Whether you plan to get married or stay in a de facto relationship for the foreseeable future, make the deal while being happy in your relationship, you are much more likely to end up with a marital or de facto agreement, which is fair to both of you and will save you time and money. In short, a BFA is a private contract between two people, including same-sex partners, that formalizes the distribution of a couple`s property, property, superannuation and liabilities in the event of a marriage or de facto relationship breakdown. As soon as the parties enter into a BFA, they give up their rights under the Family Act (FLA) so that the family court can rule on certain property and financial matters if their relationship ends. There are a number of advantages and disadvantages to consider when setting up a binding financial agreement. In this video, we look at the big pros, cons, and legal loopholes. For a financial agreement to be legally binding, you need to have both: today, many married couples and de facto couples (including same-sex couples) want to organize their own financial affairs with regard to the division of property and the maintenance of spouses in the event of separation, without resorting to controversial litigation that could be a very stressful and costly progress for both. Married couples and common-stock couples can now enter into binding financial agreements at all stages of their relationship (also known as the popular „pre-conjunctal agreement“ in the case of married couples and also formally as roommate agreements, domestic relationship agreements and cancellation agreements in the case of de facto couples). The parties may enter into binding financial agreements before marriage or cohabitation, during marriage or cohabitation, or after divorce or separation. If you think you are in a de facto relationship, you need to consider the following key points: Couples often consider that once they have been in a relationship for two years, they are in a „de facto“ relationship. However, de facto relationships have a specific definition from the Family Law Act 1975 (Cth) (the Act), and it is not always as simple as a two-year anniversary. Below we look at how this definition can apply to you and your partner and what it means when it comes to establishing a binding financial agreement.
Financial agreements can be made at different times during a relationship or marriage. Part VIIIA of the Family Law Act 1975 („the Act“) provides, for financial agreements relating to married persons, the following provision: Entering into an agreement with the other party offers many advantages, such as: Section 4AA of the Act defines a de facto relationship as follows: There are certain formal requirements to be met. . . .