We often meet with clients who tell us they have reached an agreement with their ex regarding assets, and they simply want this documented.
As straight forward as it sounds, this is not always doable.
When separated parties reach an agreement, this is documented and formalised, by way of a Consent Order and an accompanying Application, which is sent to the Federal Circuit and Family Court of Australia.
The Application and Orders must be approved and made by the Court for the agreement to be legally binding.
A significant area of consideration is deciding whether or not the agreement is ‘just and equitable’.
The Registrar will identify the assets and liabilities and consider the contributions made by each party and what their future needs are.
They will then decide whether the agreement is just and equitable.
If one party is receiving a significant percentage of the property pool without explanation, the Court may refuse to make the Orders on the basis that the agreement is not just and equitable.
If you have reached an agreement and are unsure how it should be documented, seek legal advice.
Rebecca Simpson is a senior associate at Catton & Tondelstrand Lawyers and specialises in all aspects of family law, including both property and complex parenting matters, domestic violence, and child protection matters.
