A binding financial agreement is an agreement made under the Family Law Act 1975 (Cth), between de facto, soon to be married or already married couples, which is made either before, during, or after their relationship. This agreement describes how the couple’s assets, financial resources and liabilities will be divided in the event that their relationship breaks down. It is a term used to describe a variety of different financial agreements made during a relationship, including:

  • Pre-nuptial Agreements;
  • Post-Nuptial Agreements;
  • Cohabitation Agreements;
  • Separation Agreements; and
  • Divorce Agreements.

A binding financial agreement can deal with any present or future property, superannuation entitlements, inheritance, maintenance of a party, child support, or any other related financial matter.

The main advantage of a binding financial agreement is that it is the parties themselves who are making the decisions on their property rights and financial interests if their relationship breaks down, instead of the Court. This provides reassurance and is far less stressful and far more cost effective.

By making a binding financial agreement you lose the right you would otherwise have to ask the Court to decide the division of your property if you separate. Both parties must obtain independent legal advice, before signing a financial agreement in order for the agreement to be binding.

Financial agreements need to be carefully drafted by a lawyer in accordance with the legal requirements and the principles provided for by the Courts and the Family Law Act to ensure that they are binding and that the agreement considers any structures in place, such as family trusts or self-managed super funds.

If you have signed a Binding Financial Agreement and you wish to overturn the agreement, Antunes Lawyers can provide advice on whether the agreement complies with the law and advice on whether

Our experienced team can assist if;

  • you would like to discuss the advantages and disadvantages of entering into a binding financial agreement;
  • you would like us to assist in negotiating and concluding a financial agreement;
  • you have already entered into a financial agreement and would like to discuss that agreement, its implementation, or termination; or
  • you are wanting to enter into a financial agreement or commence  litigation relating to a financial agreement.

Talk to one of our expert lawyers today.