Managing High-Net-Asset-Pool and Complex Property Matters in the Family Court : Strategy, Disclosure, Valuation & Settlement Frameworks

High-net-worth family law cases require a significantly more forensic, strategic, and multidisciplinary approach than standard property matters. The complexity often lies not in the law itself; the legal principles under the Family Law Act remain constant, but the practical complexity lies in valuation methodology, entity control, hidden wealth, tax consequences, and the sophistication of the parties’ financial arrangements. We set out below a brief overview of things to consider irrespective of which side of the fence you sit. At Norton Law Group we have acted and are currently acting in any number of high net worth matters, acting for either the husband or the wife or for third party interveners.

This guide provides a structured overview of the key considerations in such matters, whether you act for the financially stronger party, the more vulnerable spouse, or an entity with an intersecting interest.

1. Early Case Assessment and Strategic Planning

A disciplined and proactive early assessment often determines the trajectory of a high-net-asset matter. Understanding the structural landscape and identifying risks at the outset can prevent dissipation, secure evidence, and shape your settlement or litigation strategy.

1.1 Identify Structural Complexity

High-asset pools often include:

• Private companies, discretionary trusts, and unit trusts
• Partnership interests
• Complex superannuation (SMSFs, defined benefit interests)
• Offshore assets or tax structures
• IP portfolios, share schemes, ESOPs, carried interest
• Share options
• Unvested investments

Immediate issues to consider include :

• Who controls each entity (legal vs. de facto control)
• Whether assets are property or financial resources
• Whether a party is exposed to allegations of non-disclosure or dissipation

1.2 Early Risk Identification and Red Flags

Examples:

• Sudden or recent changes to trust distributions
• Shareholder restructures around separation or at earlier time when it could be said a party was attempting to distance themselves from assets
• Transfers to related entities
• Unexplained declines in business revenue or expenses
• Lifestyle inconsistent with declared income

Consider early restraints or injunction applications if there is risk of asset movement or

dissipation of assets

2. Disclosure, Transparency and Compellability

In high-net-worth disputes, disclosure is both strategically significant and often contentious. Parties may resist providing information on confidentiality grounds or attempt to obscure the true financial picture. A structured approach to enforcing the disclosure regime is therefore essential.

2.1 Enforce Full and Frank Disclosure

High-net-worth litigants often resist financial disclosure, or claim issues surrounding confidentiality to so as delay or frustrate disclosure.

Consideration may need to be given to

• r 6.06 FCFCOA Rules – ongoing duty of disclosure
• Specific discovery orders, including categories targeting source documents (bank statements, tax returns, ledgers, trust deeds, minutes)
• Subpoenas to accountants, financial advisers, company secretaries, and SMSF trustees
• Notices to produce for entity-level documents

2.2 Forensic Approaches

When facing opaque or complex structures:

• Seek forensic accounting to analyse cash flow, reconstruct accounts, or trace diverted funds
• Consider Anton Piller-style orders in extreme dissipation cases (rare but available)
• Use s 106B applications to set aside transactions designed to defeat claims

3. Valuation and Expert Management

Expert evidence often determines the outcome in high-net-asset matters. The valuation process must be carefully managed from the outset to ensure accuracy, credibility, and strategic advantage.

3.1 Expert Selection

Your choice of expert can significantly influence outcome. Consider:

• Forensic accountants for businesses or complex cash flows, or income reconstruction
• Accredited valuers for real property
• Actuarial experts for superannuation (particularly defined benefit or unfunded schemes)
• Specialists for assets such as art, collectibles, crypto, or IP

3.2 Managing the Expert Process

• Use single expert where possible, but consider shadow experts for strategic guidance
• Provide the expert with complete primary documents to avoid supplementary reports
• Challenge methodologies early- discount rates, earnings normalisation, market multiples, minority shareholdings , value to the individual or market value ?
• Use joint questions or court questions to clarify contested topics

4. Contributions Analysis in High-Wealth Matters

While the legal framework for assessing contributions applies equally to all families, its application in high-net-asset matters requires more granular analysis. Wealth creation is often multi-factorial, and the interplay between financial and non-financial contributions can be complex.

4.1 Initial Contributions

High-asset couples often marry with uneven starting positions. The courts will consider:

• Pre-relationship wealth
• Inherited assets
• Trust distributions or gifts from family
• Business interests developed before cohabitation

The key issues involve springboard to the growth of later asset acquisition, careful analysis of the business development and to carefully consider all contributions

4.2 Special Contributions

While the “special skills argument” has been significantly diminished by later authorities, the reality is that:

• Extraordinary entrepreneurial efforts
• Business acumen resulting in substantial wealth creation

…may still influence the contributions assessment, provided the evidence is strong.

4.3 Homemaker and Parenting Contributions

Even in very large pools, courts reaffirm that:

• Non-financial contributions carry weight
• The scale of wealth does not diminish the significance of domestic contributions
• Primary care of children is still a major factor in both contributions and s 75(2) considerations

5. Future Needs and s 75(2) Adjustments

Large asset pools do not negate the Court’s obligation to consider future needs. In many high-net-worth cases, future needs analysis becomes more nuanced rather than less significant.

