Ekrem & Ekrem [2024] FedCFamC2F 310

16 May 2024

Ages: Husband (53), Wife (44)
Relationship: 21-year marriage
Children: 2 (one adult; one aged 7)
Asset pool: $4,013,952.96 non-superannuation plus $343,593 superannuation (two pools)
Division: Non-superannuation pool 58% to the wife, 42% to the husband; superannuation split of $29,903 to the wife

Ekrem & Ekrem [2024] FedCFamC2F 310

Relationship Details

  • Type: Marriage
  • Duration: Approximately 21 years, married in 2001, and separated on 17 March 2021.
  • Ages at Judgment: Husband 53 years old, Wife 44 years old.

Children

  • Children from Relationship: Two children, one an adult and self-supporting, the other aged 7.
  • Special Needs: The younger child has special needs.

Initial Financial Positions

  • Husband:

    • Introduced several properties to the marriage, which now make up approximately 26% of the net non-superannuation pool.
  • Wife:

    • Brought in a modest number of assets.
    • Both parties had beneficiary loan accounts with the family trust and the property trust.

Contributions During the Relationship

  • Financial Contributions:

    • Husband: Significant as he introduced several properties.
    • Additionally, purchased a property for the wife during a separation in 2004/2005.
  • Non-financial Contributions:

    • Wife: Primary carer for the children, especially the younger child, who has special needs.
    • The court found both parties worked very hard to preserve and build their asset base.

Post-Separation Contributions and Actions

  • Primary Caregiver:
    • The wife remained the primary carer for the younger child, affecting her ability to work.

Current Financial Position & Property Pool

  • Net Non-Superannuation Pool: $4,013,952.96

  • Superannuation Pool: $343,593.00

  • Husband's Income: Operating 'M Business' with a taxable income of approximately $103,000.

  • Wife's Income: Reduced to about $28,000 in 2023; expected to rise to about $39,000 a year with rent from her retained properties, plus government benefits and child support.

Assessment of Contributions and Future Needs

  • Contributions:

    • Assessed at 55/45 in the husband’s favour, largely because of his initial property contributions, resulting in assets valued at $2,207,674.13 to the Husband and $1,806,278.83 to the Wife—a differential of $401,395.30.
  • Future Needs Adjustments:

    • Adjustment of 13% in favour of the wife, considering income disparity and her role as primary caregiver for a child with special needs.
    • Final division of non-superannuation assets at 58/42 per cent in favour of the wife.
  • Monetary Adjustment:

    • Wife entitled to a superannuation split of $29,903 and total net assets valued at $2,328,092.72; requiring a cash adjustment of $695,966.22 from the husband, inclusive of money owed to her by the property trust.

Unique Aspects

  • Significant dispute over real estate contributions initially made by the Husband.
  • Assessments heavily influenced by the long-term caring burden carried by the wife for their child with special needs.
  • The court adopted a two-pool approach, treating superannuation separately so that the wife would leave the marriage with a reasonable superannuation base.

The law since this decision

This case was decided before 10 June 2025. From that date the Family Law Act 1975 (Cth) sets out the steps for a property settlement in s 79(3) to (5), and the court must consider the effect of family violence on each party's contributions (s 79(4)(ca)) and on their current and future circumstances (s 79(5)(a)), and any material wastage of property (s 79(5)(d)). In Western Australia, a property case between married couples is decided under that Act in the Family Court of Western Australia. A case between de facto partners in Western Australia is decided under the Family Court Act 1997 (WA), which has not adopted those 2025 changes.

Citation: Ekrem & Ekrem [2024] FedCFamC2F 310

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