Gipps & Ning [2023] FedCFamC2F 325

Gipps & Ning [2023] FedCFamC2F 325

Relationship Details

• Type: Marriage
• Duration: At least 8 years. The couple married in 2009, separated in September 2015, and divorced in July 2018.
• Ages at Judgment: Husband 57 years old, Wife 50 years old

Children

• Children from Relationship: Two children, X and Y, aged about 15 and 12.
• Special Needs: The younger child has ongoing medical needs.

Initial Financial Positions

• Husband:

  • Owned a property at H Street, Suburb J, ACT, valued at about $400,000 around the time of marriage, and a property in Suburb K, ACT, valued at $380,000 in 2009, both encumbered by loans.
  • Professional in the technology sector, earning over $100,000 annually.

• Wife:

  • Share portfolio worth approximately AUD $69,000.
  • Employed in a technology-related full-time job until the birth of their first child.

Contributions During the Relationship

• Financial Contributions:

  • Husband was the primary income earner, supporting the family financially.
  • The wife's share portfolio provided additional income for the family.
  • In terms of property, husband solely controlled the financial decisions concerning acquisition and sales.

• Non-financial Contributions:

  • Wife was the primary homemaker and caregiver for the children.
  • Involved in all household duties and care of the children with limited help from the husband.

Post-Separation Contributions and Actions

• Financial Contributions:

  • Wife purchased a house in Suburb N with money from her sister: about $73,000 was a gift, and the rest a genuine loan.
  • Husband sold properties and retained proceeds without sharing with the wife.

• Non-financial Contributions:

  • Wife continued as the primary caregiver.
  • Undertook full-time study post-separation to improve her qualifications, with minimal support from the husband.

Current Financial Position & Property Pool

• Assets:

  • Wife's house in Suburb N valued at $900,000 with a debt to her sister amounting to $639,785.
  • Husband retained a property in Suburb C, bought in 2017 for $737,000 and valued at $1,070,000, with a mortgage of $387,476.

• Superannuation:

  • Husband: Accumulation fund worth $232,984 and a pension fund.
  • Wife: Superannuation funds valued at $118,729 combined.

• Property Pool: About $1,794,165, including real estate, superannuation, share portfolios, and other assets.

Assessment of Contributions and Future Needs

• Contributions:

  • Husband's initial substantial contribution offset by wife's contributions during and post-relationship.
  • Court adjusted 7% in favour of the husband for initial contributions but made a 15% adjustment in favour of the wife for future needs.

• Future Needs Considerations Include:

  • Wife’s continued care for children and reduced earning capacity.
  • Husband’s higher earning capacity and access to superannuation pension.
  • Wife’s financial uncertainty due to the younger child's ongoing medical needs.

• Final Division: 58% ($1,040,616) awarded to the wife and 42% ($753,549) to the husband.

Unique Aspects

• The husband's proposal to allocate nearly all assets to himself was deemed unreasonable.
• Wife's post-separation liabilities include a substantial loan, contrasted with husband's financial resources.
• Husband’s credibility issues influenced the court’s findings.

Summarised outcome

• To conclude the division, the husband is ordered to pay the wife $189,346, encompassing property settlement and costs, and will retain the remaining balance of assets, including superannuation.

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.