ByLawyers News and Updates

Family Law – Financial agreements publication review

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The By Lawyers Family Law author has reviewed the Financial Agreements publication covering commentary, matter plan and precedents.

Commentary updates include the following additions:

  1. Child support agreements and financial agreements: Whilst a financial agreement may also be a binding child support agreement if it complies with the requirements in the child support legislation, it is recommended that child support ought to be provided for in a Binding Child Support Agreement or a Limited Child Support Agreement; and
  2. Enforcement procedure when a case has not been on foot: i.e. to seek a declaration as to the enforceability of the binding financial agreement under 90KA or 90UN, an initiating application would need to be filed, seeking both a declaration and the orders in relation to enforcement. The practical reality is in most applications seeking enforcement of a binding financial agreement, an initiating application is filed seeking both the declaration and enforcement orders at once.

The new requirements for affidavits in the Family Court has led to a new Exhibit page to Affidavit form being created by LEAP. This has been linked where necessary in the matter plan.

Letter submitting financial agreement to other side acting for themselves has been amended by adding the following paragraph:

The agreement cannot be signed without you obtaining independent legal advice and the solicitor needs to sign where indicated on the document to confirm you have been provided with this advice.

Reference Manual – 101 Family Law Answers – additional commentary

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Stamp duty and other charges

Whilst stamp duty is the common duty parties seek an exemption from, s 90(1) does not only provide an exemption from stamp duty. It provides that certain agreements/orders are not subject to any duty or charge under any law of a State or Territory. This may include land titles office fees on a discharge of mortgage, withdrawal of caveat and/or registration of mortgage.

Practitioners need to be mindful when drafting orders to ensure their orders specify what is required: for example, whether a refinance is required, or whether a withdrawal of caveat is provided.

Family Law – Property Settlement publication review

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The By Lawyers Family Law author has reviewed the Property Settlement publication covering commentary, matter plan and precedents.

Commentary updates include the following additions:

  1. Evidentiary issues with spousal maintenance – the best evidence for the effect of health issues on the earning capacity of the applicant is usually that of a medical practitioner; and regarding the attempts made by the applicant to secure paid employment, if acting for the respondent, evidence from a recruitment expert as to the applicant’s employability and likely salary may be useful;
  2. It is best practice to advise clients, even in consent matters, to provide and request disclosure of at least the basic documents. If they do not want to do so, advising them of the risks for an agreement or orders to be set aside on the basis of non disclosure is recommended;
  3. Consent orders and the registrar seeking further clarification – a requisition may be avoided by providing a covering letter or statement of agreed facts along with the documents to be filed, explaining the orders and background which gives rise to what otherwise may appear unjust;
  4. Federal Circuit Court Practice Direction No. 2 of 2017 providing strict directions for affidavits in interim matters;
  5. Section 79(9) and s 90SM(9) of the Family Law Act provides that the court shall not make an order in a property settlement proceedings, other than an interim order or a consent order, unless the parties have attended a conference with a Registrar or Deputy Registrar, i.e. a conciliation conference. If the matter is urgent or there is another special circumstance, the court may make an order notwithstanding parties have not attended a conference; and
  6. If a party seeks to amend their application or response refer to Federal Circuit Rule 7.01 and Family Law Rule 11.10.

The new requirements for affidavits in the Family Court has led to a new Exhibit page to Affidavit form being created by LEAP. This has been linked where necessary in the matter plan.

There were only minor amendments to several letters regarding use of the term “initiating applications” as opposed to “application for final orders”.

 

Family Law – Children publication review

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The By Lawyers Family Law author has reviewed the Children publication covering commentary, matter plan and precedents.

Commentary updates include the following additions:

  1. Practical application of s 65DAC –  Equal shared parental responsibility requires parents to consult one another and make a genuine effort to jointly make decisions on major long term issues relating to a child. The practical application of the obligation in s 65DAC can be difficult in some cases and is sometimes misinterpreted. The requirement is to consult and to make a genuine attempt to jointly make a decision;
  2. Practical use of parenting plans in situations where there is not high conflict; and
  3. Federal Circuit Court Practice Direction No. 2 of 2017 providing strict directions for affidavits in interim matters.

The new requirements for affidavits in the Family Court has led to a new Exhibit page to Affidavit form being created by LEAP. This has been linked where necessary in the matter plan.

The author also created a new precedent letter: Letter of appointment to psychologist for a private family report located in the Going to Court section. The letter covers party representation, what the report needs to address and a list of enclosed documents filed in the proceedings.

Family Law Rules – Additional changes as of 1 March 2018

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Documents to be used in conjunction with affidavits

As of 1 March 2018, in the Family Court, a document that is to be used in conjunction with an affidavit and tendered in evidence in a court proceeding, must be identified in the affidavit but must not be attached to or annexed to the affidavit, or filed as an exhibit to the affidavit.

