It is becoming more and more common for parties to seek our advice in relation to entering into Agreements which will determine how some or all of their assets and liabilities will be divided in the event that their relationships break down. The Law relating to De facto Relationships and Marriages becomes more and more identical. The issue of Financial Agreements can be considered more easily.

There is a significant amount of flexibility that should be considered when entering into such Agreements. The Agreements can be made before or during and arguably at the conclusion of relationships, the Agreements can deal with some or all of the assets and/or liabilities, the Agreements can remain in force until the breakdown of the relationship or death or as we sometimes advise the Agreements can terminate after a period of time has past.

Great care needs to be taken not only when taken instructions and drafting a Financial Agreement but also when advising upon it. There are three principles that need to be considered when entering into a Financial Agreement they are:-

1. The parties need to make a full and frank disclosure of their financial position.

2. The document needs to be in writing.

3. Each of the parties to the arrangement needs to be independently advised.

The recent amendments to the Legislation now enable third parties (that is parties who are not either the husband or the wife in the case of heterosexual marriages) to also be included.

When seeking advice in relation to this matter we strongly recommend that you instruct experienced and specialised Lawyers familiar and up to date with the Family Law and related Acts.