Auckland Relationship Property Lawyers – Five Key Ways They Help
Getting Help From Relationship Property Lawyers in Auckland
Relationship property lawyers in Auckland help couples dealing with the division of matrimonial property during separation or divorce. There are five main ways they help their clients.
- Explain the rights and obligations under the Property (Relationships) Act 1976.
- Help to identify and value the relationship assets.
- Negotiate a settlement including advising their client to accept a proposal.
- Represent their clients in court if necessary.
- Handle complex cases where family trusts or cross-border issues are involved.
Relationship property lawyers in Auckland can also help with pre-emptive work by drafting and reviewing relationship property agreements, including prenuptial or Section 21 agreements.
1 Explain the rights and obligations
It is very common for one or even both parties to try to gain a major financial advantage over the other side. This can be for many reasons ranging from revenge, spite, or simply wanting to make their future life as comfortable as possible. Whatever, that is not generally allowed under New Zealand law.
Under the Property (Relationships) Act 1976, for the most part, each side is entitled to 50% of the total relationship assets. The first task of the relationship property lawyer is to explain this to their client if the client believes that they are entitled to a bigger proportion.
Sometimes one partner may think that because they have earned more money that they are entitled to a bigger share.
Other times, a partner may feel that they are entitled to half of all of the assets of the former spouse.
Both of these are wrong views. If one partner had significant assets prior to the relationship, this can often be excluded from the settlement and only assets acquired during the relationship are to be divided equally.
The lawyers for both sides will explain this their respective clients.
2 Identify And Value Relationship Assets
When the client has accepted the meaning of relationship property, the lawyer will begin the process of identifying the joint assets. In most cases this is quite simple but in others, one side may have hidden away investments, cash, or other property. The lawyer will help identify, and then value those assets.
If a business is involved, the two sides may have quite different views on the value of that, but due diligence can come to a reasonable and fair valuation.
3 Negotiate A Settlement
Once the assets have been identified and valued, the lawyers can then propose a settlement. For example, not everything needs to be split equally. It is the total value of the relationship assets that need to be shared.
One side may want to stay in the current home so will swap the value of other assets equal to the half share of the home.
The lawyer can and will often advise their client to that it is their best interests to accept the proposal as it will save time and extra cost. Accepting a proposal will also bring about a closure to the process and enable both sides to begin their new lives.
4 Court Representation
Going to court for relationship property and a separation is the last resort and only happens when all other avenues have been exhausted. It is strongly advised to reach a settlement out of court.
One of the most common reasons for going to court for separations is around Care of Child, and associated issues. However, these are not strictly relationship property but generally the same lawyer will be experienced in both aspects.
5 Family Trusts Or Cross-Border Issues
The division of relationship property is more complex when a family trust is involved as the laws governing trusts are complicated.
Further, with Auckland’s increasingly diverse community, relationship property lawyers often deal with cross-border issues. This can be when one partner is living overseas, or where the couple owns assets in other countries.
There can also be cultural issues to navigate too.
Preventative Measures
It is a good idea that when a couple comes together, and are still very amicable with each other, that they discuss the concept of a pre-nuptial agreement. This will identify and layout the terms of a separation should one occur.
This may seem like it’s tempting fate but it is much easier to establish the ground rules when the relationship is a good one.
However, both sides must see separate lawyers to get advice on the proposal before agreeing to it to ensure that their rights and obligations are met.
Summary
For people who are separating. McVeagh Fleming has a team of relationship property lawyers in Auckland.