Property Settlement When A De Facto Relationship Has Broken Down.

How to do Property Settlement When A De Facto Relationship Has Broken Down.

Before the right to create Financial Agreements (FAs) was extended to same-sex and de facto relationships, when such a relationship had broken down, both parties would have had to prepare themselves for some long-winded and tedious litigation through the Supreme Court.

This has now all been changed with the introduction of section 90UD of the Family Law Act 1975 which specifically entitles people in de facto relationships to agree upon what they consider to be a fair distribution of property and financial resources once the relationship has broken down. For More Please Visit www.financialagreements.com.au

Binding Financial Agreements, Prenups, Postnups and Separation

Financial agreements can now be made between same-sex couples. Discussing a binding financial agreement, as it is known under the Family Law Act, is hardly the most romantic thing to do with your partner, but for many people, it may be the most important document ever signed.

No longer an exclusive financial risk-management tool for Hollywood celebrities, increasing numbers of less famous couples are known to be opting for written agreements to protect the financial assets each partner brings to the relationship.

It's the same type of agreement that is increasingly likely to be drawn up after a relationship has ended, as a preferred way of dividing up assets outside the public eye of the courts.

The popularity of binding financial agreements (BFAs) shows women and men are taking more financial and legal precautions against a relationship breakdown. Most see it as a form of insurance -- a legally binding safety net which they hope to never need.

To Find out just how easy and affordable this safety net is please see www.financialagreements.com.au

Avoiding cheque fraud

Avoid the `risks’ involved when receiving and paying by cheque.

Although other methods of paying bills are gaining in popularity (eg , telephone banking,EFTPOS, internet banking) cheques are still being used. However, the law about "crossing" cheques was changed in 1996.

As protection against a cheque being cashed by someone other than the person the cheque is made out to . . . you should print the words `Account Payee Only ' or `Not Transferable' across the centre of the cheque. Crossing like this with 'Not Transferable', or 'Account Payee' (A/C Payee) means that the cheque can't be cashed and used by someone else.

A cheque marked as 'Account Payee' can only be paid into the bank account held by the person it is made out to. Some people write 'A/C payee only' which is also fine.

Using this method makes it clearer to the person receiving the cheque, and this will help reduce any chances of cheque fraud, as anyone using the cheque can only put it into the account named on the cheque. But because only the person named on the cheque can bank it, it is very important that the name is written correctly and exactly as the name appears on the account it is being paid into.

Not-negotiable cheques are not the same as 'Non Transferable'. A cheque marked 'Not’ or ‘Non Negotiable' can be transferred to someone other than the person it is made out to. But it still has to be paid into a bank account. Don't accept a 'Non Transferable' cheque made out to someone else. Don't accept a 'Non Transferable' or 'Account Payee' cheque if it has been transferred to you. Only accept it if it has been made out to you in the first place.

Make sure your name is written correctly, as it must be the same name as your bank account. For example: imagine you were selling your car over the weekend and the buyer didn't have enough cash, but, they offered you their wage or pay cheque instead.

If it's a 'Non Transferable' cheque your bank could decline to take it. Then you'd have to track down the buyer and get them to pay you again. (Good Luck) 

Cash cheques -- writing a cheque out to 'cash' means that anyone can cash it for the sum it is written out for. It does not have to be paid into a bank account. This can be done for someone who may not have a bank account so don't also cross the cheque with 'non transferable' or 'A/C payee'. But also be aware that if a cash cheque is lost, anyone could bank it. Treat a `cash’ cheque as if it were actual dollar notes and don’t lose it!

If you just follow a few simple rules then using cheques is still a safe form of using your money.

Written by R.P.Emery

Taken from Legal Guide

What is Fair Wear and Tear

Are you being too tough on your tenants?

The basic definition for fair wear and tear is:

‘damage that occurs during normal use or something that happens due to aging’.

As a tenant wrapped up in day-to-day life little bumps and dints, some light scratches and a smattering of smudges are usually things which cannot be avoided. A complete list of employment contracts can be found here: Residential Tenancy Agreements.

BUT, what if you are the proud owners of an investment property and your tenants are leaving their mark on your asset? Just HOW much do you let them get away with?

Deciding on what is fair is a huge challenge that property managers have to face every time a tenant leaves a property.

The problem lies in the fact that the term 'fair wear and tear' is not specifically defined in the Tenancy Act or the Tenancy Agreement, so it is open to individual interpretation. Some landlords can be very hard on tenants and while they expect the premises to be perfect, it is important to be fair to the renters.

