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Growing Stronger Podcast Ep #12: Granny Flat Gone Wrong #1

Posted on 6th August 2021
Catherine Henry Lawyers
Catherine Henry Lawyers

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Growing Stronger Podcast Ep 12- Granny Flat Gone Wrong #1

In episode 12 of our podcast, Growing Stronger, Tanya Chapman discusses a case where a mother and daughter decide that they’re going to live together and they’ll each contribute 50% to the acquisition of the property.

The mother pays for it all upfront. Seven years later, when the daughter moves out, she still owns 50% despite only having paid about 5%.

What can the mother do to get her fair share?

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To continue the discussion join our Growing Stronger Podcast Group on Facebook. Engage in conversation with other listeners and our host, Tanya Chapman, on the cases we have covered, plus more.

Case: Hughes v Sangster [2019] ACTSC 178

Note

1. This is a brief summary of the topic and the case law covered in the episode and is not a full transcript of the recording.
2. The case discussed in the episode is an ACT case, so what we’re discussing will be based on the law in ACT and is not intended to be taken to be applied Australia-wide.
3. While this podcast is aimed to be informative, it is not intended to be a substitute for legal advice. For any matter we discuss, we summarise, skip over parts that may be too technical and only generalise. You should still see a solicitor for complete advice that relates directly to your particular situation.

SUMMARY

In the case we are covering today a mother and daughter decide that they’re going to live together. They’re going to purchase a property and they are each going to pay 50% which is $190,000 each. But the daughter only contributes $20,000.

Seven years after they began living together, they agreed that the daughter and her family would move out.

They hold the property 50% each. But the mother – who paid about 95% of the purchase price – wants her fair share of the property.

Can she get it back?

The daughter makes several arguments that she did pay for her share both financially and by providing her mother with domestic assistance. She also argued that they had varied their oral agreement and the mother had agreed that the daughter didn’t need to pay the balance for her share.

When so much of the agreement is spoken, how can you prove who is telling the truth?

I’ve named this episode “Granny Flat Gone Wrong #1” because I plan to do a couple of granny flat cases to demonstrate the numerous ways a granny flat arrangement can be structured and the numerous ways it can fall apart.

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