Financial Agreements in Family Law
Financial Agreements or Binding Financial Agreements or Pre-nuptial agreements (‘pre-nups’) are really all the same thing. They are a formal written agreement reached between couples upon what is to happen about property in the event that they separate and drawn up under the provisions of the Family Law Act 1975 (Part VIIIA for married persons and Division 4 of Part VIIIAB for de facto relationships) .
They can be made at any stage of a relationship and can include married and de facto couples including same sex couples.
About Financial Agreements
There are some important aspects about Financial Agreements that must be complied with. For example, each party to an Agreement must receive independent legal advice before signing otherwise the Agreement is invalid.
Unlike court orders – whether by consent or otherwise – a Financial Agreement does not have to be approved as being “just and equitable” by a court. This means that they can be more flexible and can be arranged without having to wait for the court to process an application.
They should not be rushed however and it is always important to ensure that the parties to an agreement genuinely understand the financial position of each other and know what they are agreeing to.
Financial Agreements can be a very useful tool in Family Law property matters.
They can be used for example:
- Where a couple getting together wish to keep their finances separate from the beginning; or
- Where a separated couple wish to divide their property formally but without a court being involved.
Financial Agreements enable people to make their own decisions about dividing property at the end of a relationship.
If a Financial Agreement is entered into at the outset of or during a relationship it is important to remember that life circumstances change and your Agreement may need to be reviewed by your lawyer.
They may not be appropriate in all circumstances. That is why it is important to get professional legal advice right for your situation.
Need a financial agreement or advice about one?
Not all firms offer Financial Agreements as they can be complex and must be drawn up in strict compliance with legislation.
However at Bell Legal Group our dedicated Family Law team have extensive experience of drawing up and advising about Financial Agreements.
Call us on 07 5597 3366 or fill out the ‘Contact Us’ form below to find out how we can help you.
Please note that the information on this web page is general in nature. It is not legal advice and should not be relied upon as such.