Things like wearing carpet, slight smudges on the walls, chipped tiles, holes in fly screens, marks on curtains and carpets, insects in light fittings or dusty window and door tracks can happen in a normal day, and, they can happen to anyone. Other important factors that should be considered are the number of tenants, the time of tenancy and the age of fixtures and fittings prior to their tenancy.

It is important to think about the normal signs that appear when a property has been lived in for a period of time. Allowances must be made for this when it comes time for the property inspection and checking off on the original ‘condition report’.

So why is comparing the ‘condition report’ to the current state of the property so important?

The purpose of the final inspection is to compare the current state of the property to the initial condition report completed by the tenants at the beginning of their stay. The legislation states that the tenant must leave the property in the same condition as when they entered, and any substantial damages will then have to be paid from their rental bond after they have vacated the premises.

Just a bit of simple common sense and understanding from both sides can prevent any disputes;

As a tenant you should take care of the property and try and leave it as you entered it or you may be liable for the costs involved for repairs. You may also lose the large ‘rental bond’ which you paid at the beginning of your stay.

As a landlord then understanding that little things happen when living in a property is important and allowances MUST be made, you must take into consideration the fair wear and tear factor. Of course if there are obvious signs of avoidable damage to the property then you should not have to pay for this yourself.

With this understanding the relationship between tenant and landlord can and should be a good one.

http://www.rpemery.com.au

COMMERCIAL SUBLEASE AGREEMENT

What a commercial leaseholder needs to do to Sub-Lease a Commercial property.

Here are some very important things you will need to know before entering into a Commercial Sublease Agreement.

WHAT IS A COMMERCIAL SUBLEASE? 

WHEN CAN I USE A COMMERCIAL SUBLEASE? 

WHAT’S THE DIFFERENCE BETWEEN SUBLETTING AND ASSIGNING A LEASE? 

HOW DO I ENTER INTO A COMMERCIAL SUBLEASE? 

WHAT NEEDS TO BE STATED IN THE SUBLEASE AGREEMENT?

CAN I SUBLET PARTS OF THE PREMISES?

For the answers to these questions please visit the RP Emery website

Agency Agreements

What is an Agency Agreement?

An Agency Agreement is a legal contract between “the agent” and “the principal” whereby a fiduciary relationship is created that defines the duties and authority of the agents.

The Principal grants the Agent the right to create legal relationships with third parties and to work on behalf of the principal and under his control. Therefore the principal agrees to be bound by the agents' actions. For example; if the agent negotiates an agreement with one of the principals customers, the principal agrees to honour the agreement as if the principal had himself made the agreement.

With a sales agency the Agent’s role is to find, negotiate and close sales on behalf of the principal. It’s important to understand the agent only has the authority to negotiate and enter arrangements on the principals behalf, to the extent allowed by the terms of the agency agreement. For instance; this may mean that a principal reserves the right to approve or decline all sales negotiated by the agent, before a binding contract is entered.

In most cases the sales agent will be rewarded for his/her efforts based upon performance. This means a well structured agency agreement will provide a win win situation for both parties. The agent usually assumes all of his or her operating costs so its important to remember this when negotiating your agreement.

As a general rule an agent will not be required to hold stock of the principals products, it’s the principals responsibility to ensure he has the resources to deliver the product or service to the customer. Once the product or service is delivered the commission Agent is then entitled to payment from the principal.

Agency agreements also provide flexibility for the parties whereby the Agent may be granted an exclusive or non exclusive territory sometimes called a sole agency. This means the principal is able to ensure if need be all agents acting under his control get a fair share of the market available.

Remember, when negotiating your agency agreement both the agent and the principal will have a legal duty. In particular, the agent is placed in a position where a high-level of responsibility and trust is imposed. This is known as a “fiduciary relationship” and certain obligations are placed on the agent regardless of any contractual responsibilities. The primary responsibility of the agent is to act honestly and in the best interest of the principal.

Agency agreements can be written, verbal or implied by the conduct of the parties involved. The Law and the Tax office may look at the actions of those involved in deciding if an agency can be inferred. If the parties have acted in a way that reasonably infers the agent is representing the principal with the knowledge and approval of the Principal then an agency arrangement is presumed.

Whatever the situation, it is always better to enter any agreement in writing. A written agreement clarifies the terms, conditions and duties of the parties involved and will provides strong legal protection in the event of a misunderstanding.

 

Click Here for Agency Agreement Template

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