Murillo & Murillo

Case

[2021] FamCA 326

24 May 2021


Details
AGLC Case Decision Date
Murillo & Murillo [2021] FamCA 326 [2021] FamCA 326 24 May 2021

CaseChat Overview and Summary

In *Murillo & Murillo*, Altobelli J considered an application by the wife for interim spousal maintenance, specifically to cover the mortgage repayments on the former matrimonial home, known as the Suburb K property. The parties had been married from 2006 to 2017 and had two children. The wife, aged 43, was unable to support herself financially and relied on rental proceeds from the Suburb K property to live, having not met the mortgage repayments since vacating the property. The husband, aged 40, had re-partnered and had another child, and contended he lacked the capacity to pay. A significant issue in the proceedings concerned the alleged depletion of the marital asset pool by the husband, with the wife claiming between two and three million dollars had been dissipated, including a substantial loan to the husband's current partner for a home.

The primary legal issues before the Court were whether it had the power to make the orders sought by the wife, and if so, whether interim spousal maintenance should be ordered to cover the mortgage on the Suburb K property. The Court determined that the wife's application, despite its framing, was best characterised as an application for interim spousal maintenance under sections 72, 74, and 75 of the *Family Law Act 1975* (Cth), given the submissions of both parties and the nature of the orders sought concerning need and capacity to pay.

Altobelli J reasoned that the husband had a responsibility to pay the mortgage on the Suburb K property, drawing adverse inferences from the husband's inadequate financial disclosure. The Court found that the husband had historically paid the mortgage until May 2018 and that the wife was reliant on the rental income from the property for her living expenses. The Court concluded that the husband had the capacity to pay, despite his claims to the contrary, particularly in light of the significant sums of money that had moved out of the business and the loan provided to his current partner.

The Court ordered that the husband be responsible for paying the mortgage repayments on the Suburb K property. Specifically, within 14 days of the orders, the husband was to pay any outstanding arrears on the relevant loan accounts. Furthermore, from the date of the orders, the husband was to pay the mortgage repayments as and when they fell due, or any shortfall, to Company E Loans.
Details

Areas of Law

  • Family Law

  • Equity & Trusts

Legal Concepts

  • Injunction

  • Jurisdiction

  • Remedies

  • Constructive Trust

  • Fiduciary Duty

  • Procedural Fairness

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