Davalos & Davalos & Ors

In *Davalos & Davalos & Ors*, Johnston J of the Family Court of Australia considered a property settlement dispute between a husband and wife who had been married for approximately 52 years. The wife's father had provided accommodation for the parties for most of their marriage, and the wife had received significant, though unquantified, income from her father. The wife had also gifted approximately $800,000 to the parties' children without the husband's consent. The husband had benefited from various sums, including superannuation, share sale proceeds, and a rental benefit.

The court was required to determine the appropriate division of the parties' property and superannuation, taking into account their respective contributions and future needs. A key issue was the husband's application for a declaration pursuant to s 78 of the *Family Law Act 1975* against the second respondent concerning shares in C Pty Ltd, which the second respondent sought to have summarily dismissed.

Johnston J found that the overall contributions to the marriage were 55 percent by the wife and 45 percent by the husband. The court determined that a $64,250 adjustment in favour of the husband was appropriate, considering relevant s 75(2) matters. The husband's application for a declaration under s 78 was dismissed. The court ordered that the wife receive 55 percent less $64,250 and the husband receive 45 percent plus $64,250 of the available property and superannuation. Specific orders were made regarding the distribution of funds from a joint controlled money account, the transfer of the wife's interest in Davalos Pty Limited to the husband, and indemnities concerning tax liabilities and a debt owed by the husband to the wife. The orders were not to commence operation until 3 September 2015.