Hi guys, My girlfriend and I have been investing together in property and shares. We bought property in my name and shares in hers to take advantage of our different tax rates. How can we make an agreement stating that if we ever separate, all investments will be shared between us proportionaly to the amounts of money we invested? I believe this is the only fair solution in the worst case scenario. Thanks.
That's the likely scenario regardless, unless / until there's kids involved. Have you contributed equally?
You could write one up - but it would not be enforceable if challenged. if you want one that will hold up you will need to see family lawyer and get advice about a BFA - binding financial agreement. She will then have to go to a different lawyer for advice and sign off - the lawyer will advise her not to sign too.
Did you mean to a different lawyer? Why would he advise her not to sign? Would you have a rough estimate on the total cost to arrange something like this? Thanks Terry.
Lol - yes lawyer. It would not be in her interest to sign as she could get more. Price will depend on how complex - but $5k plus
Would she get more even if we didn't live together at the time we bought properties (in my name)? Say we bought properties in my name now and two years later we start living together.
It would not be in her interest to sign as she could get more. Price will depend on how complex - but $5k plus[/QUOTE] Im pretty sure as defacto the couples are entitled to 50% of assests etc
50-50 is usually a starting point for negotiations. Unless you have children - then it is a whole new ball game. As it should be, their interests must be considered. Marg
Im pretty sure as defacto the couples are entitled to 50% of assests etc[/QUOTE] Cite me some legislation to back this claim up.
50/50? Gee, when I got married I think I promised that what’s mine was hers, and whats hers is hers! Given that a certain young lady helped me dig drainage trenches and landscape a dual occ property development many years ago I figured she was worth marrying. Two kids and almost 20 years later we finally did another development - three townhouses. Looking for our next one before another 20 years are up!
Put simply if you pool your funds you will have a problem. If you maintain your own assets and go between each others properties and don't have joint bank accounts or children you're sweet. If you do the full defacto thing you're buggered.
Terry is on the money. $6,500 for the preparing side is what my family guys charge. Your partner will need to go to a different lawyer and one that the lawyer who drafts the agreement considers to be sufficiently experienced enough to provide advice on the agreement. Like all agreements, a Binding Financial Agreement is open to be challenged. A well drafted one will unlikely be challenged on a no win no fee or deferred fee basis.
