Termination of Binding Child Support Agreement
If circumstances change, you and your former partner can terminate the Binding Child Support Agreement either by entering into a termination agreement, or a new binding child support agreement that terminates the previous agreement. If you pursue a new agreement or terminating agreement, you will need to seek independent legal advice.
In addition, an Agreement can be terminated on an administrative basis where childcare arrangements change. This means a Child Support Registrar can now terminate a Binding Child Support Agreement without the need for a court order where:
Circumstances change so that the caring parent has less than 35% care of a child/the children, which means he or she is no longer an “eligible carer” for the purpose of the Act; and
Upon being notified of the change, the Registrar will suspend the Binding Child Support Agreement for a twenty-eight (28) day period. If the change of care continues for more than twenty (28) days, then the Registrar can administratively terminate the Binding Child Support Agreement.
The suspension period can extend up to twenty-six (26) weeks if:
- There is a clause in the Binding Financial Agreement for the Agreement to be suspended for that period if you cease to be an eligible carer for more than 28 days;
- The parents advise the Child Support Registrar that they want to extend the period of suspension; or
- The Child Support Registrar is satisfied that there are special circumstances in relation to the change in the care of a child.
If the caring parent’s care returns to more than 35% within the 28 day or 26 week period (whichever applies), the Binding Child Support Agreement is no longer suspended.
If the agreement is suspended or terminated in relation to one child, it may continue in relation to other children; if you or your partner continue to be an eligible carer of those other children.