Not necessarily. In fact, parties are generally expected to make a genuine attempt to resolve their property dispute before commencing court proceedings.

The Family Law Rules require parties to comply with pre-action procedures before commencing financial or property proceedings, unless an exemption applies. These procedures are designed to encourage parties to exchange relevant information, identify the issues in dispute and genuinely attempt to reach an agreement without the need for court proceedings.

This will usually involve exchanging financial disclosure, participating in negotiations or an appropriate form of dispute resolution, and making genuine attempts to resolve the issues in dispute.

If an agreement is reached, the property settlement can usually be formalised without a contested court hearing, commonly by Consent Orders or, where appropriate, a Binding Financial Agreement.

There is no automatic 50/50 division of property following separation. In determining how property should be divided, the Court generally adopts a four-step process:

1. Identify and value the property pool

The first step is to identify the parties’ assets, liabilities, superannuation and financial interests. This can include the family home, investment properties, bank accounts, shares, businesses, companies, trusts, vehicles, superannuation and debts.

2. Assess the parties’ contributions

The Court considers the financial and non-financial contributions made by each party before, during and, where relevant, after the relationship. This can include income, property brought into the relationship, inheritances, gifts, homemaking and parenting contributions.

3. Consider each party’s current and future circumstances

The Court then considers whether an adjustment should be made having regard to matters such as the parties’ ages, health, income and earning capacity, care of children and other relevant financial circumstances.

4. Consider whether the proposed outcome is just and equitable

Finally, the Court considers the overall outcome to determine whether the proposed division of property is just and equitable in all the circumstances.

Every property settlement is different, and the outcome will depend on the particular facts of the relationship. Where businesses, companies, trusts or significant assets are involved, the identification and valuation of the property pool can be particularly important.

Yes. If you and your former partner reach an agreement about property or parenting matters, it will often be possible to formalise that agreement without attending Court or having a contested hearing.

For property settlements, an agreement will commonly be formalised by either Consent Orders or a Binding Financial Agreement. Consent Orders involve filing an Application for Consent Orders with the Court. The parties generally do not need to attend Court; however, the Court must be satisfied that the proposed property orders are just and equitable before making them. A Binding Financial Agreement is a private agreement that is not approved by the Court, but strict legal requirements apply, including the requirement for each party to receive independent legal advice.

For parenting arrangements, parents may document an agreement in a parenting plan or apply for Consent Orders. A parenting plan can provide flexibility and record agreed arrangements for the children, but it is not legally enforceable. Consent Orders are legally enforceable and must be approved by the Court, which will consider whether the proposed parenting orders are in the best interests of the children.

The most appropriate way to formalise an agreement will depend on the circumstances. Factors such as the nature and value of the property pool, whether there are businesses, companies or trusts, the ages and needs of the children, the level of cooperation between the parties and the need for certainty or enforceability may all be relevant.

Obtaining legal advice before finalising an agreement can help ensure that you understand the legal effect of the proposed agreement, whether the form of agreement is appropriate for your circumstances, and whether there are issues that should be addressed before it is finalised.

Time limits apply to property settlement proceedings under the Family Law Act 1975, and the applicable limitation period depends on whether you were married or in a de facto relationship.

If you were married, an application for property settlement generally must be commenced within 12 months after your divorce order takes effect. Importantly, the limitation period does not begin merely because you have separated. This means married couples can negotiate and formalise a property settlement after separation and before obtaining a divorce.

If you were in a de facto relationship, an application generally must be commenced within two years after the relationship ends.

If the relevant limitation period has expired, it may still be possible to commence property proceedings, but leave of the Court may be required. For an application for leave, the Court will consider matters including whether hardship would be caused to a party or a child if leave were not granted.

Because obtaining leave is not automatic, it is important to obtain legal advice as soon as possible if a limitation period has expired or is approaching.

A Binding Financial Agreement (BFA) is a private agreement made under the Family Law Act 1975 that can determine how property, financial resources and, in some circumstances, spousal maintenance will be dealt with. A BFA can be entered into before, during or after a marriage or de facto relationship.

Preparing a BFA involves more than simply agreeing on how assets will be divided. The parties should provide comprehensive information about their respective financial circumstances, including relevant assets, liabilities, superannuation, businesses, trusts and other financial interests, so that the agreement is prepared on an informed basis.

Importantly, each party must receive independent legal advice from their own Australian legal practitioner before signing the agreement. That advice must address the effect of the agreement on the person's rights and the advantages and disadvantages of entering into the agreement. The required legal-advice statements must also be provided in accordance with the Family Law Act.

A BFA must satisfy strict legal requirements to be binding and can be set aside by a Court in certain circumstances. For that reason, both the terms of the agreement and the process followed when it is prepared are important.

You are not required to have a lawyer to reach an agreement about parenting arrangements. However, obtaining legal advice before entering into an agreement can help you understand your rights and responsibilities and ensure that the arrangements you are considering are appropriate for your family's circumstances.

A family lawyer can also advise you about the most appropriate way to document your agreement. Depending on your circumstances, this may involve a parenting plan or an application to the Court for consent orders. A parenting plan is a written agreement between parents but is not legally enforceable, whereas consent orders are orders made by the Court and are legally enforceable.

The appropriate option can depend on a range of factors, including the ages and needs of the children, the arrangements being proposed, the level of cooperation between the parents, whether there are existing parenting orders, and the particular circumstances of the family. A lawyer can explain the legal effect of each option and the obligations that may arise once parenting orders are made.

Legal advice can also help you consider whether the parenting arrangements you are proposing are consistent with the principles applied under the Family Law Act 1975. When making parenting orders, the Court must regard the best interests of the child as the paramount consideration and consider matters including the child's safety, views, developmental, psychological, emotional and cultural needs, and each proposed carer's capacity to meet those needs.

Obtaining advice at an early stage can therefore help you make informed decisions, identify issues that may not have been considered and, where possible, reach appropriate parenting arrangements without the need for contested court proceedings.