The Duty of Disclosure

Both parties have a continuing obligation to give full and frank disclosure of their financial circumstances.

What You Must Disclose

Assets

All assets, regardless of:

Whose name they're in

When acquired

Where located (including overseas)

Liabilities

All debts, including:

Mortgages

Loans

Credit cards

Tax debts

Guarantees

Income

- Employment income

Business income

Investment returns

Government benefits

Financial Resources

Things that aren't assets but affect finances:

Expected inheritances (if reasonably certain)

Interests in trusts or companies

Earning capacity

When Disclosure Is Required

Ongoing Obligation

From the start of negotiations until final orders are made. New assets or changes must be disclosed.

Key Stages

- Before negotiating any agreement

Before signing BFAs or consent orders

Before and during court proceedings

How to Disclose

Financial Statement

Form 13 requires:

List of all assets with values

All liabilities

Income details

Weekly expenses

Supporting Documents

Be ready to provide:

Bank statements

Tax returns

Super statements

Property valuations

Business financials

Consequences of Non-Disclosure

In Negotiations

- The other party can seek court orders for disclosure

Agreements may be unfair and challenged later

Setting Aside Orders

If non-disclosure is discovered after orders:

Orders can be set aside

Fresh proceedings may occur

You may get a worse outcome

Court Penalties

- Cost orders against you

Adverse inferences (court assumes the worst)

Contempt of court (in serious cases)

Protecting Yourself

Request Disclosure

Ask for:

Financial statements

Supporting documents

Subpoenas to institutions (in court proceedings)

Verify

Don't just take their word:

Cross-check documents

Look for inconsistencies

Consider forensic accounting if suspicious

Keep Records

Document what was disclosed and when.

Financial Disclosure Obligations in Family Law