A binding financial agreement, sometimes called the marriage agreement, defines how some or all of a couple`s assets are distributed in the event of a breakdown in their relationship. It can also manage marital maintenance. Q: What other names are BFAs known for? A: Binding financial agreements are also called pre-marriage, post-marriage agreements, cohabitation agreements, separation agreements and divorce agreements. When considering marriage or entering into a common-law relationship, a binding financial agreement (BFA), sometimes referred to as “pre-nup,” can be a practical and effective way to protect your wealth and avoid the potential emotional and financial costs of a relationship breakdown. But what makes the BFAs contractual and can they be overthrown by a judge? Read the main basics here. You can get a financial agreement before, during or after a marriage or a de facto relationship. These agreements may cover the following: the Family Act 1975 provides for parties to a marriage or, de facto, 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.” It is very important to get legal advice at every stage of the binding financial agreement process so that you have the knowledge to make an informed decision about the agreement. You can apply the Family Court or the Federal Court to financial decisions. For more information, see “If you don`t agree on real estate and finance.” By entering into a binding financial agreement, you are effectively rejecting your rights and claims under the Family Act 1975. It is therefore very important that you know what these rights and rights are or could be before you conclude the agreement. A high degree of caution should be exercised when preparing, revising and signing this type of agreement.
Both parties need independent consultation with a lawyer on specific issues before the agreement is signed.