DO YOU NEED A FINANCIAL AGREEMENT? (ALSO KNOWN AS A PRE-NUP). IS IT WORTH THE PAPER IT IS WRITTEN ON?

DO YOU NEED A FINANCIAL AGREEMENT? (ALSO KNOWN AS A PRE-NUP). IS IT WORTH THE PAPER IT IS WRITTEN ON?

A. You can negotiate a financial agreement in a range of situations as follows:

1. Before marriage OR before commencing a de facto relationship
2. During marriage OR during a de facto relationship
3. After separation in a marriage OR after separation in a de facto relationship
4. After divorce.

B. Do you need a financial agreement?

This depends on a range of factors, including the following:

1. Do you want to protect your existing and future assets from a claim from your spouse or de facto if the relationship ends?
2. Do you want to protect your future inheritances from an ex-spouse or ex-de facto partner?
3. Do you want to protect any future gifts or windfalls from an ex-spouse or ex-de facto partner?
4. Do you want to ensure your children from a former relationship inherit your existing and future assets?

C. Should I sign a financial agreement?

This will depend on a range of factors, including the following:

1. The financial provisions made for you in the future.
2. If you could have a child (children) in the future as a result of the relationship and if there are financial provisions for their support.
3. If you don’t have any existing assets and the likelihood of gaining assets in the future, bar a lottery win, is low, do you want to be able to claim the existing and future assets of your spouse or de facto if the relationship ends?
4. If you have existing and possible future assets do you want to protect from your ex-spouse or ex-de facto partner?

D. Is a financial agreement worth the paper it is written on?

Yes, if the requirements under the Family Law Act are complied with.

Next Step

Contact Kathy Chase of Pittwater Family Lawyers if you have questions regarding financial agreements. Kathy has acted in several matters on financial agreements including drafting and negotiating terms of simple and complicated financial agreements and disputes on the validity of financial agreements, including the hearing of the validity of a financial agreement drafted by other lawyers. You can contact Kathy at info@pittwaterfamilylawyers.com.au or pittwaterfamilylawyers@gmail.com or telephone her on: (02) 9918 6565 or 0418 285 307.