A binding financial agreement does not need to be approved by a court, but for it to be enforceable, it must be drafted correctly. There have been many trials where judges have given clear indications about the development of Do`s and Don`ts. For a financial agreement to be legally binding, you both need to have the following: financial agreement – If you want to enter into a BFA, be sure to hire a lawyer who specializes in family law to design it. We have seen too many poorly worded BFAs in our time to know that documents are extremely specialized and that not all lawyers can do them. You should be aware of the current issues with BFA, including current case law, as this can give us a lot of information on how we can try to make the BFA as binding as possible. Sections 90B-90 C of the Family Law Act 1975 deal with financial agreements between the parties to a marriage. Article 90UA-90UN applies to financial agreements entered into by de facto couples. The Act provides for de facto financial agreements between couples only if, at the time of the conclusion of the agreement, the parties to the relationship had their habitual residence in New South Wales, Victoria, Queensland, South Australia, Tasmania, the Australian Capital Territory, the Northern Territory or Norfolk Island. Don`t be discouraged by the word „court.“ If you decide that consent orders are appropriate, you usually don`t have to physically appear before a judge. The documents are filed in the court register and then approved by the court author who reviews your agreement to see if it is fair and equitable regulation under the Family Law Act 1975.

A financial agreement reached in circumstances where a party wishes to terminate a financial relationship with a former partner, avoid a court and sue is more likely to be upheld by the parties themselves and may offer a faster solution to all parties involved. A final word of caution if a family lawyer recommends that you need a BFA because you have reached an out-of-court settlement OR they don`t „do“ BFA because of the risk, you should consider seeing another lawyer…