What is a Prenuptial or Binding Financial Agreement?
A Binding Financial Agreement (BFA), also known as a Prenuptial Agreement, allows people to agree not to be bound by the Family Law Act regarding the division of their property following a relationship. They can be entered into this agreement before, during or after a marriage or de-facto relationship.
These financial agreements are a private contract between the parties which are not approved by the court and are not required to meet any standards imposed by the Family Law Act. Therefore, a party may agree to an arrangement which the court would not consider to be a good bargain.
One obvious advantage of a Binding Financial Agreement is that you can deal with the consequences of a potential relationship breakdown in the future. Court orders are only possible after the relationship has broken down and invariably in circumstances where the parties no longer see eye to eye.
Another advantage of a Binding Financial Agreement is that it can include third parties for example in circumstances where one party’s parents lend money for the purchase of a home, they can become a party to the agreement and ensure that they are repaid in the future.
Do you need a prenup lawyer or legal assistance?
If you are considering getting a prenup, please make an appointment with our Clarity Lawyers and we can discuss the various options available to you and ensure that you avoid potential issues in the future.
We provide family law services to anyone seeking help in Australia and are able to take all instructions via video conference, telephone or email.