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Wealth and Asset Protection – Living Together Agreements, Pre-Nuptial and Post-Nuptial Agreements

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Free Initial Meeting Unfortunately, statistics show that more than one in three marriages will end in divorce. This means there is a high possibility that a person will marry more than once. As a result, couples require greater control over their financial assets. Parties would be advised to consider a pre-marital contract in a number of circumstances, including but not limited to:

Pre-marital contracts are entered into by agreement before marriage and attempt to set out what should happen to a couple’s finances upon divorce. They give an agreed structure for resolving finances and may prevent the need for court involvement. Pre-marital contracts are not automatically enforceable in England and Wales at the moment. However, recent cases make clear that prospective partners, entering into pre-marital contracts (or pre-nups) with their eyes wide open are likely to be held to them if they are found to be fair at the time of divorce. A Post-Nuptial Agreement is a contract drawn up after marriage or a couple have formed a civil partnership. The Agreement provides details on how the couple’s assets and property would be divided in the event of the couple divorcing, separating or upon death. A Post-Nuptial Agreement is similar to a Pre-Nuptial Agreement except that it is made after the marriage or civil partnership has taken place. A Post-Nuptial Agreement is a relatively new concept in the UK and only became legally binding in 2008 following a Privy Council judgment. Post-Nuptial Agreements can and often are enforced by the courts in a similar way to separation agreements. Before obtaining either a Pre-Nuptial or Post-Nuptial Agreement it is a good idea to discuss the matter, in depth with your spouse or partner. You will need to agree on how you will divide your assets and debts and take into consideration any future income. If you can agree on these matters it will make the whole process easier. A typical Pre-Nuptial and/or Post-Nuptial Agreement would typically include the following details:

It is crucially important that both parties obtain independent legal advice from a solicitor. Normally both parties will need to instruct different firms of solicitors to avoid any conflict of interest.

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