There may be exceptions where court orders or the Rules provide otherwise: for example r 15.62 in relation to expert reports.

Any document referred to in the affidavit must be served with the affidavit on the other parties after filing. The document must then be tendered in evidence at the court event when the relevant affidavit is relied upon or as required: r 15.08(2)

While as of 1 March 2018, the Family Law Rules have changed, providing for annexures not to be attached to affidavits: r 15.08, in matters in the Family Court, the Federal Circuit Court continues to permit annexures to be attached. Given the majority of matters are filed in the Federal Circuit Court, not the Family Court, in practice the norm will continue to be that relevant annexures are attached to affidavits.

Undertakings

Rule 17.06 has been added, relating to undertakings. The rule sets out the form of undertakings and, in summary provides:

  • Undertakings may be given orally or in writing.
  • If they are in writing, it must be signed and filed.
  • If they are given orally, a written record must be made, signed, filed and served.
  • A definition of undertakings as to damages.

We have updated our Property Settlement and Children commentaries accordingly.

Family Law Rules – changes as of 1 March 2018

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As of 1 March 2018, changes came into effect in relation to consent orders in the Family Court.

The relevant By Lawyers publications, Children and Property Settlement, have been updated. The new forms have been linked to the matter plans and the commentary additions consist of the following:

Children changes

What was previously the annexure to consent parenting orders is now incorporated into the Application for Consent Orders form. A separate annexure is no longer required.

Three new forms were added for use in the Family Court.

The Notice of Child Abuse, Family Violence or Risk of Family Violence (Application for Consent Orders) must be filed with the Application for consent orders if parenting orders are sought and a party has said at item 25 of the Application there has been, or is a risk of child abuse, neglect or family violence.

The second form is the Notice of Child Abuse, Family Violence or Risk of Family Violence (Current Case). This form is now only for where cases are on foot: not for consent orders.

A third new form is the Submitting Notice. This form may be filed in Family Court proceedings if a party has been served with an Initiating Application, Response to Initiating Application, Reply or a Notice of Appeal, and does not want to contest the relief sought: Family Law Rules r 8.07.

Property Settlement changes

Previously, if the consent orders contained a provision for a superannuation splitting order, you had to ensure that a superannuation information form had been completed by the Trustee of the relevant super fund or a valuation had been obtained to the superannuation interest. However, as of 1 March 2018, a superannuation kit is no longer required. Proof of value of the interest is required to be filed with the Application.

Family Law Rules – Amendment

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ALERT – FROM 1 MARCH 2018 – APPLICATION FOR CONSENT ORDERS

Family Law Amendment (2018 Measures No. 1) Rules 2018

Parenting matters: Changes to consent orders and submitting notices. New forms for abuse/violence.

Financial matters: Superannuation interest – kit no longer required. Must file proof of value of the interest with application.

McKenzie Friend – A friend in need

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A McKenzie Friend (MF) is someone who assists an unrepresented person in court. They can be a lawyer, but they are not a substitute for a lawyer. So lawyer or not, when acting as a MF they may not address the court; they can take notes, organise papers, whisper quietly to and generally assist the litigant. McKenzie v McKenzie (1970) 3 W.L.R 472 was a family law case and MFs are more common in family and guardianship matters, but they may be permitted in any court where an unrepresented person needs assistance to ensure fairness. However, some MFs are overbearing do-gooders, or bush lawyers, who cause disruption and delay rather than actually assist and will not be permitted to remain. In guardianship hearings where there is no right of representation, a lawyer can act as a MF.

FAMILY LAW – LETTERS OF ADVICE FOR BINDING CHILD SUPPORT AGREEMENTS

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Detailed Letters of Advice for Binding Child Support Agreements have been added to the Children publication in Family Law with one for the “payee” and one for the “payer”. The letters explain Child Support Assessments and the meaning and effect of  Binding Child Support Agreements on the client’s rights. Each letter also lists the particular advantages and disadvantages of Binding Child Support Agreements for the “payee” and the “payer”. The “payee” letter explains the advantage of registering the agreement where there are non-periodic payments.

Locate these letters on the Children matter plan in Settling it Early in the Child Support folder.

FAMILY LAW – BINDING CHILD SUPPORT AGREEMENTS

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The Binding Child Support Agreements commentary has been updated with relevant case law.

Balzano & Balzano [2010] FamCAFC 11 at [40]-[41] and Gallup & Gallup [2009] FMCAfam 839 at [52]-[53] both demonstrate the extreme difficulty in having a binding child support agreement set aside.

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