Hand & Bodilly & Anor

The Family Court of Australia considered an application by Mr Hand (the respondent) to vary an existing spousal maintenance order made in favour of Ms Bodilly (the applicant). The proceedings had been ongoing for many years, with the original spousal maintenance order established in 2012 based on the applicant's health. The respondent sought a dollar-for-dollar reduction in his maintenance obligations, arguing that the applicant's eligibility for entitlements under the National Disability Insurance Scheme (NDIS) should offset his payments. The applicant opposed any alteration to the status quo pending a final hearing.

The court was required to determine two primary issues. Firstly, it had to consider the respondent's application for interim relief to reduce spousal maintenance, specifically addressing the impact of the applicant's NDIS entitlements. Secondly, the court needed to resolve objections raised by the applicant regarding the inspection of documents subpoenaed from her financial advisors and accountants, which she claimed were protected by legal professional privilege and litigation privilege.

Regarding the objections to the subpoenaed documents, the court applied the principles of confidentiality as outlined in the *Evidence Act 1995* (Cth) and relevant case law, including *New South Wales v Jackson* and the analysis of Megarry J in *Coco v A N Clark (Engineers) Ltd*. The court found that the documents, prepared for the applicant's legal advisors in contemplation of litigation, possessed the necessary quality of confidence and were imparted in circumstances importing an obligation of confidence. Consequently, the objection was upheld, and the documents were ordered to be returned to the applicant's solicitors.

In relation to the spousal maintenance, the court acknowledged the respondent's submission that his obligation of $3,505 per week should be reduced by the assessed NDIS entitlement of $105,554.25 per annum, resulting in a shortfall of $1,476 per week. However, the court noted that no NDIS funds had yet been received by the applicant. The court ultimately ordered that the existing spousal maintenance order be suspended and replaced with an interim payment of $1,600 per week, pending the final hearing scheduled for October 2018. All other interim applications were dismissed.