Is a Consent Order Legally Binding?

Absolutely! Consent Orders are legally binding agreements stamped and sealed by the Court.

They can refer to both parenting and property settlement matters. When parties reach an agreement, they can ask the Court to issue a Consent Order based on that agreement.

Consent order contrasts with court orders, which a judge can make without the parties’ consent.

Consequences of Not Following a Consent Order

If a party breaches or disregards a Consent Order, the Court can enforce it.

This means that if someone doesn’t stick to the terms of the order, they could face legal consequences.

It’s essential to understand and comply with the stipulations of a Consent Order to avoid potential legal repercussions.

Advantages of a Consent Order

• Legally Binding: Once stamped and sealed by the Court, Consent Orders are as binding as any other court order. This ensures that all parties are held accountable to the terms set within the order.
• Tax Benefits: If the Consent Orders are about property or financial matters, there can be tax benefits, such as exemptions from stamp duty on property transfers or capital gains tax. These benefits can significantly reduce financial burdens during asset divisions.
• Flexibility: Consent Orders offer a way for parties to come to an agreement that suits their unique circumstances without needing a lengthy court battle. This approach fosters collaboration and reduces potential animosity between parties.
• Finality: Once the Court’s seal is placed on the Consent Orders, they are final and can only be changed under specific circumstances. This provides both parties with a sense of closure and clarity moving forward.

Disadvantages of a Consent Order

• Requires Agreement: Both parties must agree on the terms, which can sometimes be challenging, especially in contentious separations.
• May Not Cover All Aspects: While Consent Orders can address many issues, they might only cover some nuances of a particular situation.

Helping Our Clients

After a decade together, our client and his partner decided to part ways.

With two children and shared assets, including a joint business, the stakes were high.

Our client approached our firm, hoping for an amicable resolution without the emotional and financial toll of a court battle.

Our team suggested mediation, aiming to craft Consent Orders that would encapsulate both parties’ wishes.

The sessions focused on the children’s well-being and an equitable asset division.

After several discussions, a shared custody agreement emerged, ensuring both parents remained integral in their children’s lives.

Financially, our client retained the family home while his partner secured a significant portion of their business.

Investments were divided to ensure both had a safety net.

The drafted Consent Orders were submitted to the Court, reflecting their mutual agreement.

With the Court’s approval, they became legally binding, providing clarity and structure for the future.

Seek Legal Advice

Consent Orders play a crucial role in Australian family law, offering a way for parties to formalise their agreements in a legally binding manner.

They provide a flexible alternative to traditional court orders, allowing parties to come to terms that suit their unique circumstances.

However, it’s essential to approach them clearly and, if possible, seek legal advice to protect all parties’ rights and interests.

Hayder Shkara

Director of Melbourne Family Lawyers, Hayder manages the practice and oversees the running of all of the files in the practice. Hayder has an astute eye for case strategy and running particularly complex matters in the family law system.