Chinese-Australian disputes are often harder than they look on paper. Money moves between countries through family members rather than banks, property is held in a child’s name, documents exist in two languages and two legal systems, and the people in dispute may include a grandparent in Shenzhen who has never been to an Australian lawyer’s office. These case studies show how such disputes can be resolved through careful mediation.
Each case study is a composite. Names, places, figures and details have been changed so that no person or matter can be identified, consistent with the confidentiality of mediation.
Case study 1: The parents’ money, a loan or a gift?
The situation. A couple separated after ten years of marriage. Over that time the husband’s parents in Fujian had transferred about A$1.2 million to the couple, in many instalments, through relatives and friends, to help buy their home and start an import business. The wife said the money was a gift to them both. The husband’s parents said it was a loan, and were joined as parties to the family law proceedings to recover it.
What made it complex. There was no written loan agreement, only WeChat messages, in Chinese, that each side read differently. The parents spoke only Mandarin and saw the dispute as a matter of family honour. The business’s accounts did not record the funds consistently.
Techniques used. Before the mediation, the parties agreed on a translated, chronological bundle of the transfers and messages, which removed much of the argument about what had happened. The parents attended online from China and the session was conducted in Mandarin. They were seen first in private session, where they could explain what the money meant to them without the wife present. Reality testing helped each side see the risk: a court might find a loan, a gift, or something in between. Framing a payment to the parents as “respect for the family’s contribution” rather than “repayment of a debt” allowed the wife to agree to it without conceding the legal point.
Outcome. The parents received a partial repayment from the sale of the business stock, and the remaining property was divided between the couple. The family law proceedings were resolved by consent orders, and the parents’ claim was withdrawn.
Case study 2: The apartment in the daughter’s name
The situation. Parents in Shanghai bought a Melbourne apartment in their daughter’s name while she was an international student. Years later she married, became a permanent resident and lived in the apartment with her husband. When the parents asked her to sell it and return the proceeds to fund their retirement, she refused, saying it had been a gift.
What made it complex. In Australian law a transfer from a parent to a child is often presumed to be a gift, but the presumption can be rebutted by evidence of what the parents intended. The parents’ evidence was largely in Chinese and depended on conversations no one had recorded. Foreign ownership rules may also have been relevant at the time of purchase. Underneath the legal dispute was a deep sense of betrayal on both sides.
Techniques used. Separate preparatory meetings revealed that the parents’ real need was secure retirement income, not the apartment itself, and that the daughter felt her parents had never accepted her husband. In joint session the mediator acknowledged both concerns before turning to the property. A neutral valuer was agreed. The daughter’s husband, who had initially been excluded, was brought into a later session so the agreement would hold.
Outcome. The daughter kept the apartment and paid her parents a monthly amount for an agreed period, secured by a registered mortgage. The family celebrated Chinese New Year together the following year.
Case study 3: Two wills, two countries
The situation. A businessman died leaving a Victorian will dividing his Australian property among his three children in Melbourne, and a Chinese will, made later in Shenzhen, leaving his Chinese assets and “all my other property” to his second wife and their son in China. Each side claimed the other will was invalid or had been revoked.
What made it complex. The validity and effect of each will depended on different laws. Under Chinese law the deceased’s surviving parent was also an heir. Assets included Melbourne property, a family company, Chinese bank accounts and an apartment in Shenzhen. The parties were in two time zones and had never met.
Techniques used. The mediation was run in stages over several weeks, online, with sessions timed for both Melbourne and Shenzhen. Early sessions dealt only with information: a schedule of every asset in both countries, an agreed valuer and summaries of advice on both legal systems. With a single working document that both sides edited, the negotiation then moved to a global settlement covering both countries. The surviving grandmother’s position was handled with particular respect, and her consent was obtained through her own Chinese adviser.
Outcome. A global deed of settlement allocated the Australian assets to the Melbourne children and the Chinese assets to the second family, with an equalising payment and a provision for the grandmother. Notarised documents were prepared so that the deed could be implemented in China. See wills in more than one country.
