A very recent Full Court of Australia family law case looked at how an inheritance should be treated in family law matters, that is upon the breakdown of a marriage.[br][br]
In this case the husband inherited $2,810,000 of a total asset pool of $5,602,225. [br][br]
When the matter first came before the court, the property including the inheritance was divided so the husband received 52% and the wife received 48%.[br][br]
The husband appealed to The Full Court.[br][br]
The husband and wife had an 11 year relationship with one child. [br][br]
The wife had two children of a prior relationship who lived with the parties.
Both parties worked throughout the marriage.
The parties each made initial financial contributions.
The wife owned a property that was acquired for $555,000 and sold for $955,000 post-separation.[br][br]
The husband had real estate investments and an interest in a trust.[br]
The husband purchased an interest in his future inheritance being a property of his mothers that would pass to the husband and his sister. The mother held a life interest.[br]
Despite the mother holding a life interest in the property the husband and wife spent $1 million improving the property. The wife contributed $150,000 towards the renovations. [br][br]
The trial judge found that the husband made inadequate, false and misleading disclosure and that he was not forthcoming in giving information on the financial history of the parties even though he had been in control of those matters.
The appeal was dismissed.[br][br]
This blog is not intended as legal advice. If you want to know how your inheritance might be treated in family law matters you should seek legal advice from a very experienced family lawyer in a well established family law firm.