When getting married, prenuptial agreements are often viewed as a sign of distrust in the relationship. But if done right, prenuptial agreements can be a form of good financial planning for both parties. After all, no one likes to think about their divorce and what that might mean for their finances. But a prenuptial can address a future financial situation in a practical way. With an increasing number of marriages ending in divorce, it is important to understand the basics behind prenups and when they may be beneficial.
What is a Prenuptial Agreement?
A prenuptial agreement is a written contract between two people who are planning to get married. Familiarly called a prenup, it outlines how assets will be divided should the marriage end in divorce. Both parties must agree to and sign the document before marriage, and it must be witnessed by a third party, such as a lawyer. The agreement can also address other matters, such as spousal support payments, division of debt, and inheritance rights.
A prenup can be drawn up by one party but the receiving party should have their own lawyer, and then have that lawyer review the terms and advise them accordingly as to the terms, their implications, and any concerns they may see in their client signing the document. The key is that before signing, there is no sense that a person is forced into signing something against their wishes or best interests or without being given full disclosure about its contents beforehand.
Rise in Popularity of Prenuptial Agreements
Prenuptial agreements are becoming more common in today’s society, particularly for those with significant assets or those who have been through previous marriages. The idea behind them is that both parties will know exactly what they are entitled to if their marriage does not last forever. This takes away much of the uncertainty associated with divorce proceedings and can help couples avoid costly litigation with a divorce lawyer later on down the line.
Pros and Cons of Prenuptial Agreements
Pros:
The benefits of having a prenup go beyond just financial security; they also provide emotional security for both parties involved in the marriage. Knowing that you have taken steps to protect yourself financially, should the worst happen, can give couples peace of mind that their future is secure regardless of what life throws at them.
A prenuptial agreement offers couples financial clarity and protection, enabling them to enter marriage with a clear understanding of each partner’s assets and debts. Debts are not always as obvious as assets. It safeguards individual interests and potentially lessens conflicts or prolonged legal disputes in the event of a divorce.
Prenuptial agreements may save money when a couple does divorce as common divorce elements, such as division of assets and debt and spousal support, have been addressed in an atmosphere of love rather than acrimony.
Cons:
However, while there are clear advantages to having a prenup in place, there are some potential downsides as well. For example, if not done properly or with legal advice and guidance from an experienced family law attorney, then it could potentially be deemed invalid by the court system, if a divorce occurs, which could leave one party worse off than had there been no agreement at all.
Additionally, it could create an atmosphere of mistrust within the relationship if one party feels like they have been forced into signing something against their wishes or without being given full disclosure about its contents beforehand. It’s important that any signing of a prenup is done fairly and without coercion from either party involved; otherwise, it could prove detrimental in court proceedings later on down the line.
Schedule a Consultation With a Redwood City Family Law Lawyer
Whether or not you decide to enter into a prenuptial agreement is ultimately up to you and your partner, but considering these pros and cons will help you begin to think about how a prenup may be right for your situation and future life together as a married couple. It may be helpful to discuss the idea with Family Law lawyer, Bradley Bayan. The Law Offices of Bradley D. Bayan’s primary focus is on Domestic Relations law also known as Family Law. Contact the Law Offices of Bradley D. Bayan at (650) 364-3600 to schedule a free consultation to discuss or set up a prenuptial agreement.
