Cirillo & Cirillo (No. 3)

Case [2021] FamCA 572


FAMILY COURT OF AUSTRALIA

Cirillo & Cirillo (No. 3) [2021] FamCA 572

File number(s): SYC 4192 of 2020
Judgment of: HARPER J
Date of judgment: 9 August 2021
Catchwords: FAMILY LAW – INTERIM SPOUSAL MAINTENANCE AND LITIGATION FUNDING – Where enormous property pool and financial resources – Where husband concedes wife’s entitlement to partial property settlement and litigation – Where husband contends assets subject to debt financing arrangements which prevent payment to the wife at present – where evidence that husband has access to significant financial resources in Australia and Country H application granted.
Legislation: Family Law Act 1975 (Cth) ss 79 and 117
Cases cited:

Bing & Bing (2007) FLC 93-318

Strahan & Strahan (interim property orders) (2011) FLC 93-466

Number of paragraphs: 35
Date of hearing: 28 May 2021
Place: Sydney
Counsel for the Applicant: Mr Campton SC
Solicitor for the Applicant: Marsdens Law Group
Counsel for the Respondents: Mr Todd
Solicitor for the Respondents: Boyce Family Law & Mediation

ORDERS

SYC 4192 of 2020
BETWEEN:

MS CIRILLO

Applicant

AND:

MR CIRILLO

First Respondent

MR BIRD

Second Respondent

MR TOBLER

Third Respondent

ORDER MADE BY:

HARPER J

DATE OF ORDER:

9 AUGUST 2021

THE COURT ORDERS THAT:

1.That within Twenty-One (21) days from the date of these Orders:

(a)Pursuant to Section 79 and Section 80(1) of the Family Law Act 1975 (Cth), and pending further order, the Husband pay or cause to be paid to the Wife a sum of $1,000,000.00 by way of partial property settlement; and

(b)Pursuant to Section 117 of the Family Law Act 1975 (Cth), the Husband pay or cause to be paid a sum of $500,000.00 into the trust account of the solicitors for the Wife, to be applied to her legal costs and disbursements in connection with these proceedings.

Note:   The form of the order is subject to the entry in the Court’s records.

Note: This copy of the Court’s Reasons for judgment may be subject to review to remedy minor typographical or grammatical errors (r 17.02A(b) of the Family Law Rules 2004 (Cth)), or to record a variation to the order pursuant to 17.02 Family Law Rules 2004 (Cth).

IT IS NOTED that publication of this judgment by this Court under the pseudonym Cirillo & Cirillo has been approved by the Chief Justice pursuant to s 121(9)(g) of the Family Law Act 1975 (Cth).

REASONS FOR JUDGMENT

HARPER J:

  1. These are property settlement proceedings after a final separation between the parties on 22 June 2020 after 45 years of marriage.

  2. Ms Cirillo is the Applicant Wife (“the wife”). She is currently 69 years old. Mr Cirillo is the Respondent Husband (“the husband”). He is currently 74 years old.

  3. According to the Wife’s Further Amended Initiating Application filed 6 November 2020 and the Husband’s Amended Response filed 7 January 2021, it is common ground that the parties agree on an equal division of the property pool. There is however a dispute about which party should retain RR Street,…

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AGLC
Cirillo & Cirillo (No. 3) [2021] FamCA 572
Case
[2021] FamCA 572
Decision Date

CaseChat Overview and Summary

In *Cirillo & Cirillo (No. 3)*, Harper J of the Family Court of Australia considered an application by the wife for interim spousal maintenance and litigation funding against the husband. The dispute arose within the context of significant property and financial resources, where the husband acknowledged the wife's entitlement to a partial property settlement and litigation funding. However, the husband contended that existing debt financing arrangements prevented the immediate payment of these sums, despite evidence of his access to substantial financial resources both in Australia and overseas.

The primary legal issues before the court were whether to grant the wife's application for interim spousal maintenance and litigation funding, and if so, the appropriate quantum and timing of such payments, notwithstanding the husband's claims regarding debt financing. The court was required to assess the husband's capacity to pay and the wife's need for financial assistance to continue the proceedings and maintain herself.

Harper J reasoned that the husband's concessions regarding the wife's entitlement and his acknowledged access to significant financial resources weighed heavily in favour of granting the application. The court applied the principles of the *Family Law Act 1975* (Cth), specifically sections 79 and 80(1) concerning property settlement and maintenance, and section 117 regarding costs. The court found that the husband's financial position was such that he could meet the wife's interim financial needs, and that the debt financing arrangements did not wholly preclude him from making the ordered payments.

Accordingly, the court ordered that within twenty-one days, the husband pay $1,000,000.00 to the wife by way of partial property settlement and $500,000.00 into the trust account of the wife's solicitors for her legal costs and disbursements.

Orders

Orders of the court

SYC 4192 of 2020

BETWEEN:

MS CIRILLO

Applicant

AND:

MR CIRILLO

First Respondent

MR BIRD

Second Respondent

MR TOBLER

Third Respondent

ORDER MADE BY:

HARPER J

DATE OF ORDER:

9 AUGUST 2021

THE COURT ORDERS THAT:

1. That within Twenty-One (21) days from the date of these Orders:

(a) Pursuant to Section 79 and Section 80(1) of the Family Law Act 1975 (Cth), and pending further order, the Husband pay or cause to be paid to the Wife a sum of $1,000,000.00 by way of partial property settlement; and

(b) Pursuant to Section 117 of the Family Law Act 1975 (Cth), the Husband pay or cause to be paid a sum of $500,000.00 into the trust account of the solicitors for the Wife, to be applied to her legal costs and disbursements in connection with these proceedings.

Note: The form of the order is subject to the entry in the Court’s records.

Note: This copy of the Court’s Reasons for judgment may be subject to review to remedy minor typographical or grammatical errors (r 17.02A(b) of the Family Law Rules 2004 (Cth)), or to record a variation to the order pursuant to 17.02 Family Law Rules 2004 (Cth).

Background

Background to the litigation

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Evidence

Evidence Before The Court

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Decision

Reasons for decision

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Ratio Decidendi

Legal Principle Established

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