Article by Manny Wood published in the Coffs Coast News Of The Area on 2 February 2024.

Jack meets Jill, 15 years his junior and after dating for a year, they become engaged to be married. They both bring no substantial assets into the relationship.

Jack and Jill enter-into a long-distance relationship for a year before Jack wins the lottery. He says to Jill; “We won the lotto!”. They are married shortly thereafter and Jack purchases a home with the winnings.

Jack and Jill move-into the home with Jill’s three children from a previous relationship.

Jill’s children move-out five years later and after a couple of years, Jack and Jill’s relationship irretrievably breaks-down.

Jill commences proceedings in the Federal Circuit and Family Court of Australia, seeking property settlement orders. A week-long hearing follows unsuccessful attempts at mediation.

In the judgement, the Court notes that Jack purchased the lottery ticket before the parties were cohabitating and before they could have been considered to be in a de facto relationship.

The Court hears Jill’s allegations of domestic violence.

Jack asks the Court to take into consideration, the fact that he provided accommodation for Jill’s children and that as the primary breadwinner during their relationship, he met the bulk of their living expenses.

The Court assesses the parties’ contributions to the relationship, including their financial and non-financial contributions. The Court rules the lottery winnings to be a contribution by Jack.

The Court accepts Jill’s allegations of violence and on a discretionary basis, rules that there shall be no adjustment for Jack providing accommodation for Jill’s children.

The Court notes that at the time of the hearing, both parties had low income earning capacities.

The Court finds that the only substantial asset of the relationship consists of the home purchased by Jack using the lottery winnings, which is now worth $1 million.

Ultimately, the Court rules that it is “just and equitable” for Jack to pay Jill $300,000 and if he is unable to obtain sufficient finance to facilitate payment within 90 days, the home is to be placed on the market with Jill receiving 30% of the proceeds of sale.

 Email Manny Wood, Principal Solicitor and Accredited Specialist in Wills and Estates at TB Law at manny@tblaw.net.au or call him on (02) 66 487 487. This column is only accurate at today’s date and is not legal advice.