Wedding Bells and Prenuptial Agreements

Thanks to celebrity gossip, prenuptial agreements, or “prenups,” are often a hot topic in the media. However, prenuptial agreements are not a tool exclusively for the rich and famous, but can be extremely useful for everyday, engaged couples of all types of financial situations. Unfortunately, they can have a negative connotation, with many soon-to-be-spouses balking at the idea of signing a prenuptial agreement, thinking it may set up a marriage for failure.

A prenuptial agreement is a contract entered into by an engaged couple prior to their marriage. It can include terms for how the couple wishes to divide property, assets, and debts in the event of a divorce, and it can also detail how maintenance (formerly known as alimony) will be handled in the event of a divorce. Child-related issues, such as allocation of parental responsibility (formerly known as custody), parenting time, and child support are excluded and cannot be part of a valid prenuptial agreement.

Prenuptial agreements are a great option for soon-to-be-spouses with vastly different incomes, as well as when one or both own a business, when one or both own valuable assets, when one or both carry substantial debt, when one or both have children of a prior relationship, or when one or both expects to be receiving a substantial inheritance during the marriage. An expertly crafted prenuptial agreement can provide practical protection in all of these scenarios.

Disagreements about finances can often contribute to a marriage heading down the path of divorce. Putting together a prenuptial agreement with your betrothed provides a great opportunity to have a very real, transparent conversation about each of your current financial situations, the lifestyle you both hope to lead during the marriage, and in the event of a divorce, what you each believe is a fair division of the marital estate. Having these conversations early on, prior to your wedding date, is a great way to get these topics out in open, and to get on the same financial page, setting you up for a path of marital bliss.

Prenuptial agreements are also extremely helpful in the unfortunate event of a divorce. A valid and enforceable prenuptial agreement sets the stage for divorce to be amicable and cost-efficient, minimizing the attorney’s fees, time in court, and stress over the unknown.

So, what makes a prenuptial agreement valid? It is best for each party to have independent legal counsel to represent each of their interests in the preparation and execution of the agreement. The agreement should be in writing, and entered into freely by both parties. It is also important to not wait until the eve of your wedding to tie the prenuptial agreement knot! It is best to have the prenuptial agreement signed well in advance of the wedding. This will minimize any potential that a party was coerced or pressured to sign quickly, due to the pressure of the swiftly approaching nuptials.

A Prenuptial agreement can be the best gift you make to your new marriage. It allows you to plan for your married future, and to enter into that marriage with peace of mind that both you and your beloved are protected. It allows you a mechanism to have open, honest financial conversations you may not otherwise broach on date night. It will, hopefully, prevent financial disagreements during your marriage. And, it is the hope of your family law attorney that the prenuptial agreement will last for the entirety of your long and happy (married!) life.

If you would like more information on this topic, please contact the author, family law attorney Colleen M. Breems, at 312-888-4112 or cbreems@lavellelaw.com.