How Much Australian Divorce REALLY costs -$200.000 breakdown
by Forum Administrator » Sat Jul 14, 2012 2:26 am
High cost of divorce for ordinary people brought into focus by Tom Cruise-Katie Holmes separation
From the Courier Mail,
14 July 2012
WARRING couples are regularly burning $200,000 to go their separate ways after a marriage breakdown.
Mediation expert Peter Sheehy said couples were often not aware of the costs of a court battle.
"All the asset pools are down, real estate is down or static," Mr Sheehy said.
"An $800,000 pool may be reduced by $100,000.
"Why would you spend $200,000 on legal fees when the asset pool is only worth $800,000?"
The Federal Government has just increased the Family Law Court fees, with the cost of a one-day trial now $638.
Research by The Courier-Mail shows it costs $300 to $400 an hour for a lawyer and an expert witness, such as accountants and property valuers, and $4000 to $5000 per day for a barrister, which includes fees to read legal documents.
In the case of custody disputes, a family report will set you back $3000 per couple and then expect to pay $300 an hour for the author to testify at a half-day trial.
The latest census data from the ABS shows divorces in the Sunshine State have soared by 12 per cent -- more than twice the national average.
Unlike the high-profile split of actors Tom Cruise and Katie Holmes, one in five divorces end in court, with a decision on settlement overseen by a judge in Queensland.
The ABS figures show the number of Queenslanders marrying is on the rise, but marriage rates have been outstripped by divorces, de facto relationships and people choosing to remain single.
From 2006 to 2011, there was a 9 per cent increase in the number of Queenslanders marrying, but divorces increased by 12 per cent. While the median age for married Queenslanders is 50, the median age for those in de facto relationship is 34 and 25 for singles.
Growth of divorces and separations within Queensland is almost 2 per cent higher than the national figure, with Queensland ranking second behind Western Australia in the growth rate of divorces and separations (12.57 per cent compared to 12.4 per cent).
Queensland ranks second behind NSW in the increase of people divorcing or separating between 2006 and 2011 (51,894 compared to 47,355).
HopgoodGanim family law specialist Alison Ross said the GFC had not been kind to couples.
"It has been difficult not being able to sell properties or there are reduced property values," she said.
"The number of de facto separations is rising. It certainly does happen that people clear out the bank account."
Family lawyer Brett Hartley argued the GFC had simply made bad marriages worse.
"People don't separate because of hard financial times but that can exacerbate underlying problems in the relationship," he said.
Mr Hartley said most clients were separating after 12 to 15 years or were young couples with young children.
Family law specialist Julie Harrington said mediation, which accounts for 80 per cent of property and custody cases, meant lawyers now dealt with the "most difficult" break ups.
"We see the most difficult personalities," she said.
"It includes mental health, domestic violence and drug and alcohol issues and highly conflictual relationships."
A Portal Messaging System enables parties to request an email be sent to them when their divorce order has been granted.
Since going live in March, 1156 requests have been received and 410 email alerts sent out.
SO YOU WANT OUT? THIS IS WHAT IT WILL COST
START TO STAGE ONE
$577 Application for divorce
$638 Daily hearing fee
$300 to $400 per hour Lawyers fees (includes documents, lawyer visits, getting statements)
Total: $3000 to $4000
MEDIATION STAGE
Includes valuations, lawyer meetings, preparation, valuations of companies and property, retaining an accountant and real estate valuers
Total: $5000 to $6000
AWAITING TRIAL DATE
Period of 12 to 18 months. Takes in new valuations required due to falling property prices
Total: $20,000 to $30,000
THE TRIAL
$4000-$5000 per day Barrister (meetings to discuss approach to evidence, trial preparation, reading legal briefs)
$300 to $400 per hour Witness expenses (accountants, real estate valuers)
$3000 (per couple)
Family Report
$300 to $400 per hour Family report writer/Psychologist (Half-day trial)
TOTAL $200,000
Source: Courier Mail
http://www.couriermail.com.au/money/mon ... 6425689374
From the Courier Mail,
14 July 2012
WARRING couples are regularly burning $200,000 to go their separate ways after a marriage breakdown.
