Why earning capacity matters during divorce
Why is earning capacity important? Read on to learn more about reasons for loss of earning capacity and who can get affected in divorce.
If you are divorcing or separating with substantial assets, a family-owned business, a family trust or other complex assets, you will likely need experienced and specialised legal expertise. As a high-net-worth individual (HNWI), divorces can be complex and typically need an expert, strategic approach.
At Australian Family Lawyers, we provide tailored legal solutions for high-net-worth individuals or those who are facing a complicated separation. You’ll need a client-focused approach to ensure your assets and future financial security are safeguarded and that your disputes are handled with discretion. That’s where we come in.
What makes high-net-worth divorces & separations unique?
High-net-worth separations and divorces can present unique challenges – both legal and financial. These challenges are best handled by an expert who specialises in resolving complex divorces and separations.
While real property is the main asset in most divorce settlements, these complex matters may involve (among others):
1. Complex asset portfolios
- Business interests, company ownership, partnerships, trusts, or shareholder
arrangements - Disputes arising from complex legal or financial structures with other parties
- Self-managed superannuation funds (SMSFs)
- Extensive real estate holdings, including international property
- Extensive investment portfolios
2. Prenuptial or postnuptial agreements
- Enforcing or contesting a prenuptial or postnuptial agreement (also known as
a binding financial agreement or BFA) - Negotiating and drafting BFAs
- Addressing asset protection for second marriages or blended families
3. International considerations
- Dealing with jurisdictional challenges when assets or parties are overseas
- Handling cross-border financial settlements and tax implications
- Managing foreign trusts or offshore investments and property
Complex or high-net-worth separations can also bring up issues of privacy and
confidentiality. Our team can handle your divorce with discretion and media-sensitivity.
Our expertise in high-net-worth family law matters
With decades of experience, Australian Family Lawyers is a trusted partner for HNWIs who can benefit from expert legal help in complex family law matters. When you work with AFL you get a team provides you with:
- Extensive and specialist experience in all high-net-worth matters, including
complex property settlements and business valuations. - A strategic approach to negotiations and managing conflicts that promotes
collaboration and secures favourable outcomes. - Expert financial partnerships with forensic accountants, valuers, tax
specialists and more. - Tailored legal solutions that meet your unique financial and personal needs.
Our lawyers work collaboratively with leading financial professionals Australia wide to
assist all our HNWIs throughout a divorce or separation. We help navigate high-value
asset disputes and work to get you the best results for your situation with discretion and
privacy as our top priorities.
Our tailored services for HNWIs
Our comprehensive suite of family law services are tailored to HNWIs, including:
- Property settlement
- Asset protection
- Prenuptial and postnuptial agreements
- Child support
- Custody arrangements
- Spousal maintenance
…and more.
Tailored Solutions for Complex Family Law Matters—Call NowCommonly asked questions about high-net-worth separation
Typically a high-net-worth divorce is where the net worth of the couple is over $5 million, including the family home, and the couple earns over $250,000 per year. We have however extensive experience in matters involving hundreds of millions.
A high-net-worth case does tend to take longer to resolve than your typical divorce settlement, both in and out of court. This is usually due to the length of time it takes to identify and value the asset pool.
Our team can help you get temporary orders put in place that can manage some of the issues, such as spousal support or child custody
Many high-net-worth divorces are quite public. This is particularly true for public figures or celebrities, or people that are very wealthy. Section 121 of the Family Law Act prohibits the publication of any divorce proceedings where the parties are identifiable.
Property settlements follow the same process whether individuals are HNWIs or not. Most separating couples will typically split their assets upon separating. If the parties can’t agree on how to split the assets, they’ll first attend mediation or another form or alternative dispute resolution to try to come to an agreement. If that doesn’t work, the Family Court can work out a property settlement on behalf of the parties.
More HNW divorces will involve the Court system. This is due to the complexity in identifying and valuing the property and assets in these cases. However, once the property is identified and valued, the process of marital property settlements remains the same.
1. Identify and value the marital property.
2. Assess the contributions – both financial and non-financial – of each party.
3. Make a future needs adjustment, as necessary.
4. Negotiate and attend mediation, as necessary.
5. Finalise the agreement, or make consent orders, and divide the property.
There is no rigid formula for how a property settlement is decided. Every case is decided on its own merits.
Relevant Free Resources
Read more about divorce and separation in Australia.
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How to protect your assets in a divorce: 11 top legal tips
Read our top 11 tips to help you protect your assets in a divorce in Australia with practical advice from our legal team.
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Dividing property after divorce and de-facto separation?
In this guide, we explain the process of dividing your assets in the eventof separation and divorce.
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Financial settlement after separation: 3 of the most important legal matters
In this article, we’ll explore three types of financial settlements after separation and some paramount legal considerations for them.
About Australian Family Lawyers
Our team of dedicated family lawyers are committed to the swift and dignified resolution of your de facto separation. We know how tough this time is on you, and we are here to offer support, guidance, and industry-leading representation during your separation.
Speak With a High Net Worth Divorce Lawyer Near YouFamily Law Firm of the Year
We are proud to announce we have been named as a finalist in the Australian Law Awards for Law Firm of the Year for 2020, 2021, 2022 and 2023.
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