01 August 2024

Relationship Property: Ku v.Lang

 

An ongoing dispute between Lam Lo’s former spouse and his de facto partner of over twenty years standing has seen his de facto partner register a relationship property claim against title to his former spouse’s Auckland Half Moon Bay property valued at some $2.66 million.

Mr Lo and his de facto partner Yuanhong Lang lived for the last two decades at the Sutherlands Road property in Auckland’s eastern bays; a property registered in the name of his former spouse, Janice Ku.

Mr Lo now lives in a care facility at a retirement village.  Ms Ku wants Ms Lang out of her property.  She refuses to budge, claiming Sutherlands Road is relationship property and she is entitled to half of Mr Lo’s interest in the property.

Their dispute is clouded by multiple relationship property agreements signed between Mr Lo and his then spouse Ms Ku, and a ‘contracting out’ agreement signed between Mr Lo and Ms Lang when they were living together in which she supposedly agreed to give up all Property (Relationship) Act rights she might have against Mr Lo’s assets.     

The High Court was told Ms Ku and Mr Lo divorced in 2006.  He had commenced living with Ms Lang three years previously.

Associate Judge Taylor ruled that should Ms Lang succeed in overturning her earlier ‘contracting out’ agreement, she was entitled to no more than a potential share of whatever might amount to Mr Lo’s share of relationship assets flowing from his earlier marriage to Ms Ku.

Online valuations estimate the Sutherlands Road property is currently worth $2.66 million.

The status of Mr Lo’s relationship property rights against Ms Ku’s assets is confused.  The two signed successive relationship property agreements intended to set out their agreed entitlements.

Their final agreement required Mr Lo to take over responsibility for all outgoings and mortgage payments for Sutherlands Road.  The High Court was told this agreement was not honoured.

Ms Ku says she remains the absolute owner of Sutherlands Road.  Their relationship property agreement was repudiated and cancelled, she says.

Judge Taylor said evidence is required from Mr Lo.

He is not a party to the current court dispute between the two women.

In the interim, Ms Lang can continue living at Sutherlands Road and her notice of claim remains on the title, Judge Taylor ruled.

Relationship property notices of claim registered against title to land operate much like caveats, having the effect of freezing any further dealings with the property until a dispute is resolved.

Ku v. Lang – High Court (1.08.24)

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