legal professionals can provide the guidance, support, and advocacy needed to ensure a fair and just outcome.
To learn more about matrimonial property division and other aspects of family law in New Zealand, consider subscribing to Naomi Cramer’s YouTube channel, where she shares valuable insights and advice on a range of family law topics.
No solicitor-client relationship is created by this article. The author and owner shall not be liable for your reliance on the information contained in this article. Readers should obtain their own independent legal advice.
