The thought of a prenup has crossed most of our minds, but like most people, you might have given up on the idea because of things you have heard or seen in the media. For example, you may be under the impression that a prenup is designed to protect the wealthier spouse from losing their assets and money following a divorce. While a prenup does clarify financial issues, they are equally beneficial in helping you and your partner build open communication and trust from the beginning of your union.
A prenuptial agreement, often referred to as a prenup, is a contractual obligation you and your partner agree to before getting married legally. It details what happens to assets and finances during your union and in the unfortunate event of divorce. It also helps you understand the rights you give up and acquire once you get married. If you and your partner decide not to get a prenup, the prevailing laws in your state of residence will control your marriage, which may not be the best fit for you. So, arranging a prenup is an excellent opportunity for you and your partner to work together actively to create the laws that will govern your marriage. Otherwise, if you decide to divorce, the marriage laws in your state will control the division of your debts and assets, as well as how you will handle spousal support.
You can include as few or as many issues in a prenuptial agreement as you want. If you are only worried about spousal support, inheritance, or premarital property, your prenup can cover just the things you want it to. For example, if you are only concerned about your inheritance, you can limit the agreement to that issue alone. If you are only worried about the disposition of your premarital assets in case of your death, you can only address that in the premarital agreement. You will still need a trust or a will, but the prenup can waive your spouse's other statutory rights if you die.
Modern prenups must protect both parties. One-sided and unfair agreements might not hold up in court. For the contract to be enforceable, it must do the following:
For example, you and your partner may decide that since they will stay home and raise your children, your prenup will include provisions to compensate them for the interruption of their career by allowing them spousal support.
You will be thankful that your prenup was sensible from the start if you ever need it enforced by the courts. Providing a reasonable support structure for your partner in the prenup allows you to define support terms, limits, duration, and amount if your marriage is dissolved. However, you have little or no control over the terms when they are left to the court’s discretion.
These are just a couple of truths about premarital agreements. Contact us today for more information on prenuptial agreements in Orlando. We are here for you!