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FAMILY COURT ACT 1997 - SECT 205ZLF

205ZLF .         Court may make an order under section 205ZG binding a third party — FLA s. 90AE

        (1)         In proceedings under section 205ZG, a court may make any of the following orders —

            (a)         an order directed to a creditor of the de facto partners in a de facto relationship to substitute one de facto partner for both partners in relation to the debt owed to the creditor;

            (b)         an order directed to a creditor of one de facto partner to substitute the other de facto partner, or both de facto partners for that de facto partner in relation to the debt owed to the creditor;

            (c)         an order directed to a creditor of the de facto partners in a de facto relationship that the de facto partners be liable for a different proportion of the debt owed to the creditor than the proportion the de facto partners are liable to before the order is made;

            (d)         an order directed to a director of a company or to a company to register a transfer of shares from one de facto partner in a de facto relationship to the other de facto partner.

        (2)         In proceedings under section 205ZG, a court may make any other order that —

            (a)         directs a third party to do a thing in relation to the property of a de facto partner; or

            (b)         alters the rights, liabilities or property interests of a third party in relation to a de facto relationship.

        (3)         The court may make an order under subsection (1) or (2) only if —

            (a)         the making of the order is reasonably necessary, or reasonably appropriate and adapted, to effect a division of property between the de facto partners in a de facto relationship; and

            (b)         if the order concerns a debt of a de facto partner, it is not foreseeable at the time that the order is made that to make the order would result in the debt not being paid in full; and

            (c)         the third party has been accorded procedural fairness in relation to the making of the order; and

            (d)         the court is satisfied that, in all the circumstances, it is just and equitable to make the order; and

            (e)         the court is satisfied that the order takes into account the matters mentioned in subsection (4).

        (4)         The matters are as follows —

            (a)         the taxation effect (if any) of the order on the de facto partners;

            (b)         the taxation effect (if any) of the order on the third party;

            (c)         the social security effect (if any) of the order on the de facto partners;

            (d)         the third party’s administrative costs in relation to the order;

            (e)         if the order concerns a debt of a de facto partner, the capacity of a de facto partner to repay the debt after the order is made;

            (f)         the economic, legal or other capacity of the third party to comply with the order;

            (g)         if, as a result of the third party being accorded procedural fairness in relation to the making of the order, the third party raises any other matters, those matters;

            (h)         any other matter that the court considers relevant.

        [Section 205ZLF inserted: No. 35 of 2006 s. 34.]

        [Heading inserted: No. 35 of 2006 s. 34.]



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