Prenuptial Agreement Law
What is Prenuptial Agreement Law?
Prenuptial agreement law sets forth the rules couples must follow when agreeing beforehand how assets and financial responsibilities will be handled at the end of their marriage. People who intend to marry are free to enter into legal contracts regarding these matters. But due to the potentially harsh results of a prenuptial agreement for the spouse against whom it is enforced, the law imposes specific requirements about what can and cannot be agreed to as a matter of public policy.
Like other aspects of matrimonial law, the rules governing prenuptial agreements are the subject of state law. More than half of the states have adopted model legislation known as the Uniform Premarital Agreement Act (UPAA). Some of the legislatures in these states have modified the act to reflect their state’s goals and priorities, such as extending the act’s provisions to same-sex couples.
When deciding prenuptial agreement cases, judges have demonstrated a willingness to deviate from the terms an agreement to protect a disadvantaged party, at least more so than in other types of contract cases. This can come as a surprise to those with experience litigating contracts in the business world. Because of the risk that a prenuptial agreement will be held void for violating public policy, couples are strongly encouraged to consult an attorney for advice in this area of the law.
The Reason Prenuptial Agreements Exist
The purpose served by prenuptial agreements is one of the most misunderstood concepts in the entire legal system. Married and unmarried people alike often subscribe to the idea that these agreements come about as a result of distrust between future spouses, or that they are a means for wealthy individuals to protect themselves from potential spouses who are looking to marry for financial reasons only. Hence the notion that asking one’s fiancé to sign a prenuptial agreement is a romance-defeating gesture. All of this is incorrect.
To better understand the reason prenuptial agreements exist, consider that state legislatures are faced with the task of enacting divorce and inheritance laws that apply to every married couple living in the state. That is the way laws work – they are designed to apply to everyone. Unfortunately, not all couples have the same feelings about property rights, alimony, and other such issues.
Prenuptial agreements are nothing more than a way for couples to modify the laws of their state to bring them into accordance with the couple’s own views. Not everything about the law can be altered – future child support obligations cannot be done away with, for example. But generally, the one-size-fits-all divorce laws that would otherwise apply can be totally modified to suit the couple’s wishes. This can be especially useful to couples living in the handful of “community property” states who do not want to be subject to that system of property law.
Commonly Types of Agreements
Most people who enter into prenuptial agreements are interested in having their property treated a certain way in the event the marriage comes to an end. Agreements may state that certain items that belonged to one spouse before marriage will continue to belong to that spouse upon divorce, or pass to the spouse’s children at death. Many family homes and other heirlooms have been passed to the next generation in this manner. Prenuptial agreements can also include provisions regarding how assets accumulated during the marriage will be divided, and which of the spouses has the right to manage, control, encumber, or dispose of specific assets during the marriage.
Steps for Creating an Enforceable Contract
Drafting a prenuptial agreement must be done such that its validity cannot be successfully challenged in a subsequent divorce or other court proceeding. While this is true of any kind of contract, the emotional resentment that accompanies many divorces makes it all the more important in this context. The best way to avoid legal challenges is to make sure the terms of the agreement and the process of signing it are fair to both parties.
Specifically, the terms of the agreement must be conscionable. If one spouse stands to leave the marriage wealthy and the other spouse will become dependent on welfare, a judge will likely toss out the entire agreement. Prior to executing the document, each individual should have access to legal counsel (two lawyers must be hired), and there must be ample time to review the paperwork before the wedding. Most importantly, the two individuals must fully disclose the extent of their personal assets and income to one another.
Hiring a Prenuptial Agreement Lawyer
Even for couples who understand the benefits of a prenuptial agreement, discussing the topic can be awkward. If you and your future spouse are in need of assistance, an attorney specializing in matrimonial law can make the experience much more pleasant. Speak with a lawyer now to learn more.
Prenuptial Agreements and Estate Planning
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Pre-nuptial Agreement Law - US
- Prenuptial Agreements - Overview
A prenuptial agreement is a contract between two persons who are planning to marry. Prenuptial agreements are often called premarital agreements, and, if entered into subsequent to the marriage, postmarital or antenuptial agreements. These types of contracts typically set forth the rights that each party has to the other's property. Couples can enter into prenuptial agreements prior to a first marriage or prior to a subsequent marriage after death or DIVORCE of a prior spouse. Premarital agreements become operative in the event of divorce or the death of one spouse.
- Prenuptial Agreements - Wikipedia
A prenuptial agreement, antenuptial agreement, or premarital agreement, commonly abbreviated to prenup or prenupt, is a contract entered into prior to marriage, civil union or any other agreement prior to the main agreement by the people intending to marry or contract with each other. The content of a prenuptial agreement can vary widely, but commonly includes provisions for division of property and spousal support in the event of divorce or breakup of marriage. They may also include terms for the forfeiture of assets as a result of divorce on the grounds of adultery, further conditions of guardianship may be included as well.
