The idea of a Pre nup has been around for ages.
We all remember hearing about the pre nups celebrities in the United States have. See these for as giggle.
In Australia more and more couples are opting to have pre-nups so they can avoid the pitfalls of going through a messy property settlement if their relationship does happen to hit the rocks.
The number of Divorces granted in Australia in 2015 was 48,517. ( Australia Bureau of Statistics) This figure doesn’t take into account the break up of defacto relationships. Even if you and your partner are rock solid, there is comfort in knowing that if you ever do breakup, there is a plan agreed to when you were still friends.
But why does it cost so much?
This is a big question for people. The reason is that the prenup does something very powerful, but only if it is prepared properly.
It can completely oust the jurisdiction of the courts and stop either of you from successfully seeking property settlement in the family law courts. It operates as a bar to Family Court action.
However the requirements for a Pre Nup or Binding Financial Agreement are very strict. We have to make sure everything is done for the pre nup in a particular way, and in accordance with the Family Law Act.
Try as we might, we cannot prepare a prenup for under $5500 Gst inclusive. It takes hours to prepare letters of advice and go through the terms of the agreement to make sure it is as sound as it can be. Here a case that thoroughly goes into whether or not a financial agreement is binding. Reading it will help you understand why it is so important to precisely and carefully carry out the requirements of the Family Law Act for a Prenuptial Agreement . It is the case of Manners.
Lynette Galvin made a video about the rise of the Pre Nup and some pitfalls in doing them sloppily. View it by clicking: Videos Journey Family Lawyers pre nups.