Gangemi and Shahani & Anor

In the matter of *Gangemi and Shahani & Anor*, Hogan J of the Family Court of Australia considered a property settlement dispute between the wife (Ms Gangemi) and the husband (Mr Shahani), who was in partnership with the Second Respondent. The central conflict revolved around the husband's interest in a partnership that operated a business. The husband proposed selling his partnership interest to the Second Respondent, a proposal supported by the Second Respondent but opposed by the wife, who initially sought for the husband to retain his interest. Alternatively, the wife sought the sale of the interest with the proceeds transferred to her. The court also addressed an application by the wife for a departure from a child support assessment, which was dismissed due to the anticipated financial uncertainty following the property settlement.

The primary legal issues before the court were how to achieve a just and equitable property settlement, specifically concerning the valuation and disposition of the husband's partnership interest, and how to address the wife's child support application in light of the property settlement. The court was required to determine the notional add-back of drawings taken by the husband for the purpose of valuing the parties' property and to establish a division of the net proceeds from the sale of the husband's business interest.

Hogan J reasoned that the husband's interest in the partnership was to be sold, with the proceeds first applied to discharge a business loan secured over the former matrimonial home. Following this, the matrimonial home was to be transferred to the wife. The remaining sale proceeds were to be divided, with the wife receiving 60 per cent of the total property pool (inclusive of superannuation interests) and the husband receiving 40 per cent. The court also made specific orders regarding the husband's superannuation interests, including a splittable payment to the wife and a restraint on the husband making certain death benefit nominations that could diminish the value of the wife's entitlement. The court dismissed the wife's application for departure from the child support assessment due to the uncertainty surrounding the parties' future financial circumstances.