All About Family Law Property Valuations

Family Law Property Valuations

When two parties look to sort out their finances after separating, there are certain steps that must be taken, including family law property valuations. Obtaining an accurate value for the jointly owned home is a necessity. Family courts can make any just and equitable orders when it comes to finances. That means they must review and decide upon how the different assets should be split up. The Family Court must, therefore, decided when to use their discretion when there are valuation disputes.

What Happens if Different Parties Disagree?

When the court decides that a property should be adjusted between the relevant parties, these parties can agree upon the exact valuation of the asset. The value can often be agreed via mediation or a specific process for dispute resolution. Valuations can be officially obtained if the parties cannot agree, while parties can also choose to obtain a joint valuation.

What Are the Requirements for a Family Law Property Valuation?

Any family law property valuation should be current at the time of proceedings to ensure that it is accurate. For example, orders only take into account asset values at the time said orders are made. Therefore, they see no relevance in valuations recorded when the parties first separated. If there is still no agreement on valuation come the final hearing, parties must provide proof to enforce their valuation claims. However, whoever provides a valuation must be qualified.

Hiring an expert such as GANTPMV

When it comes to hiring an expert, the most common question is often – should we hire two separate experts or one joint one? Single experts are defined as valuation experts who prepare a figure for the court as the only piece of evidence in the matter. This single expert must conform to set Family Law Rules when providing their valuation. The court can also order for a single expert to be used via Paragraph 15.5 of the Family Law Rules.

Do You Need Expert Evidence?

The court may bear in the mind the following when deciding whether an expert is needed:
Parties should use expert evidence only:
When a significant issue is being disputed
If it is necessary in order to resolve a case/dispute
If it will not impede justice
If it is practicable
If they need to avoid the costs of separate experts
If such expertise is required in the pursuit of justice

If the court is happy that an expert is required, it will then decide whether a single expert is needed for the valuation. When making this decision, it will work out whether it needs a range of different opinions or whether the valuation comes under an established field of knowledge. Usually, a Family Court will look to use a single expert only.

Each party is allowed to review and ask questions of the findings from the single expert. They have 21 days in order to submit these questions in writing, during which time they can also hold a conference with the expert.

A party cannot produce counter-evidence on the same issue that has been dealt with by the single expert without court permission. However, a party may also remain dissatisfied by the valuation provided by the single expert even after asking questions and/or holding a conference. Therefore, there may be disputes over valuation methods, etc.

Applying to Tender Other Evidence

When a single expert is used, one party may still wish to submit a report from a different expert/witness expert/witness. In order to do this, they must submit an application and have an affidavit.

This affidavit must state:

Has the party at least attempted to reach a single expert agreement? If not – why not?
What is the full name of the expert witness in question?
What issue does the expert witness refer to?
Why is this evidence needed in reference to this issue?
What field is the expert an expert in?
What makes them qualified on the issue?
Is there any pre-existing connection/relationship between party and witness?

The court may decide to allow the extra evidence from another expert witness if (Rule 15.49 of the Family Law Rules):

The witness provides substantial opinion that contrasts that of the single expert in a way that makes it valuable to the case
The witness has knowledge in an area that the single expert does not
There is a ‘special’ reason to hear from the new witness – must be shown to be special

To conclude, family law property valuations are vital when it comes to the financial separation process via the Family Court. If an agreement has not been reached between the parties involved, experts may need to be hired in order to assist.