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Hewitt v Hewitt [2021] NZFC 1169

Published 10 August 2021

Property relationship proceedings — division of property — status of property — value of property — deductible debts — post-separation adjustments — address for service — Property (Relationships) Act 1976, ss 2G, 18B, 20, 23, 25, 26 & 31 — Family Court Rules. The parties, who had been married 17 years and subsequently separated, were engaged in relationship property proceedings for division of their property. The issues for determination were the value of a motor vehicle; value and retention of chattels; whether container rental and skip hire costs incurred by the respondent were deductible debts or post-separation adjustments; whether an overdue electricity account referred to Baycorp was a deductible debt, and whether postseparation adjustments should be made; and status of the children's bank accounts. Both parties had filed affidavit evidence, with the applicant's containing extensive research and valuations. Pursuant to s 2G of the Property (Relationships) Act ("PRA"), the valuation of items of property is to be at the date of hearing unless the Court determines otherwise. The Judge was prepared to exercise discretion to accept the valuations as at the date of separation as submitted by the applicant. The motor vehicle in question had been retained by the respondent and subsequently sold to a former coworker for $500. The applicant's submission was that this was a significant undervalue and the applicant's research showed the vehicle to be worth between $2,800-$3,400. The Judge accepted the applicant's proposed value of $3000. With regards to the container and skip rental, the Judge determined that these costs were incurred by the respondent after the parties had separated and could therefore not be a deductible debt under PRA, s 20. The Judge was also not prepared to make a post-separation adjustment under s 18B as the costs incurred were for the sole benefit of the respondent. The Judge was prepared to find that the electricity account debt was a deductible debt and made post-separation adjustments taking into account what the applicant had paid towards the debt since separation. As to the children's bank accounts, given the amounts contained in them were modest ($20.10 and $111.10), the balances were left in the accounts for the children to use as they saw fit when they became old enough. Judgment Date: 11 February 2021. * * * Note: names have been changed to comply with legal requirements. * * *