A BFA can deal with all financial matters between the parties. It can specify ownership sharing and superannuation. It can also arrange for the maintenance of spouses. The main objective of a BFA is the exclusion or exclusion of a BFA for parties who argue an action against the other party in the family courts. To reach a valid agreement, the parties need the participation of 2 experienced and independent family lawyers. Due to the complexity of binding financial agreements, it is advisable to provide legal advice before entering into an agreement. There are many reasons why a couple wants to enter into a financial agreement, but more often than not the parties want to protect the assets they owned before the relationship began, including business assets, gifts or inherited property and registering it as such. This allows them to distinguish between personal and common assets. They may also identify and protect the income or assets they may obtain through future inheritance or through a trust, or even transfer debts such as commercial loans or mortgages to the party concerned in order to avoid both debt securities. To be binding, there are certain requirements that financial agreements must meet, if not, the agreement can be cancelled or cancelled. You must obtain independent legal advice and draft a lawyer and execute the document to avoid the agreement being cancelled.
If you have some form of pre-nuptial agreement outside australia, it is important that you obtain the assistance of a family law lawyer in the dero-Australian jurisdiction to seek advice on the impact the agreement may have on your financial management affairs within Australia. The Family Law Act of 1975 (Cth) provides that parties to a marriage or, de facto, enter into a binding legal agreement on financial arrangements when their marriage or de facto relationship breaks down. Such an agreement is merely a contract between a couple in which they establish their financial separation agreement in the event of a breakdown of their marriage or a de facto relationship. Part VIII A of the Family Act 1975 (Cth) is the place where you will find the legal provisions governing mandatory financial agreements for married couples. Part 5A Division 3 of the Family Court Act 1997 (AV) for de facto couples in Western Australia. Part VIIIAB Division 4 of the Family Act 1975 (Cth) for de facto couples in other states and territories. Some advantages of reaching a financial agreement are to have certainly and control your future financial situation, privacy before the usual court proceedings and the freedom to do things under the agreed terms. Financial arrangements can help foster a consensual and relatively rapid distribution of assets and liabilities following a breakdown of a relationship. If there is no BFA, each party can invoke its family law to go to the family courts. Without BFA and without an amicable agreement, their financial future is uncertain, as the family has a large margin of appreciation in financial affairs.
The Family Act gives the court the power to invalidate a financial agreement and to cancel it in a number of circumstances.