Case study 4: Father in aged care, a family divided
The situation. An 88-year-old father moved into residential aged care in Melbourne. His eldest son, who held his enduring power of attorney, wanted to sell the family home to pay the aged care accommodation deposit. His two daughters, one in Melbourne and one in Hong Kong, objected, suspected their brother of mismanaging their father’s money, and threatened to apply to VCAT to remove him.
What made it complex. The father still had capacity for some decisions and strong views about his home. The siblings had not spoken in years, and the Hong Kong daughter felt excluded from decisions about her father’s care. Questions about capacity, the attorney’s duties and the family’s finances were all mixed together.
Techniques used. An elder mediation approach was used. The father was met separately first, in short sessions, with a support person of his choosing, so that his own wishes could be heard rather than assumed. The questions were then separated: the father’s care and wishes; the attorney’s accounts; and the future of the house. Independent preparation of the accounts addressed the daughters’ suspicions without accusing anyone. The Hong Kong daughter joined online.
Outcome. The father chose to rent the house rather than sell it, with the deposit funded partly from savings and partly by periodic payments. The brother agreed to provide quarterly accounts to his sisters, and a family meeting was scheduled every six months. No application to VCAT was needed. See capacity, ageing parents and powers of attorney.
Case study 5: The family company in Taipei and Melbourne
The situation. Three siblings owned a food import company founded by their late father. The eldest brother ran the Taipei supply side, the sister ran the Melbourne operation, and the youngest brother was a shareholder with no role. Disputes about pricing between the two operations, salaries and an unpaid dividend had led to deadlock and a threatened oppression application.
What made it complex. The business was split across two companies in two countries, with related-party transactions and accounts prepared under different standards. Each sibling believed the others were taking more than their share. Their mother, in Taipei, wanted the family united but held no shares.
Techniques used. Ownership, management and family issues were separated and dealt with in turn. An independent accountant reviewed the related-party pricing, and the mediator’s own understanding of the accounts helped test proposals quickly. In private session the youngest brother acknowledged that he wanted to exit rather than fight. The mother was invited to speak at the opening of the final session, which reminded the siblings of their father’s wishes and changed the tone of the negotiation.
Outcome. The youngest brother’s shares were bought out over three years. A pricing protocol between the two companies was agreed, with maker-checker approval for related-party payments, and an independent director was appointed. The siblings agreed to prepare a family charter. See mediating within family groups and family businesses.
What these matters have in common
Each dispute involved money, but also family history, language, culture and more than one legal system. In each case, the process was designed for the people involved: who was seen first, which language was used, how the sessions were sequenced, and how participants could move without losing face. That is often what makes settlement possible.
How we assist
I mediate complex Chinese-Australian family, estate and business disputes in English and Mandarin, in person in Melbourne or online across time zones, and adapt the process to the needs of each matter. See also how I mediate and for lawyers: appointing a mediator.
Frequently asked questions
Can parents in China be part of a family law mediation in Australia?
Yes. Where parents claim that money they provided was a loan, they may be joined to family law proceedings, and they can take part in mediation online.
Is property bought by parents in a child’s name always a gift?
Not always. Australian law often presumes a gift from parent to child, but the presumption can be rebutted by evidence of the parents’ intentions.
Can a mediation resolve an estate with wills in Australia and China?
Yes. A global deed of settlement can allocate assets in both countries, with documents prepared so it can be implemented in each.
Are these case studies real matters?
They are composites. Details have been changed so that no person or matter can be identified.
Chua Tan Associates advises families, executors, trustees and their professional advisers on estate planning, estate administration and estate disputes, in Australia and across borders. To arrange a confidential consultation, please contact our Melbourne office on +61 3 9602 3988 or submit an enquiry. Advice is available in English, Mandarin and Cantonese.
Justin Chua (蔡智勋), lawyer and mediator, Chua Tan Associates, Melbourne. General information only, not legal or tax advice. Victorian law unless stated otherwise.
简体中文 
English (Australia) 
繁體中文