Property Division in New Zealand
Understanding relationship property laws and division principles
Relationship Property
Property acquired during the relationship
- âĸ Family home
- âĸ Household chattels
- âĸ Income earned during relationship
- âĸ Savings and investments
- âĸ Superannuation schemes
- âĸ Debts incurred for relationship property
Separate Property
Property owned before relationship or acquired separately
- âĸ Property owned before relationship
- âĸ Gifts or inheritance to one partner
- âĸ Personal effects
- âĸ Property acquired after separation
- âĸ Compensation for personal injury
- âĸ Property subject to succession rights
Equal Sharing
Relationship property is generally divided equally between partners
- â 50/50 split is the starting point
- â Applies regardless of who earned more
- â Includes both assets and debts
- â Covers all forms of property
Contributions
All contributions are valued equally
- â Financial contributions
- â Non-financial contributions
- â Homemaking and childcare
- â Property maintenance and improvement
Compensation
Adjustments for extraordinary circumstances
- â Unequal contributions to separate property
- â Economic disadvantage from relationship
- â Extraordinary contributions
- â Debts and liabilities
Division Process
1
Identify Property
List all assets and debts
- âĸ Compile asset register
- âĸ Obtain property valuations
- âĸ Identify separate vs relationship property
- âĸ Calculate net worth
2
Negotiate Settlement
Attempt to reach agreement
- âĸ Direct negotiation
- âĸ Mediation services
- âĸ Collaborative law process
- âĸ Legal representation
3
Court Application
Apply to court if no agreement
- âĸ File court application
- âĸ Serve documents
- âĸ Attend court hearings
- âĸ Receive court orders
Relationship Factors
- â Length of relationship
- â Nature of relationship
- â Children from relationship
- â Living arrangements
- â Financial arrangements
Property Factors
- â When property was acquired
- â How property was acquired
- â Use of property
- â Contributions to property
- â Property improvements
Understanding Property Division
The Property (Relationships) Act 1976
This Act governs property division for:
- Married couples
- Civil union partners
- De facto relationships (3+ years or with child)
Key Principles
The Act is based on several key principles:
- Equal sharing of relationship property
- Recognition of all contributions
- Protection of economic interests
- Consideration of children's welfare
Special Circumstances
Courts may depart from equal sharing in cases of:
- Extraordinary circumstances
- Short relationships with disproportionate contributions
- Separate property becoming relationship property
- Economic disadvantage from the relationship
Contracting Out
Couples can opt out of the Act by signing a contracting out agreement:
- Must be in writing
- Both parties need independent legal advice
- Lawyers must certify the agreement
- Can be made before, during, or after relationship
Need Help with Property Division?
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