WAMSLEY & LOMBARD

This matter concerned an application by the de facto wife for an alteration of property interests pursuant to section 90SM of the *Family Law Act 1975* (Cth). The dispute involved the division of assets and liabilities between the de facto husband and wife, including interests in real estate investments and shares. A key issue was whether the application was made within the two-year time limit prescribed by the Act following the end of the de facto relationship. The court also considered the treatment of debts incurred for legal fees by both parties.

The court was required to determine whether the de facto wife's application was validly made within the statutory time limit. It also had to decide how to treat the significant legal debts incurred by both parties, specifically whether these debts should be recognised and factored into the property settlement or disregarded. The court's determination on these issues would dictate the final division of the parties' property interests.

The court ordered the de facto husband to pay the de facto wife a sum of $96,665, after a set-off of $1,000 for costs payable by the wife. The wife was to retain her interest in a specific property, her motor vehicle, and her superannuation entitlement. The husband was to retain his interest in another property, his motor vehicle, and his share portfolio and other investments. The court also made specific orders regarding the wife's entitlement to a portion of the husband's superannuation from a particular fund, calculated on a base amount of $30,000. Each party was otherwise to retain property in their possession and be solely liable for their respective debts and liabilities.