Avoid These Common Family Law Mistakes and Protect Your Future
Rafton Family Lawyers have been specialising in divorce and separation for over 20 years. We are the leading family law firm in the Hawkesbury area with over 80% of our staff having more than 10 years experience in this area and we also have the largest team of accredited specialists.
Over the years, there are some common themes that emerge when parties are separating. Here are some mistakes we often see that can cost thousands and hopefully can be avoided – I have included some real-life case studies to illustrate the point.
- “I don’t need a lawyer”.
This is a common mistake that people make and something we see a lot of, especially after things go wrong. It’s true that you can separate and amicably work out an agreement yourself over a handshake. You can even proceed and sell the home and divide it using a basic conveyancer at a discount fee. However, in the eyes of the Family Court (known as the FCFCOA) this is not a property settlement and this will not protect you in future. One real life example of this is the case of Bob. Bob separated from his wife and they agreed she would receive a cash payment. Bob did not want to pay a lawyer to draft the agreement amicably, he thought it was a waste of money. Instead, Bob went to his broker and secured a loan to refinance and pay her. Bob and his ex went to a local conveyancer, and they arranged a transfer of the property from his ex to Bob. Bob was really pleased with himself as he had saved about $4400 in legal fees and the house was in his name. Fast forward 10 years, Bob had entered into a new relationship and so had his ex. She even had a child to her new man. Bob was incredibly lucky and won lotto – the amount was very substantial (just over $3 million dollars). Woohoo Bob was ecstatic. Bobs ex received advice that she was still entitled to settlement from Bob because nothing had ever been drafted legally. All she and Bob had done was agreed on a payment from one asset, not all assets. The agreement was not legally drafted and hence was not valid. After taking Bob to court his ex received a chunk of the lotto win (in addition to the cash payment she had already received years before). The mistake here is always get an agreement drafted legally, even the amicable ones. It can save you thousands down the track.
- “I’ll shop around for someone cheap”
This is a problem we are seeing with an increasing number of clients – many are referred to us for complex legal issues after first seeing a generalist firm that often does not know the answers, or charges money to ask a Barrister for advice that should have been provided. In NSW, over 80% of firms are generalist, micro firms. This means they are often small sole practitioners that do not highly specialize but “dabble” in a number of areas. This is fine if you have a very simple legal problem, such as a dispute with your neighbour, or a DUI. However, family law is a complex area with intertwining of several different pieces of legislation. Hence, it’s imperative that you seek advice from a specialist in this area. A specialist is a lawyer that has undertaken additional training, certified by the Law Society of NSW and can call themselves an Accredited Specialist. The list of Accredited Specialist can be found by undertaking a search on the Law Society of NSW website. If you are unsure if your lawyer is an Accredited Specialist just ask them!. We like to give the analogy that if you need heart surgery, you don’t go to a GP, you see a cardiac specialist. The same can be said for complex legal issues. Go to the right specialist lawyer in the first instance, it can save you thousands later.
- “My friend received this amount so that’s what I’m entitled to – I can fill the forms out myself and use Google”
Lawyer Google is becoming a huge issue in family law, especially in complex cases where answers are being sought to specific legal issues and AI is generating a one type fits all response. In a recent case in the FCFCOA, a Judge made a personal costs order due to the use of AI – which had produced a summary of cases that were all completely made up!. The party providing this information to the court was obviously unaware. We recommend that you seek once off advice from a specialist lawyer to obtain an overview of your matter. Each case is different and hence something your friend received is 99% of the time not going to be the same in your situation. We are all unique, every divorce and separation is unique. Once you receive that advice you can then decide how you wish to proceed. It really is as simple as a one-hour meeting. Late last year, I met with a new client. She had reached an agreement with her ex after he made an offer to her and was wanting my opinion on the deal. The ex had apparently based his offer using AI and his friend’s advice (in a completely unrelated matter). I considered all the information the client had provided and broke the news to her that the offer was incredibly generous. In fact, it was so far above what I thought she was entitled to I was a bit worried the court would not approve the deal! She was obviously happy to hear this but we ended up having to adjust the amounts slightly to get a court approval as the husband was offering way above what she was entitled to. He was just too generous (or stupid I’m not sure which one).