From 17 December 2004, new Part VIIIAA of the Family Law Act 1975 will allow the Family Court to make orders binding a credit provider in relation to matters involving a party to the marriage.

In making an order about property interests of married persons the Family Court could direct a creditor, in relation to a debt owed to the creditor (whether secured or unsecured):

• to substitute one party to the marriage for both parties
• to substitute one party to the marriage for the other, or for both parties
• adjust the proportion of liability between the parties to a marriage

The Court may also :

• make an order restraining a person from repossessing property of a party to a marriage, or
• grant an injunction restraining a person from commencing legal proceedings against a party to a marriage.

However, a court may only make such an order if:

• it is reasonably necessary, or appropriate and adapted, to effect a division of property
• it is not foreseeable that the order (or injunction) would result in the debt not being paid in full
• there is procedural fairness to the third party, and
• the court is satisfied it is just and equitable to make the order (or grant the injunction).