With wedding season fast approaching, people who have recently got engaged may want to consider prenuptial agreements. Particularly those marrying once they have already built up a large asset portfolio.
Prenuptial agreements are often seen as something that only the rich and famous have but they are becoming more common outside of the celebrity circle.
It may not be the most romantic start to a marriage, but it can be a blessed relief if the relationship was ever to break down.
With 42% of marriages ending in divorce, prenuptial agreements can provide some peace of mind for both parties entering into a marriage.
What does a prenuptial agreement entail?
Prior to marriage, couples enter a formal written agreement (a binding contract). If drafted properly it will detail how money, property, assets and more will be divided in the event the relationship ends. It should prevent animosity as to the division of assets and save the cost of having to fund litigation.
Prenuptial agreements are enforceable contracts but they do not currently bind judges in the UK. However, they do have a very strong persuasive influence on the judge. More regularly than ever before the court is holding parties to their prior agreement unless the parties have had children which were not anticipated or provided for in the prenuptial agreement.
Smart for the modern marriage
Prenups are a smart idea for those who are about to marry especially if one or other:
- previously had a difficult divorce
- already own substantial assets
- owns a business
- has received a substantial inheritance
- is earning considerably more
- has a substantial amount of debt.
How to get a prenuptial agreement?
First, each party must fully disclose all of their assets including their current (and estimated future) income and liabilities.
Each party then instructs their own solicitor. They cannot use the same solicitor. This ensures that neither party is placed under duress to enter into an agreement that is unfair to them.
The agreement is then drafted and once the terms are approved, signed by each party in the presence of a witness.
What steps can I take if I want a prenuptial agreement?
If you would like more advice or information about prenuptial agreements please call us on 0115 941 5566 or email email@example.com.