Case Study
Spousal Maintenance: Palasar & Ninesh [2023] FedCFamC2F 1142
Palasar & Ninesh [2023] FedCFamC2F 1142
The Federal Circuit and Family Court of Australia has the jurisdiction to decide spousal maintenance issues. Spousal maintenance is financial support, usually paid by one partner to the former partner, in circumstances where they cannot adequately support themselves.
This case is an example of how the Court decides a spousal maintenance order.
Parties Submissions:
At the end of the hearing both parties agreed on periodic spousal maintenance of $400/week. The issue was that Mr. Ninesh proposed it should extend to June 2024, and Ms Palasar wished for it to extend for three years.
Court Reasoning:
The Court has the discretion, pursuant to s 74 of the FLA, to order provisions of maintenance as they see proper.
In this case the Court disregarded Ms Palasar’s government benefits, as s 75(3) of the Act says to disregard entitlements of allowances, benefits or income tested pensions. The Court also disregarded child support payments from Mr Ninesh, where the payment is less than the expenses Ms Palasar incurs for the child.
The Court looked at both Ms Palasar and Mr Ninesh’s weekly income, also comparing their weekly income to their expenses. Ms Palasar’s weekly expenses exceeded her income, whilst Mr Ninesh’s income, including current spousal and child support payments, exceeds expenditure.
The Court also includes, into its decision, future elements, such as Ms Palasar obtaining full time employment and additional expenses (e.g., Mr Ninesh incurring further expenses to support his new partner who is currently pregnant).
Held:
The Court was satisfied Mr Ninesh has the capacity to continue the $400/week spousal payment for a period of two years.