Does your pre-nup meet legal requirements?

On December 31, 2012, Olympic swimmer Grant Hackett began legal action against his lawyers in relation to a pre-nuptial agreement they prepared on his behalf.

The Australian swim star claimed the botched Financial Agreement, with pop star wife Candice Alley, had left him with financial losses following their separation last year.

His financial loss is due to the agreement having “defects” and because it did not comply with legal requirements and therefore was not enforceable.

This high-profile case is a reminder to all couples entering or who have entered a Financial Agreement to ensure their agreement complies with legal requirements.

The expert team at Streeterlaw is dedicated to ensuring all Financial Agreements meet legal requirements and is keen to let their clients know that any Financial Agreement they draft for clients will not contain any defects.

The following requirements must be met for a Financial Agreement to be legally valid. It must: 

1. Be in writing;
2. Specify the section of the Act under which it is made;
3. Be signed by all parties;
4. Be between parties to a marriage, a former marriage or who are contemplating marriage or between parties in a de facto relationship, contemplating a de facto relationship or whose de facto relationship has broken down;
5. Deal with property, financial resources and/or spousal maintenance of the parties or matters incidental or ancillary to these matters;
6. Not be, with respect to property, in an existing Financial Agreement which is in effect unless the parties have entered into a termination agreement (in respect to the earlier Financial Agreement);
7. Each party must be provided with independent legal advice before signing the agreement about:
   a. the effect of the agreement on the rights of that party; and
   b. the advantages and disadvantages at the time the advice was provided to the party of making the agreement
8. Before or after the agreement is signed, each party must be provided with a signed statement by the legal practitioner stating the advice was given;
9. A copy of the signed statement is to be given to the other party or to their legal practitioner; and
10. The Financial Agreement has not been terminated or set aside

To ensure you have an agreement that is effective, operative and enforceable, talk to one of Streeterlaw’s family law experts. Call our Sydney office on (02) 8197 0105 or contact us by email at advice@streeterlaw.com.au