Imagine this…
You are a self-made financially independent woman. In 2008 you meet the man whom you will later marry. Because you are a smart and savvy woman, you tell the ‘man of your dreams’ – that when you marry, you will keep all your assets and liabilities and he too will keep everything he has, should the relationship end. She has heaps more than he does!
In 2008, you and the ‘man of your dreams’ spend one romantic afternoon googling ‘pre-nuptial agreements’. After many hours you find one – you’re both happy!
The terms of the agreement are simply this:
- It takes effect upon marriage;
- You and the ‘man of your dreams’ keep your assets separate;
- You are both free to sell or transfer assets as you see fit;
- Neither you or the ‘man of your dreams’ will ask for any maintenance or alimony during or after the marriage;
- If the marriage ends you walk away with all your individual assets
You both know the importance of independent legal advice – so you each find your own lawyers to sign the certificate that says that the agreement is what you both want and there was no pressure or duress. You both understand what the agreements means both now and in the future.
Sadly ‘the man of your dreams’ turns out to not be so great after you marry him. By 2015 you are over him and in 2016 you file at Court to get finality of your property matters.
It is not until 2 years later – that your matter is finally heard and not until 2 months later that you get your decision.
Hooray!
The decision is in your favour! You were able to show the Court, that even though there is no such document under the Family Law Act called ‘ pre-nuptial agreement’ – you convinced the Judge, that the document you and the man of your dreams signed ticked the all the elements of a financial agreement under the legislation and under the law of contracts!
Why? Because this is what you and the ‘man of your dreams’ intended to happen if your marriage soured!
Happy days again- you get to keep what you have minus ‘the man of your dreams’ and life is rosy!
This is the case of Squibb & Graham [2018] – where Ms Squibb successfully upheld the ‘pre-nuptial agreement’ in her favour and the name of the agreement was rectified to comply with the legislation.
Disclaimer
The information contained herein is not legal advice. It is mere information. If you wish to seek specific legal advice in relation to pre-nuptial agreements, contact us on info@cominoslawyers.com.au