Mediation expert Peter Sheehy said couples were often not aware of the costs of a court battle.
"All the asset pools are down, real estate is down or static," Mr Sheehy said.
"An $800,000 pool may be reduced by $100,000.
"Why would you spend $200,000 on legal fees when the asset pool is only worth $800,000?"
The Federal Government has just increased the Family Law Court fees, with the cost of a one-day trial now $638.
Research by The Courier-Mail shows it costs $300 to $400 an hour for a lawyer and an expert witness, such as accountants and property valuers, and $4000 to $5000 per day for a barrister, which includes fees to read legal documents.
In the case of custody disputes, a family report will set you back $3000 per couple and then expect to pay $300 an hour for the author to testify at a half-day trial.
The latest census data from the ABS shows divorces in the Sunshine State have soared by 12 per cent -- more than twice the national average.
Unlike the high-profile split of actors Tom Cruise and Katie Holmes, one in five divorces end in court, with a decision on settlement overseen by a judge in Queensland.
The ABS figures show the number of Queenslanders marrying is on the rise, but marriage rates have been outstripped by divorces, de facto relationships and people choosing to remain single.
From 2006 to 2011, there was a 9 per cent increase in the number of Queenslanders marrying, but divorces increased by 12 per cent. While the median age for married Queenslanders is 50, the median age for those in de facto relationship is 34 and 25 for singles.
Growth of divorces and separations within Queensland is almost 2 per cent higher than the national figure, with Queensland ranking second behind Western Australia in the growth rate of divorces and separations (12.57 per cent compared to 12.4 per cent).
Queensland ranks second behind NSW in the increase of people divorcing or separating between 2006 and 2011 (51,894 compared to 47,355).
HopgoodGanim family law specialist Alison Ross said the GFC had not been kind to couples.
"It has been difficult not being able to sell properties or there are reduced property values," she said.
"The number of de facto separations is rising. It certainly does happen that people clear out the bank account."
Family lawyer Brett Hartley argued the GFC had simply made bad marriages worse.
"People don't separate because of hard financial times but that can exacerbate underlying problems in the relationship," he said.
Mr Hartley said most clients were separating after 12 to 15 years or were young couples with young children.
Family law specialist Julie Harrington said mediation, which accounts for 80 per cent of property and custody cases, meant lawyers now dealt with the "most difficult" break ups.
"We see the most difficult personalities," she said.
"It includes mental health, domestic violence and drug and alcohol issues and highly conflictual relationships."
A Portal Messaging System enables parties to request an email be sent to them when their divorce order has been granted.
Since going live in March, 1156 requests have been received and 410 email alerts sent out.
SO YOU WANT OUT? THIS IS WHAT IT WILL COST
START TO STAGE ONE
$577 Application for divorce
$638 Daily hearing fee
$300 to $400 per hour Lawyers fees (includes documents, lawyer visits, getting statements)
Total: $3000 to $4000
MEDIATION STAGE
Includes valuations, lawyer meetings, preparation, valuations of companies and property, retaining an accountant and real estate valuers
Total: $5000 to $6000
AWAITING TRIAL DATE
Period of 12 to 18 months. Takes in new valuations required due to falling property prices
Total: $20,000 to $30,000
THE TRIAL
$4000-$5000 per day Barrister (meetings to discuss approach to evidence, trial preparation, reading legal briefs)
$300 to $400 per hour Witness expenses (accountants, real estate valuers)
$3000 (per couple)
Family Report
$300 to $400 per hour Family report writer/Psychologist (Half-day trial)
TOTAL $200,000
Source: Courier Mail
http://www.couriermail.com.au/money/mon ... 6425689374
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Email: forum.administrator@singlemotherforum.com
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