Question
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24 September 2021

Turning a blind eye

Family Law
Federal

Asked

Property settlement - Mandatory pre-action procedures

Dear Mentor,

Is dispute resolution a mandatory requirement before going to court for property settlement?

We have advised the other side’s lawyer in writing of our client's intention to settle out of court. A financial disclosure from our client was requested and provided by the due date.

Our request for financial disclosure from the other side within 14 days has gone unanswered. We called their lawyer’s office and left a message. No response was received. We then wrote a letter advising that if a response was not received within 7 days we are instructed to file an application in the Court. No response was received. 

Answered

Thank you for the question.

Yes. As of 1 September 2021, dispute resolution is mandatory in the new Federal Circuit and Family Court of Australia. The pre-action procedures provide that parties must, before issuing proceedings:

  1. Read the pre-action procedures;
  2. Make inquiries about, invite the other parties to, and where it is safe to do so participate in dispute resolution services such as family counselling, negotiation, conciliation or arbitration;
  3. If dispute resolution is unsuccessful, write to the other parties setting out the claim and exploring options for settlement; and
  4. Comply, as far as practicable, with the duty of disclosure by exchanging relevant documents.

There are exceptions to this requirement which are set out in the prescribed brochure.

When issuing proceedings, each party must file a Genuine Steps Certificate confirming that they have attempted dispute resolution unless an exemption applies.

Regards

Mentor