A prenuptial agreement is a contract between individuals who wish to marry or form a civil partnership, which typically focuses on dividing assets and supporting one’s spouse in case of separation or death. Standards of prenuptial agreements differ globally, but in the US, all parties involved must be aware of the agreement and enter into it without coercion. Prenuptial agreements generally cannot address issues such as custody of children, conjugal behavior, or religious requirements. They can be canceled or disputed for various reasons, such as lack of awareness or dishonesty about asset value.
Many couples find it advantageous to draw up a prenuptial agreement before marriage or another form of civil partnership in order to protect their assets. This contract generally addresses issues of distribution of assets when a union ends by legal separation or death. The creation of a prenuptial document considers many issues, especially the details of the distribution of resources, complete disclosure, regional standards and provisions and exceptions.
A prenuptial agreement — often referred to as a “prenuptial” — is a contract entered into by individuals who wish to marry or otherwise be officially committed to each other. The agreement typically focuses on dividing assets and supporting your spouse in case the marriage or partnership ends. Individuals can also create a prenuptial agreement to waive the right to alimony, inheritance, or other means of financial support. In some regions of the world, a prenuptial agreement also covers the use of each other’s assets during the marriage or partnership.
Standards of prenuptial agreements differ globally, with some regions not recognizing the validity of the document and others using specially appointed councils called marriage regimes to resolve prenuptial matters. Even when a prenuptial agreement is drawn up and notarized, it can be acknowledged but not enforced. Enforcement is at the discretion of a judge or other legal official.
In the United States, a valid prenuptial agreement must generally meet a few basic guidelines. For one, all parties involved must be aware of the agreement and enter into it without coercion. Individuals should compile a list of assets and debts and fully discuss career goals, property achievement, and asset division expectations so that all details are explained and understood. A written outline of these discussions will make up the bulk of the agreement, and affected individuals must be present during the creation and execution of the agreement. The agreement is not considered valid unless it is in writing and signed by all persons involved in front of a notary or other legal official.
In order to ensure fair and equitable participation by all parties, prenuptial agreements generally cannot be signed until about a week after they are first filed. This guideline provides an opportunity for all individuals to review the document. Experts also recommend negotiating a prenuptial agreement months ahead of an official union in order to understand and properly address all relevant issues. The advice of a legal adviser, such as a mediator or prenuptial attorney, is recommended, although not always required. A lawyer can draw up the agreement for a fee.
Location also plays an important role in creating a prenuptial agreement. In the United States, for example, a choice-of-law provision allows individuals to enforce their agreement by the laws of the state in which they are married or the laws of the state in which their union officially ends. Some regions divide assets through community property laws, which typically constitute an equal division between the separate parties whereby each individual receives half of the assets. Other regions govern by an equitable distribution criterion which divides assets according to each individual’s financial situation at the time of separation.
Some issues cannot be addressed in a prenuptial agreement, primarily custody of any current or future children. A child’s best interests almost always trump any parental agreement in the eyes of a court. Conjugal behavior or religious requirements are also generally prohibited by a prenuptial agreement. An enforceable agreement cannot leave a party in dire financial straits. Unforeseen financial circumstances such as the accumulation of windfall wealth during the marriage can also impact the enforcement of a prenuptial agreement.
Prenuptial agreements can be canceled or disputed for a variety of reasons. One party could allege a lack of awareness of the details of the settlement. There can also be allegations that a party has not been truthful about the value of its assets. In some cases, an expiration clause added to the agreement can void the entire prenuptial after a specific amount of time has passed or a major event, such as the birth of a child, has occurred.
Protect your devices with Threat Protection by NordVPN
