Getting married means that you will be sharing a big chunk of your life with another person. It not only involves devoting your life to each other but so many other things as well. One of the basic and most important parts of this bonding is sharing or joining financial assets. For this, prenuptial agreements are used.
This blog post will discuss the details of a prenuptial agreement, who should get it, and why you might need one. This information is especially useful if you are about to get married. If you are considering making a prenuptial agreement, reading this blog will be of great help.
What Is A Prenuptial Agreement?
A prenuptial agreement, also called a prenup, is a written contract signed by two people who are getting married before marriage. This agreement enlists all the property each person in the agreement has. This is used to assign their rights to those properties after marriage. This agreement is also called a premarital agreement.
Any agreement after the marriage is called a post-marital or post-nuptial agreement. Other than the points mentioned above, prenuptial agreements can also cover death, incapacity, estate planning, spousal support, and other legal issues.
Why Is It Necessary To Have A Prenuptial Agreement?
The main purpose of a prenuptial agreement is to avoid deviating from the distribution of personal assets in the event of a divorce or death. A prenup is an obvious answer for those who want to protect their assets from unlawful distribution and possession. Moreover, this agreement is also necessary if one of the partners has a child. This will help support the child with the marital income and clear out any of the partners confusion.
Divorce laws vary from state to state, a prenuptial agreement protects your assets and gives them lawfully to the right people. Therefore, having a prenup agreement is a good way to protect your assets and prevent misuse.
Who Needs To Sign A Prenup Agreement?
Many people think that a prenup agreement is just for rich people and nobody else will need them. However, this is not true. Any two married partners can sign a prenup agreement who want to assign possession limits to their respective assets. Below are some of the reasons why you might need a prenup.
You Want To Clarify Financial Rights
Managing finances and dividing money can become quite confusing after marriage. Without any plan, both parties won’t know the responsibilities and rights of each other. This can lead to conflicts and confusion.
A prenup agreement helps to resolve such conflicts. It helps couples clarify their rights and responsibilities, which they will have to fulfill during their marriage.
You Might Have To Transfer Property From Previous Marriages
A prenup is also necessary in cases where you have to transfer property to your children from prior marriages. For example, you have remarried but still have got some property from your previous marriage.
A prenup will be used whether you want to give rights of that property to your children and the existing spouse or not. Without a proper prenup, your existing spouse might claim to have more share in the property and give very little to the kids.
You Want To Avoid Arguments
Divorce is a stressful time, and it can be even more frustrating if you have to visit a court for property division. Having a prenup at this time is also necessary to decide whether the partner will receive alimony or not.
You Want To Protect Yourself From Debt
Prenuptial agreements are also useful to protect yourself from the debts of your partner. It clearly states that any kind of debt is the owner’s responsibility, and no partner has any duty to pay each other’s debts.
Get Help From Peak Family Law
Peak Family Law can help you with your family law issues if you are searching for a reliable family lawyer in Edmonton. We have wide areas of practice and own your trust by giving confidential and professional services. If you would like to contact us or learn more about our services, you can contact us here.