Pre-Nuptial / Binding Financial Agreements

Understanding Binding Financial Agreements (BFA)

Binding Financial Agreements (BFA) are documents made between de facto or married couples to settle financial matters privately. Such financial agreements can be entered into before, during, or after a relationship and are titled accordingly, such as Pre-nuptial Agreements occurring before a marriage.

Purpose and Content of a BFA

A BFA usually states how assets will be divided in the event that your relationship breaks down. They can include arrangements for spousal maintenance after a separation and how property will be divided. BFAs can provide clarity and reduce the stress associated with financial disputes during a separation.

Exclusion from Court Proceedings

Importantly, by making a BFA, the parties are excluding the Federal Circuit and Family Court from deciding how assets and property will be divided after separation; essentially, a BFA may ‘contract out’ a couple from Court proceedings. However, this does not apply if the BFA is not ‘Binding’. This exclusion can save time and legal costs for both parties.

Requirements for a Binding Financial Agreement

There are various requirements for a BFA to be considered a Binding Financial Agreement, such as:

• Either party needing to be provided with independent legal advice
• The BFA must be signed by both parties
• The BFA must be witnessed by a lawyer

Our Services for Binding Financial Agreements

If you have any concerns relating to a Binding Financial Agreement, we can assist you with:

• Negotiating your position in a Binding Financial Agreement
• Drafting and reviewing your Binding Financial Agreement
• Applying to the Court to set aside a Binding Financial Agreement

By ensuring these steps are followed, you can better navigate the complexities of Binding Financial Agreements. Contact us  today for expert legal advice and assistance with your BFA.