How does the law work without a BFA?

The Court will either take a ‘Global approach’ or an ‘Asset by Asset’ approach.

1. Global approach

4 stage process

  1. Should an order be made at all?
  2. determine the balance sheet / asset pool (as at current date)
  3. assess contributions of the parties (as a percentage)
  4. Adjustment for section 75(2) factors / future financial needs.

Note: Everything goes into the joint asset pool – regardless of whose name it is in and regardless of where the asset came from.

2. Asset by Asset approach

This approach is rare, and usually only used when both parties agree or if the de facto relationship was very short, with no children and no inter-mingling of finances. Rarely used in marriages.

  1. Prepare balance sheet identifying all assets and who owns each asset;
  2. Identify which items on the Balance sheet need to be "pooled" as joint and which ones can be quarantined from the settlement.
  3. Apply percentage to each individual asset (some may be 100% / 0%)

For example a couple may decide that their Superannuation should be excluded from the settlement and instead each party shall retain their superannuation and the balance of the assets are divided.

Get in touch today for a fixed fee quote

Don't hesitate and regret it later! Remember your Binding Financial Agreement or pre nuptial agreement is a document that is negotiated and agreed between you and partner before you both sign it. That way both parties have a say about the content of the Agreement and the end result, and there are no hidden surprises. 

It is a fair way to protect the assets and wealth you both bring to the relationship and to document what happens if ever you break up in the future.

Fidan is a family lawyer with a difference

Family Law Accredited Specialist

Specialist accreditation is held by less than 6% of the profession in NSW

Fidan went on national television to talk about her own Financial Agreement and genuine belief that all things are not equal in family law. Fidan is a genuine divorce lawyer who is not shy to say what she really thinks about the importance of pre nups in a relationship. Based in Sydney NSW, Fidan can help you negotiate and draft a Financial Agreement of exceptional quality. What more can you ask for?

Read More

Fidan is a family lawyer with a difference

Family Law Accredited Specialist

Specialist accreditation is held by less than 6% of the profession in NSW

Fidan went on national television to talk about her own Financial Agreement and genuine belief that all things are not equal in family law. Fidan is a genuine divorce lawyer who is not shy to say what she really thinks about the importance of pre nups in a relationship. Based in Sydney NSW, Fidan can help you negotiate and draft a Financial Agreement of exceptional quality. What more can you ask for?

Read More