Prenuptial And Post-Nuptial Agreements

A prenuptial agreement -- commonly known as a “prenup” -- is a legal agreement between two people ahead of their marriage.In a prenup, both sides outline respective property and debts, and clearly outline how all existing and future assets will be divided in the event of a divorce.

While less common, some couples opt to put together this type of agreement after they’re married. These “post-nuptial” agreements serve the same purpose and, if the couple divorce, can protect both sides.

There must be consideration for a pre-nup or post-nup agreement to be enforceable.

In the past, prenuptial agreements and post-nuptial agreements were linked to wealthy couples, worried about losing their wealth in a divorce. Now, though, couples from all economic backgrounds are investing in these agreements. If you and your spouse divorce, having a prenup can make the split easier -- both sides agreed how to divide assets in advance and, as a result, there’s little or no room for debate.

These agreements are also good to have in place if one or both of you have significant debts -- student loans, for example, or unsecured debts like credit cards and personal loans. In some states, married couples split these equally if they divorce. A prenup or post-nup will ensure each person’s debts stay solely with them.

Further, many couples. with children from a prior marriage should consider such an agreement to protect their children's rights to inheritance.

If you don’t have a prenup or post-nup and do get divorced, state law will dictate how assets are divided. It’s not uncommon for a couple to wind up dividing everything down the middle -- all property, savings, assets and debts accrued during and, even, more the marriage. While, in some cases, this does constitute a fair and equitable distribution, in others it does not -- one person may have come into the marriage with more, or generated significantly more debt before or during the marriage.

A good rule of thumb: if you wouldn’t be comfortable with your household assets and debts being divided equally between you and your spouse, get a prenup or post-nup.

It’s essential you work with an experienced family law attorney before drafting your prenup or post-nup. While states and courts have become increasingly friendly to these agreements, they must be clear, specific and legally sound before they’ll be recognized. Draft your own prenup or post-nup and it is essential both of your attorneys review. If not -- or if they do and take issue -- you could find yourself with an invalid prenup or post-nup when you need it most.

To learn more about prenups and post-nups and to draft your agreement, contact us now. Our expert legal team can guide you through the intricacies of this process and ensure you, your spouse and your family are protected.