The Family Law Act of 1975, which is equivalent to a prenuptial agreement in the Australian legal system, permits a couple to determine their own fate in the event of a split of their relationship.
Parties may enter into a financial agreement under the provisions of the law.
When starting a marriage or a relationship, there are a few things to consider.
When you’re married or in a relationship,
Concerning the dissolution of a marriage or relationship.
The financial Agreement lawyers will lay down the terms of the couple’s agreement, which may include how they should handle their assets during the marriage or relationship, as well as what happens to the assets if the marriage or relationship ends. In general, it will be used to protect one party against a claim by the other for assets accumulated at the time.
Keeping up to date
The Family Law Act stipulates that the parties must follow certain procedures before the financial Agreement becomes legally binding. This necessitates that each party obtain independent legal counsel and that the legal adviser sign a certificate stating that he or she has described the financial Agreement to the client and determined whether entering into the financial Agreement is in the client’s best interests.
There must also be rigorous adherence to the lawyer’s certificate, with the original being maintained by one party and a copy of the financial Agreement and the family lawyers certificate being delivered to the other.
Sheep in Sheep’s Clothing (Wolf in Sheep’s Clothing) In theory, the financial Agreement should be the answer that parties seek if they wish to decide their own fate in the case of a breakdown rather than relying on the courts.
Financial Agreements, on the other hand, have shown to be contentious and prone to being contested at the first opportunity by a dissatisfied party.
Several times, the courts have taken the stance of attempting to protect the weaker party whenever possible, and have overturned financial agreements for a variety of reasons, including:-
« Before it was signed, the parties did not observe the necessary conditions;
« When it was signed, the weaker party was at a distinct disadvantage;
« The lawyer did not adequately explain the agreement’s implications.
PracticalitiesTypically, one party may require a financial agreement prior to entering into a relationship or marriage in order to safeguard the assets that he or she has amassed at the time.
As a result, the financial Agreement is frequently provided to the opposing party with a little warning before the imminent marriage, with the requirement that it be signed or all bets are off.
If you are the one requesting the financial agreement in these circumstances, it is likely to be contested later on for a variety of reasons, including the fact that the other party signed under duress or emotional instability and had no idea what he or she was doing.
Unless unique conditions exist, like one party expecting a big inheritance in the future, there is usually no need to discuss a financial Agreement when a couple comes into a relationship with a similar asset portfolio.
We are only a phone call or email away if you need assistance on how to protect your assets or whether you can make a claim for your partner’s assets that appear to be preserved.
We may be able to provide you with a solution that will give you peace of mind and help to stabilise a weak relationship brought on by financial insecurity.