Merrill and Burt

This matter came before Berman J concerning property settlement claims between a husband and wife under the *Family Law Act 1975* (Cth). The dispute involved the division of various assets and liabilities, including real estate, company shares, and significant taxation liabilities.

The court was required to determine the terms of a final settlement between the parties. Specifically, the court needed to address the payment of a substantial settlement sum by the husband to the wife, the transfer of a property known as the L Street property, the wife's responsibility for significant taxation liabilities owed to the Australian Taxation Office concerning several entities, and the transfer of shares in CPL Pty Ltd. The court also had to consider the wife's right to retain certain assets, including CPL Pty Ltd, and the husband's right of first refusal and option to purchase specific properties owned by CPL Pty Ltd.

Berman J ordered that the husband pay the wife a settlement sum of $614,197 within 45 days, contemporaneously with which the wife would transfer her interest in the L Street property to the husband. The wife was also ordered to sign a settlement agreement with the Australian Taxation Office for liabilities totalling $2,513,773 across various entities and to indemnify the husband against any taxation liabilities arising from these entities. The husband was directed to withdraw caveats lodged against the wife's or CPL's real property, and certain individuals were ordered to transfer shares in CPL Pty Ltd to the wife. The wife was to retain CPL Pty Ltd, subject to the husband's first right of refusal and option to purchase specific properties at pre-determined values, which were to be discharged within 18 months. The wife was to retain other specified assets, including the balance of proceeds from the sale of 5 M Street, her German motor vehicle, and personal belongings. The husband was to retain the L Street property (subject to the settlement payment), his 4WD vehicle, and personal belongings. The wife was to retain funds from VCAT proceedings, and the husband was restrained from making any claims in relation to them. In the event of default in the settlement sum payment, the L Street property was to be sold, with proceeds applied first to sale costs, then encumbrances, and finally to the outstanding settlement sum and default interest, with any balance paid to the husband's solicitors. The husband was also ordered to transfer his shares in OPL Pty Ltd and units in the 6 M Street Unit Trust to the wife. Finally, a Registrar of the Court was authorised to execute any necessary documents on behalf of either party if they failed to do so, pursuant to s 106A of the Act. All other extant applications were dismissed.