Trusts and Company Disputes in Family Law

Family enterprises often use Discretionary and Unit Trusts as legal vehicles for structuring of their assets. However in Family Law or divorce settlements attempts may be made to hide or protect assets in them.

The Family Court of Australia has extensive powers to “see through” trust structures. They may deem assets and income as a “financial resource” of a particular party. Property rights may be adjusted in light of this finding. The court also has the ability to make orders affecting parties outside the marriage.

Just because a matter is being disputed through the Family Law Court does not necessarily remove an individual’s rights and obligations. The Corporations Act still applies in dealing with any companies owned by or related to parties of the relationship. The Family Court has jurisdiction to hear disputes under the Corporations Act.

Your Streeterlaw team will advise you on the best course of action and help you understand your options.



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