In an era where you can generate a contract with a few clicks, it is tempting to apply “DIY” logic to your financial future. With the rise of AI tools and budget online sources, many Australians are opting for “cheap” Binding Financial Agreements (BFAs). However, in the world of Australian Family Law, a bargain document can become an incredibly expensive mistake. If your BFA doesn’t meet strict legal standards, you risk losing your home, business, and superannuation in a messy court battle.
In this guide, we explain why “cheap templates” fail and how to secure a watertight BFA that actually protects your assets.
Part 1: Why a BFA is Your Best “Insurance Policy”
A Binding Financial Agreement (BFA) is the only way in Australia to “contract out” of the Family Law Act. Without one, if your relationship ends, a Judge may decide how assets, like your home, business, and superannuation, are split.
A “watertight” BFA gives you:
- Asset Protection: Safeguard what you brought into the relationship (e.g., family inheritance or a business).
- Certainty: You know exactly where you stand, avoiding $100k+ in potential future legal fees.
- Privacy: Unlike Court Orders, your BFA is a private contract that never enters the public court system.
Part 2: Warning – The “Cheap Template” Trap
Many couples try to use cheap online templates or AI. In our experience, these are rarely binding. Under Section 90G of the Family Law Act, a BFA is invalid if:
- The drafting is “vague” or uses incorrect legal sections (AI often uses US legal terms like “alimony”).
- One party was pressured to sign (duress).
- The independent legal advice was not robust enough.
Expert Tip: A “cheap” BFA is often more dangerous than having no BFA at all. It gives a false sense of security until it is challenged in court, at which point it’s too late to fix.
Part 3: The “Just Sign This” Risk – Why We Don’t Use AI Drafts
We are frequently approached by clients who have used ChatGPT or other AI to draft an agreement and want us to “just sign the certificate” to make it legal.
Here is why that is a dangerous shortcut: Under Australian law, a lawyer’s role isn’t just to witness your signature. We are legally required to provide Independent Legal Advice on the specific advantages and disadvantages of that agreement.
If we sign a certificate for an AI-generated document that contains “hallucinated” law or fails to account for your future (like children or inheritances), the agreement can be overturned in court years later. At Bennett Carroll, we “stress-test” every agreement. If you have a draft, we use it as a starting point, but our specialist team will always handle the final drafting to ensure it meets strict Australian standards.
Part 4: The 3-Step Process at Bennett Carroll
We make the complex simple. Although we are a Queensland-based firm, we assist clients all over Australia (excluding WA). Our process can be 100% remote, you never need to step foot in an office.
- The Strategy Call: We meet online or via phone to map out your assets and identify your specific risks.
- Expert Drafting: Our specialist team draft a custom agreement tailored to Australian law.
- Independent Advice & Signing: Both parties must have their own lawyers. We guide you through the final signing and provide the mandatory Certificate of Independent Legal Advice.
Part 5: Your BFA Readiness- Get Your Free Guide Instantly
Before you begin, you need to be prepared. We have made this easy for you. Instead of guessing what you need, download our professional toolkit:
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Frequently Asked Questions
Can I use ChatGPT or other AI to draft my BFA? AI cannot provide the mandatory “Independent Legal Advice” required by Section 90G. It also lacks the nuance to handle Australian-specific asset structures like family trusts or superannuation splitting.
Do I need to visit a law office in person? No. We represent clients Australia-wide (except WA) via our secure remote service. We handle everything via phone, email, and video conferencing.
Why do I need two different law firms for one BFA? To be binding, the law requires each party to receive advice from a completely independent solicitor. This prevents conflicts of interest and ensures the agreement is truly voluntary.
Take the First Step Today
Don’t leave your assets to chance. Contact our experienced family law team to discuss how a BFA can work for you. We serve clients across Australia.
Phone us on 1300 334 566 or leave your details below and we will get back to you.