- Uniform Marital Property Act
After three years of consideration, the Uniform Law Commissioners promulgated the Uniform Marital Property Act (UMPA) in 1983. For the first time, the family can be made into a functioning economic unit. And, for the first time, there is an opportunity to give more than lip service to the family as an economic entity.
- Uniform Premarital Agreement Act
The Uniform Premarital Agreement Act (UPAA) is a Uniform Act governing prenuptial agreements. It was drafted by the National Conference of Commissioners on Uniform State Laws in 1983. The UPAA has been adopted by 27 states (Arizona, Arkansas, California, Connecticut, Delaware, District of Columbia, Florida, Hawaii, Idaho, Illinois, Indiana, Iowa, Kansas, Maine, Montana, Nebraska, Nevada, New Mexico, North Carolina, North Dakota, Oregon, Rhode Island, South Dakota, Texas, Utah, Virginia, and Wisconsin)
Organizations Related to Pre-nuptial Agreement Law
If you are about to get married and are considering a prenuptial agreement, you will find a wealth of material here, all written by an attorney.
Publications Related to Pre-nuptial Agreement Law
- Bankrate.com - Prenuptial Agreements
A prenuptial accord is a contract between two people about to wed that spells out how assets will be distributed in the event of divorce or death. Such agreements have existed for thousands of years in some form or another, particularly in European and Far Eastern cultures, where royal families have always made provisions for protecting their wealth.
- Prenuptial Agreement FAQ - United States
A prenuptial agreement is a contract entered into by two people who are about to marry. A prenuptial agreement (often called a ‘prenup’ or ‘prenupt’) is used to specify how property and debts will be divided in the event of a breakup.
- Prenuptial Agreements in the United States - IAML Law Journal
Prenuptial agreements, sometimes also referred to as "antenuptial agreements" or "premarital agreements," are agreements between parties contemplating marriage that alter or confirm the legal rights and obligations that would otherwise arise under the laws governing marriages that end either through divorce or death. These agreements are fraught with controversy as to their appropriateness and their enforceability. Prenuptial agreements and the accompanying controversy are not unique to the United States. The purpose of this article is to give the non-American lawyer an overview of this rather complex area of American family law and estate planning, and also to highlight some of the common procedural and substantive requirements and issues currently in play in the United States today.
Articles on HG.org Related to Pre-nuptial Agreement Law
- The Importance of a Prenuptial AgreementPlanning to get married? Be practical and get a Prenuptial Agreement done for the following reasons.
- Business Valuation in Connecticut DivorceWhen a previously married couple files for divorce, their property must be equitably distributed between the former spouses. Usually, the courts will follow what is known as an equitable distribution model to ensure fairness to both parties.
- New Illinois Maintenance LawIn every Illinois divorce, the family law court decides whether one spouse must pay maintenance, commonly referred to as spousal support, to the other side.
- Unlawful Provisions in Premarital Agreementsit is vital that any attorney drafting a prenuptial agreement know about unlawful provisions. Otherwise, a client may later be unhappy if provisions of a premarital agreement, or an entire premarital agreement, is later deemed to be invalid because of the inclusion of unlawful provisions. In addition to the information provided in this article regarding unlawful provisions, any attorney should be careful that they are complying with the laws in their specific jurisdiction.
- Uncomfortable Planning in Minnesota – Prenuptial AgreementsMinnesota statute § 519.11 authorizes the use of “antenuptial” agreements (prenuptial in every day language) in order to give parties the chance to disclaim any interest in nonmarital or marital property after they are married.
- Prenuptial and Postnuptial AgreementsWhen people think of weddings, the first thing that comes to mind is love and happiness. However, most marriages end up in divorce, which is why parties need to protect themselves before that step is ever reached. To cover both your finances and other types of properties, it’s crucial to look into hiring a family lawyer to draft up some kind of agreement. Typically, there are two contracts used when dealing with marriages and they are prenuptial and postnuptial agreements.
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- Are Secret Accounts Really the Best Idea?When it comes to getting a divorce, money always comes into play when dealing with alimony, assets and especially child support. Many people are taking the necessary steps to prepare for their future in the event of a divorce.
- Post-Dissolution of Marriage Considerations for Special Needs Children Subject to Parenting Plan LitigationIn order to properly address the issues that will be facing parents of special needs children following the dissolution of a Fort Lauderdale Florida marriage it is imperative that the litigating parties either employ a Broward County special needs divorce attorney or make their Fort Lauderdale dissolution of marriage attorney aware of those certain and uniquely specific realities that effect their child and impair their ability to parent, support and time share for that child.
- Can I Be Held Liable for My Spouse's Debts?Often, when considering marriage couples are thinking only about love and romance, not the more practical concerns like how one spouse's debts might affect the other after they are married. So, the question often arises “can I be held liable for my spouse's debts?”