Marriage does not guarantee 50-50 share of property, Court of Appeal rules
2 min read
The Court of Appeal has clarified that being married does not automatically give either spouse a 50 per cent share of property acquired during the marriage.
The court said the division of matrimonial property should be based on the actual contribution made by each spouse, rather than simply assuming that both partners are entitled to an equal share.
The decision followed a dispute involving a commercial property owned by a married couple. The High Court had previously awarded the husband a 20 per cent share of the property.
However, the Court of Appeal reviewed the evidence and changed the distribution, awarding the husband 80 per cent and the wife 20 per cent.
The judges found that the husband had bought the property using a loan and had personally serviced the loan from his salary. The court said there was not enough evidence to justify giving the wife the larger share of that particular property.
Money is not the only contribution
The court, however, made it clear that financial contribution is not the only factor considered when dividing matrimonial property.
A spouse who does not directly provide money to buy a property can still make a significant contribution through taking care of children, doing household work, supporting the family business, managing the home and providing companionship.
These non-financial contributions can be considered when determining how matrimonial property should be shared.
The dispute involved a couple who had been married for several decades and had acquired several properties during their marriage.
The husband challenged the earlier decision, arguing that the court had failed to properly consider his financial contribution towards the property.
After reviewing the evidence, the Court of Appeal agreed that the contribution towards that particular property had not been properly reflected in the earlier ruling.
What the ruling means for couples
The ruling does not mean that the spouse who pays for a property will always receive the bigger share.
Instead, courts will look at the circumstances of each case and consider what both spouses contributed towards acquiring, maintaining or improving the property.
The decision also highlights the importance of keeping records of major financial contributions, including loan documents, payment records, property agreements and receipts for improvements.
For married couples, the ruling shows that when a matrimonial property dispute reaches court, evidence of what each spouse contributed can play an important role in determining how the property is divided.
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