Protecting Your Assets: Binding Financial Agreements Before Marriage

Amendments to the Family Law Act 1975 (the "Act") took effect in December 2000 which permitted couples contemplating marriage to enter into a binding financial agreement ("BFAs") before the marriage to determine how their property would be divided in the event of their marriage subsequently breaking down.

Up until this significant amendment to the Act, the Family Court paid little regard to what were colloquially known as pre-nuptial agreements as they were not binding under the Act.

Now, provided that the BFA has been entered into properly, which includes each party disclosing the assets in which they have an interest and obtaining independent legal advice, only in very rare cases will the Court set aside such an agreement.