WA Get a Binding Financial Agreement for Divorce?

[Seth]

Hello all,

My wife and I have been separated for over 15 months and launched the joined divorce application last month to Family Court WA. The court said will take more than 6 weeks to file the application, then arrange a court date. We figure that will be a long process to wait.

As we both agree with our current financial agreements, is there an easy way to formalise a finance agreement rather than go to court to do consent orders (as it will take very long time as well) or do a Binding Financial Agreement?

Thanks in advance.

Regards,

 

[sammy01]

So assuming there is no superannuation split? The easiest way if you trust each other is just shake hands and go your separate ways. 12 months after the divorce is formalised neither party can claim on the other (sort of - there are always exceptions). Nice easy friendly and free.

But it will only work if no superannuation split is happening. This also comes with some risk... You agree. All good. Get divorced all good. Moving on... All good. Then all of a sudden the ex applies to court and the nice easy friendly and free agreement is toilet paper.

If super split needs to happen then solicitors are gonna be required to give advice. That is a legal requirement.

 

[Seth]

so assuming there is no superannuation split??? The easiest way if you trust each other is just shake hands and go your separate ways. 12 months after divorce is formalised neither party can claim on the other (sort of - there are always exceptions) Nice easy friendly and free.

BUT will only work IF no super split is happening. This also comes with some risk... You agree. All good. Get divorced all good. Moving on.... All good. Then all of a sudden the ex applies to court and the nice easy friendly and free agreement is toilet paper.

If super split needs to happen then solicitors are gonna be required to give advice. That is a legal requirement.

Thanks a lot for your quick reply, yes there is no superannuation split, the situation is my new partner and me want to purchase a house urgently, she want to make sure there is no struggling about the split of that house afterwards.

 

[sammy01]

My advice, If you're on good enough terms with the ex, then sell up the stuff split the $$$$ and move on. No need for solicitors and 12 months after the divorce it is difficult to make a claim through family courts on assets. Not impossible but the ex would have to show cause for the delay... Nice and easy. And like I said no solicitors.

Not gonna like the next bit... You and the ex split 15 months ago? new partner wants to buy asap? This can get messy. I'd wait for the 12 month period after the divorce. Why?

1. Well to make sure the ex doesn't change her mind and come after you via courts

2. Rushing into a new investment with the new partner while all this stuff lingers? Messy

3. Things go bad with the new partner you could be fighting a war on two fronts. You think one ex is bad...

4. No rush.. (not legal advice) Seriously, getting involved with someone so soon... Not a big deal. Who am I to judge... But getting financially attached - possibly not a good financial decision, especially if the new partner isn't in a similar or better financial situation than you (just being brutally honest)

5. The final part of my rant. Suggest to new partner waiting is a good idea... Especially given argument number 1 above... And I reckon house prices might come down a bit in the next 12 months and have I mentioned the war on two fronts... Didn't work out well for the Germans...

 

[Seth]

My advice, If you're on good enough terms with the ex, then sell up the stuff split the $$$$ and move on. No need for solicitors and 12 months after the divorce it is difficult to make a claim through family courts on assets. Not impossible but the ex would have to show cause for the delay... Nice and easy. And like i said no solicitors.

Not gonna like the next bit... You and the ex split 15 months ago? new partner wants to buy asap? This can get messy. I'd wait for the 12 month period after divorce. Why?
1.well to make sure the ex doesn't change her mind and come after you via courts
2. Rushing into a new investment with new partner while all this stuff lingers? messy
3. Things go bad with the new partner you could be fighting a war on two fronts. You think one ex is bad...
4. No rush.. (not legal advice) Seriously, getting involved with someone so soon.... Not a big deal. Who am I to judge... But getting financially attached - possibly not a good financial decision, especially if the new partner isn't in a similar or better financial situation than you (just being brutally honest)
5. final part of my rant. Suggest to new partner waiting is a good idea... Especially given argument number 1 above.... And I reckon house prices might come down a bit in the next 12 months AND have I mentioned the war on two fronts... Didn't work out well for the Germans....

Thanks Sammy, I have nothing left and transferred the ownership of the good car (a brand new Audi A5) to my wife and whatever the valuable furnishes. The house has been sold in prior to separation (15 months) ago, and the money was used up for paying the debt of our broken coffee shop.

So I don't have really anything really to split, if we need split I think I will get some back as I am the "0" side.

The thing is the deposit for the new house will be from my parents will that make any difference? will that claimable from my wife?

Regards,

 

[Rod]

The thing is the deposit for the new house will be from my parents will that make any difference? will that claimable from my wife?

Yes, that makes a difference. It would go into the pool, and you'd ask for it to be discounted if it challenged. Better to avoid depending on the good graces of a judge.

But I'd still wait until either a BFA is completed or consent orders obtained. You don't want the ex to turn nasty and have to defend/justify that the gift from your parents is not hers to fight over.

A BFA should be straight forward as you have next to no assets. Basically it only needs to say the parties keep what they have, along with an estimate of the current pool.

 

[sammy01]

With respect... You seem to be a slow learner... So your folks give you $$$ for a deposit. If your new partner's name is on the title, even if she contributes nothing (and especially if she contributes nothing) you're finding yourself in a position not dis-similar to the hole you're trying to dig yourself out of with the ex.

I agree with Rod a BFA is a good idea, but both parties need legal advice... Ballpark figure of $1000 each minimum...

 

[Rob Legat - SBPL]

I'm not suggesting one way or another on a binding financial agreement. There's no way to make that call without a thorough consideration of the situation. However, what I will say is that you cannot get a binding financial agreement created unless both parties have received independent legal advice. The agreement itself incorporates the legal advice certificates. Without those, it would be worth less than the paper it's written on (as they say).

 

[Rod]

The OP seemed more concerned with time than costs.

BFA is potentially by far the quickest option. Though it does carry the risk lawyer for the other party will convince the other party they can do better.

Consent is cheapest option and can be done without lawyers, though takes longer.

Contested trial is the longest and most expensive option.

 

[Seth]

Thanks heaps for all of the reply, I may go with the consent order application.
You guys are really nice.