High-asset pools do not eliminate s 75(2) considerations. Common adjustments arise from:

• Differential earning capacities
• Age and health disparities
• Care of children
• Access to resources such as trusts, family wealth, or corporate benefits

Assess:

• Whether a party’s access to a trust or corporate entity amounts to a financial resource
• Whether ongoing distributions should be treated as income for spousal maintenance

6. Structuring Settlement Options

Designing settlement structures in high-net-worth matters requires not only legal precision but also a sophisticated appreciation of tax, liquidity, and long-term financial consequences. Even where parties agree on percentage division, the method of implementing that division often determines whether the outcome is commercially workable.

6.1 Tax Consequences

Engage tax specialists early. 

Key considerations include:

• CGT on property or share transfers
• Tax implications of restructuring companies
• Division of franking credits or carried losses
• Stamp duty exemptions for relationship property transfers

6.2 Liquidity and Cash Flow

Many high-value pools are asset-rich but cash-poor.

Options include:

• Deferred settlement payments
• Transfer of illiquid assets with balancing payments
• Carve-outs allowing businesses to maintain operational integrity
• Sale of non-core assets instead of core business assets

6.3 Superannuation Splits

Superannuation is often a major component of high-value matters and can be particularly complex when involving:

• Self-managed super funds (SMSFs)
• Defined benefit schemes
• Funds holding property or unlisted investments

Be alert to compliance issues when structuring SMSF splits.

7. Negotiation and ADR Strategy

High-value property matters benefit significantly from structured, well-prepared alternative dispute resolution. ADR not only reduces the financial and emotional cost of litigation but also allows more tailored and commercially nuanced settlements.

7.1 Private Mediation

For substantial asset pools, private mediation,often involving senior counsel, accountants, valuers, and tax advisers is standard practice. It frequently delivers outcomes that litigation cannot match in terms of flexibility and confidentiality.

For large pools, private mediation with senior counsel and financial advisors is often essential.

Preparation should include:

• A clear understanding of the balance sheet
• Compliance with disclosure
• Expert valuations
• A tax consequences schedule
• Scenario modelling (e.g., 55/45, 60/40 outcomes).

Often mediation in high wealth matters can extend over days.

8. Litigation Strategy for Contested Matters

When settlement is not achievable, litigation strategy in high-net-asset cases must be tightly controlled, evidence-driven, and designed to frame the narrative persuasively.

8.1 Controlling the Narrative

• Build a strong factual matrix early with clear evidence backing
• Prepare clear, comprehensible summaries of financial structures for the court

8.2 Entity Control Analyses

Entity control often becomes determinative where trusts and corporate structures are involved.

Focus on:

• Who actually controls distributions?
• Are trusts alter ego structures?
• Does the “puppet master” doctrine apply?
• Should assets be treated as property or resources?

8.3 Remedies for Misconduct

Where necessary:

• s 106B (setting aside transactions designed to defeat claims)
• Add-back arguments for premature distributions are now more problematic due to recent case authorities and so change the narrative and approach to ensure such matters are appropriately addressed
• Orders restraining dealings which might put the asset pool at risk

9. Preparing for Trial

Preparation for trial in high-net-asset matters must be meticulous. The complexity of financial structures means that clarity, organisation, and accessibility of evidence are essential, not only for advocacy but to ensure the Court procedures can meaningfully engage with the material.

Key components:

• Comprehensive chronology integrating financial and personal events
• Entity maps illustrating relationships between trusts and companies
• Expert valuation tables with competing valuations summarised
• Credibility analysis where non-disclosure is alleged
• Precise proposals addressing liquidity, tax impact, and timing

Ensure evidence is accessible: judges must be able to understand the pool without specialist financial training.

10. Post-Orders Implementation

Implementation is an often overlooked but is a critical phase. High-net-worth settlements may involve ongoing execution steps requiring coordination across legal, accounting, financial planning, and corporate advisory professionals.

After orders are made, ensure:

• Execution of transfer documents
• Implementation of trust or corporate restructures
• Superannuation splitting instructions
• Tax advice for compliance and timing
• Review of estate planning for clients post-settlement

High-asset settlements often require ongoing consultation with accountants, SMSF advisers, and corporate lawyers.

Conclusion

High-net-asset-pool and complex property cases demand rigorous preparation, specialist input, and tight strategic control. While the legislative framework governing property settlements is consistent across all financial circumstances, the complexity of modern wealth structures means that outcomes often turn on:

• The quality and completeness of disclosure
• Expert valuation management
• Persuasive contributions and control analyses
• Tax-aware settlement structuring

A methodical, evidence-driven approach supported by experienced counsel, forensic expertise, and clear communication, remains the key to achieving a just and equitable outcome for clients navigating these sophisticated financial landscapes. 

The Norton Law Group is recognised for its expertise of experienced family lawyers based in Sydney in high-net-asset family law disputes, acting for high-wealth individuals, spouses, and third-party entities in some of the most complex property matters in the Family Court. Our strategic, evidence-driven approach, supported by specialist valuers, forensic experts, and senior counsel, ensures that every aspect of your financial landscape is understood, protected, and advanced. For clients requiring sophisticated, discreet, and results-focused representation, NLG offers a team of 1st tier capability.