Relationship property is something you need to be aware of

How did you spend Valentine’s Day? Whether you went on a date with a new flame, spent it with your partner, hung out with friends, or chilled at home with your cat, relationships can be complicated. If you’re starting or ending a relationship, or in a current relationship, relationship property is something you need to be aware of.

The Property (Relationships) Act 1976 (“the PRA”) is the key piece of legislation governing the rules of relationship property. It sets out that if you are married, in a civil union or in a de facto relationship, and have lived together as a couple for at least 3 years, there is a presumption of equal sharing of relationship property assets and debts.

When considering how to navigate separation, the first key step is to establish a relationship property pool.  Relationship property includes all property acquired during the relationship, such as the family home, vehicles, company shares and debts. The next step may be an exchange of proposals for the division of relationship property. If your separation is amicable, a relationship property agreement recording the agreed division of property can be prepared. The agreement must comply with several requirements under the PRA to be binding, such as each party receiving independent legal advice before signing.

If no agreement can be reached, attending mediation or Court proceedings may be necessary.

Advisme’s relationship property lawyers help clients navigate these complex and often stressful matters with solutions-focused advice and support. If you are thinking of separating or have separated from your partner and need advice, contact us.