School fees, swimming lessons, uniforms, football and dance classes, the list of the ever increasing expenses of raising children goes on. When parents separate, expenses that were once agreed and were paid from joint funds can become a point of contention.

Recently there have been changes to the Family Law Act 1975 (the Act), via the Family Law Amendment Act 2023 (FLAA) about parenting matters. Most of the changes as a result of the FLAA will take effect from 6 May 2024.

Separations can often be quite complex giving rise to many issues that result in family lawyers needing to collaborate with solicitors in other practice areas (such as commercial or superannuation law), but we can also be greatly assisted by the parties’ professional advisers.

A Financial Agreement, or sometimes also called a Binding Financial Agreement, is a document, similar to a private contract, between the parties in a family law matter.

The intention of a Financial Agreement is to remove the Federal Circuit and Family Court of Australia’s jurisdiction in relation to the financial arrangements of the parties upon their separation, or to address specific issues between them.

In family law matters, there is a requirement for parties to try to resolve disputes by making a genuine attempt to negotiate and reach agreement on the issues in dispute.

This includes any matters relating to family law however, primarily it includes reaching agreement regarding care arrangements for children and / or the division of relationship property.

Separation is not easy. In fact, separation is difficult whether it is your decision to separate or not.

There are many things to consider when contemplating separation or you have separated such as your health (including your safety and wellbeing together with any children), care arrangements for children, your financial stability both in the short term and long term and also interactions with your former partner or spouse.

In a recent case of Cao & Trong (2022) FedCFamC1F 754 (4 October 2022) the Court considered debts of the parties which exceeded the value of the matrimonial asset pool available for distribution.