Marriage Breakdown:

Sometimes marriages end and result in separation and divorce, and we understand that the end of a marriage is a process, not a moment. In these unfortunate circumstances the issue to consider is the division of property and assets, as well as the custody of any children and dependants from that union. The division of property and assets can occur by negotiation and agreement, by contract (such as a premarital agreement or a post nuptial agreement) or it can occur by litigation and determination by the Family Court of Australia. The process of resolving disputes and agreeing on division of assets may be a stressful and time-consuming ordeal. Obtaining sound legal advice from a supportive and understanding Asset Protection & Trusts Lawyer may ensure that your assets are adequately protected and retained throughout this process.

A consideration before entering any marriage is ensuring that assets that you have attained are protected should the marriage end.  Of course, the union of a marriage is generally not entered with the expectation that it will end or dissolve. However, life is unpredictable and it is important to be prudent and ‘err on the side of caution’ when it comes to matters so significant such as marriage. It may be wise and suitable to arrange for a Binding Financial Agreement (BFA) to be entered into before or after marriage, in which the parties agree on which assets belong to each party as an individual and which assets are owned collectively. A BFA can also deal with maintenance but generally does not deal with parenting matters. A BFA may be entered into before or after marriage and there are certain consequences in each course of action. A BFA allows parties to secure ‘final’ and legally enforceable arrangements away from the direct scrutiny of a court. This may be particularly important when parties have substantial assets and wish for a level of certainty in the event of a relationship breakdown.  Obtaining proper legal advice from an Asset Protection and Trusts Lawyer may be hugely beneficial in this regard as they can consider your circumstances and tailor asset protection methods to cater to your needs.

In addition, there may be various trust structures that are suitable to protect your interests and quarantine certain assets away from consideration in the marriage property pool. A trust structure allows certain property to be held on trust for the benefit of certain beneficiaries (that can be named or unnamed) with a trustee who is in control to distribute and manage the trust property in a manner that complies with their fiduciary and contractual duties. Of course, a trust structure that is consistent with your needs and expectations should be chosen, and further information is available under this "Practice Area" tab. For instance, a discretionary trust allows the trustee to have a high level of flexibility in naming beneficiaries and making distributions because no beneficiary has any entitlement or apportionment to income, profits, shares or interest in the trust assets until the trustee exercises their discretion. An Asset Protection & Trusts solicitor may be able to review and consider your situation and provide you with preliminary advice on the appropriate strategies to cater to your desired level of asset protection.

If you need further legal advice on your matter, you may book an appointment with us by telephone on (02) 9233 4048 or by email to info@navado.com.au.  

This webpage (and any material or wording appearing on this webpage) is provided for general information purposes only and does not constitute any Legal Advice. It does not take into account your objectives, your instructions or all of the relevant facts and/or circumstances. Navado accepts no responsibility to any person who relies on the information provided on this website. We further refer you to our Disclaimer.