Multiple Inheritances received during and after a Relationship
27
June 2023
In a previous article (Inheritance in property settlements – Michael Lynch Family Lawyers) we addressed the Court’s general view in relation to inheritances received during and after a marriage.
In the recent case of Shnell & Frey (2021), the Court considered the impact of multiple inheritances received at different times during and after the relationship.
The Facts:
- The husband was 70 years of age and the Wife 64 years of age.
- The parties were married for approximately 35 years, between 1980 and 2015.
- The parties had two children together.
- During the marriage the husband received by way of gifts and inheritances sums totalling $2,015,638 which was expended upon the acquisition and improvement of assets and on the family generally.
- In 2009 the wife received an inheritance from her father’s estate of $60,000.
- Post-separation, in 2019, the wife received an inheritance at a value of $2,550,026.
- At the date of the trial the parties held between them joint net assets with a value of $8,623,296.
Trial Judge’s Decision
- It was noted by the trial judge that each party had received significant inheritances although the wife’s inheritance was greater than the husband’s. The husband however utilised a significant portion of his inheritance in further improving the former matrimonial home.
- It was found overall, that “the myriad of contributions made by each party should be assessed as largely equal although slightly favouring the wife because of the disparity in the inheritances/gifts and the timing of the wife’s inheritance.”
- The Court concluded that the parties should each retain what they had respectively in their name, possession and control, save for the husband retaining some jointly held items.
- The overall division of the property pool was 52% to the wife and 48% to the husband.
Appeal Court’s Decision
- The wife appealed the trial judge’s decision for various reasons, one being that the primary judge’s reasons did not adequately explain how the Court came to make the property settlement order.
- It was concluded by the Appeal Court that the Wife’s inheritance (being $534,388 more than gifts and inheritances introduced by the husband) warrants it being afforded particular weight.
- The Court ordered that the wife receive 53% of the property pool and the husband 47%.
For more articles about inheritances in relationships of varying durations, please click here:
- Treatment of a Large Inheritance in a Property Settlement – What Can Happen – Michael Lynch Family Lawyers
- Court considers inheritance – Michael Lynch Family Lawyers
Need Family Law Advice?
If you have questions about family law, it is essential that you get specialist Family Law advice. For a fixed-fee no obligation initial consultation, call us on (07) 3221 4300.
