Western Australian Consolidated Acts

FAMILY COURT ACT 1997 - SECT 222

222 .         Transactions to defeat claim — FLA s. 106B

        (1)         In proceedings under this Act, the court hearing the proceedings may set aside or restrain the making of an instrument or disposition by or on behalf of, or by direction or in the interest of, a party which is made or proposed to be made to defeat an existing or anticipated order under this Act or which, irrespective of intention, is likely to defeat any such order.

        (2)         A court referred to in subsection (1) may order that any money or real or personal property dealt with by any such instrument or disposition may be taken in execution or charged with the payment of such sums for costs or maintenance as the court directs, or that the proceeds of a sale are to be paid into court to abide its order.

        (3)         A court referred to in subsection (1) must have regard to the interests of, and must make any order proper for the protection of, a bona fide purchaser or other person interested.

        (4)         A party or a person acting in collusion with a party may be ordered to pay the costs of any other party, or of a bona fide purchaser or other person interested, of and incidental to any such instrument or disposition and the setting aside or restraining of the instrument or disposition.

        (4a)         In addition to the powers a court referred to in subsection (1) has under this section, such a court may also do any or all of the things listed in section 205ZI(1).

        (5)         In this section — 

        disposition includes —

            (a)         a sale or gift; and

            (b)         the issue, grant, creation, transfer or cancellation of, or a variation of the rights attaching to, an interest in a company or a trust;

        interest  —

            (a)         in a company includes —

                  (i)         a share in or debenture of the company; and

                  (ii)         an option over a share in or debenture of the company (whether the share or debenture is issued or not);

                and

            (b)         in a trust includes —

                  (i)         a beneficial interest in the trust; and

                  (ii)         the interest of a settlor in property subject to the trust; and

                  (iii)         a power of appointment under the trust; and

                  (iv)         a power to rescind or vary a provision of, or to rescind or vary the effect of the exercise of a power under, the trust; and

                  (v)         an interest that is conditional, contingent or deferred.

        [Section 222 amended by No. 35 of 2006 s. 60 and 74.]