Essendon and Foley (Child support)

The matter of *Essendon and Foley* concerned an application for a departure determination under the *Child Support (Registration and Collection) Act 1988* (Cth). The applicant, Essendon, sought to have the assessed child support payable to Foley varied, arguing that Foley had no earning capacity. The decision was made by W Kennedy M.

The primary legal issue before the Court was whether the ground for departure, specifically the lack of earning capacity of the liable parent, was established. This required the Court to consider the provisions of the *Child Support (Registration and Collection) Act 1988* relating to departure determinations and the assessment of a parent's income, property, and financial resources.

The Court found that the ground for departure was established. The reasoning focused on the fact that Foley had no earning capacity, which is a recognised ground for departure under the Act. Having established this ground, the Court was empowered to set aside the existing assessment and substitute a new one.

The Court set aside the previous departure determination and substituted its own orders, reflecting the finding that the ground for departure had been made out due to the applicant's lack of earning capacity.