Spousal Maintenance Duration and Retirement: Bodily & Hand
Key question before the court
The court considered how long a payer must continue paying spousal maintenance and in what circumstances payments should stop or reduce in Bodily & Hand (2019) 59 Fam LR 425 [2019] Fam CA 210.
Background of the relationship
The parties separated in 1998. The husband paid spousal maintenance for 17 years.
He later applied to reduce his obligation. He was 62 years old and wanted to retire from the workforce. The wife was 61 years old and had a serious medical condition.
By November 2009, the wife was housebound. She had a diagnosis of multiple sclerosis. She also received support through the National Disability Insurance Scheme (NDIS) to assist with her daily needs.
Maintenance claim by the wife
The wife sought $3,000 per week in spousal maintenance, indexed annually.
Financial position of the wife
The court reviewed the wife’s income sources. These included NDIS payments and potential access to her superannuation.
Issues considered by the court
The court considered several key issues:
- Whether spousal maintenance should end when a payer retires or plans to retire
- Whether a court can require a party to sell or use assets to pay maintenance
- Whether a recipient must use their own assets before seeking support
Court decision
The trial judge reduced the maintenance order from $1,500 per week to $500 per week. The court found this amount appropriate.
The judge treated the payment as a supplement to the wife’s NDIS support. It helped cover her shortfall in income.
Reason for the order
The court found the wife could not adequately support herself. It based the decision on need and the husband’s reduced earning capacity.
