A marriage must be concluded before the start of the marriage or relationship. A binding financial agreement can be reached before the start of the marriage or the de facto relationship. Many people still refer to binding financial agreements as marriage contracts or prenups. The Family Act of 1975 provides for parties to a marriage or, de facto, to enter into a binding legal agreement on financial arrangements in the event of a breakdown of their marriage or de facto relationship. Sometimes people know these agreements as “marital agreements,” but the legal term is “financial arrangements.” Even if a party refuses to do the binding financial agreement, the binding financial agreement will remain in force and will be binding on that person`s representative. To discuss with an experienced lawyer in Brisbane the development of a de facto legally binding matrimonial or financial agreement, call (07) 3231 2444. For more information on financial agreements and the cost of developing a financial agreement, please see the links below. With mutual signature, the binding financial agreement enters into force and is legally binding, unless the agreement expressly specifies that it will enter into force at a later date. A binding Financial Agreement (BFA) or prior to creation is a document or set of documents that govern your property rights in the event of separation during a marriage or de facto relationship. A BFA can be registered before, during or after a relationship. If after the marriage, the compulsory financial agreement must be concluded within twelve months of a divorce settlement. A recent decision by the High Court of Australia, known as Thorne/Kennedy, caused a stir in the press and in the legal fraternity because it was seen as a challenge to the use of binding financial agreements, particularly what are commonly referred to as “pre-marriage agreements”. You need to get private advice.
The cancellation of a financial agreement can only be ordered in limited cases. The Court of Justice can make a decision of the Court if and only if the Court is satisfied: rightly, a binding financial agreement cannot be concluded prematurely or at the last minute. To terminate or amend financial agreements, you must prove that once the terms of the financial agreement are agreed and drafted in the correct form, each party must obtain independent legal advice. Compelling financial agreements are not without their mistakes. Disadvantages of financial agreements include their inability to take into account unpredictable changes in circumstances, their ability to be revoked (if circumstances are proven) and the possibility of contractual litigation.