Binding Financial
Agreement or Prenup
- Have our experienced family lawyer on your side
- We can assist you through this difficult time
- Get the outcome you need for the future
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- Experienced Family Lawyer
What is a Binding Financial Agreement?
What’s the difference between a Binding Financial Agreement and a prenup?
A prenup or prenuptial agreement is simply a binding financial agreement that is created before marriage.
What our clients have to say
When can you get a Binding Financial agreement?
You can get them at almost any stage of relationship whether you’re married or in a de facto relationship (same-sex or heterosexual):
- ‘Pre-nup’ or before marriage;
- Before you enter into a de facto relationship
- During a de facto relationship
- During marriage and before separation or divorce;
- During marriage but after separation;
- After divorce
- After separating from a de facto relationship
When are Binding Financial agreements most useful?
- Lots of assets
- Due a large inheritance or gift
- Children from previous marriage
- Business
- Want to set up a trust
- Ex-partner
- Superannuation
- While happy and no contention/arguments
- Want to ensure that your decisions are taken into account rather than the Family Court
- You and your ex-spouse have decided amicably on the best way to split assets
What are the legal requirements for a Binding Financial Agreement?
- Both you and your partner need independent legal advice and a solicitor needs to sign a certificate saying you received it;
- The agreement must be in writing;
- The agreement includes the relevant financial matters
Ready to get started now?
Binding Financial Agreement Advantages and Disadvantages
You may want to weigh up the advantages and disadvantages of a Binding Financial Agreement or BFA before deciding whether to undertake one.
ADVANTAGES | DISADVANTAGES |
BFA can incorporate both financial (incl. superannuation) and parenting arrangements. | There is no central register, such as a court, which can be checked if the BFA is lost or destroyed; |
It can include child support arrangements; | There is no independent oversight by the court to ensure the agreement is ‘just and equitable’ as required in property consent orders; |
More flexibility than consent orders; | The bargaining power between the couple may be unequal; |
| The BFA cannot be varied and continues after death. |
Reasons for setting aside a Binding Financial Agreement
- Fraud
- If one party is trying to defraud or defeat a creditor;
- Since the making of the agreement, there has been a material change in circumstances in relation to the care and welfare of a child to the marriage which will result in hardship for the child or a party to the agreement;
- The agreement covers at least one ‘unsplittable’ superannuation interest.
It’s vital you receive legal advice in relation to a binding financial agreement. VHL is very happy to discuss your requirements for a BFA during the consultation with Vania Holt either by zoom, phone or in-person (once restrictions have lifted).
NB This does not constitute legal advice and does not include reference to your specific needs. We urge you to speak with a solicitor to discuss your circumstance.