What To Know About Prenups

Last updated on October 17, 2024

At my law firm, Dahann Bowers Law, I help couples prepare prenuptial agreements, which outline the distribution of their assets and financial rights and responsibilities should the marriage end in divorce or death. While prenups, as they are often referred to, can have a negative connotation, they serve a valuable function that doesn’t reflect on the love and respect between the parties. The financial transparency inherent in a prenup can actually strengthen the relationship by reducing uncertainty and disagreements over money.

Protecting Your Assets

One significant benefit of a prenuptial agreement is the protection of individual assets. This is particularly important for those entering a marriage with substantial premarital assets, expected inheritances or ownership of a business. By clearly defining what is considered separate property, a prenup can ensure that these assets remain with the original owner in the event of a divorce.

However, prenups are not just for the very wealthy. They can also provide financial clarity and establish ground rules for managing joint expenses, investments and debt accumulation (including student debt).

Prenups can also be instrumental in safeguarding the financial future of children from previous relationships. By specifying inheritance rights and ensuring that certain assets are allocated for these children, a prenup can prevent potential legal battles between family members.

Frequently Asked Questions About Premarital Agreement

Are you interested in drafting a premarital agreement? Do you want to learn more about how premarital agreements work? I can answer any questions you may have, including:

What are the advantages of a prenup?

The main advantage of a prenup is that future spouses can establish the distribution of assets if a marriage ends in a divorce or death. Couples can establish a prenup to provide for children from other marriages. Future spouses can also establish spousal support in a prenup. This can provide couples some security and certainty in knowing how a divorce would end if they would otherwise believe that a divorce is unfavorable.

Are prenups always valid?

No. While a prenup is an important tool to establish divorce matters, it is important to draft one correctly. If a prenup is drafted incorrectly, it may not be valid, which can create issues for you during a divorce. A prenup may be invalid when it is:

• Improperly created or signed: Prenups are made before marriage. Not after. If a prenup is drafted or signed after a marriage, this can invalidate the document. It is also important to understand how soon a prenup must be signed. In California, a prenup can not be signed until after seven days from the day a future spouse receives the document.
• Not read: Simply put, a prenup may not be valid if a future spouse did not have time to read the document before signing it.
• Forced or coerced: A future spouse cannot force, threaten, pressure or coerce the other spouse to agree to the terms of a prenup. A spouse may believe they were forced or coerced to sign a prenup if their future spouse threatens to cancel a wedding otherwise. A forced prenup could be invalid.
• Established on invalid or false information: The main focus of a prenup is to establish the distribution of assets, including finances and debts. A prenup must include accurate and complete information about the assets.
• Unconscionable: A prenup should be fair for both spouses. If a prenup unfairly favors one future spouse over the other, then a prenup may be invalid. For example, this could happen if a spouse could receive all the property in a divorce.

I can help draft a valid prenup to avoid any confusion or difficulties if your marriage ends in divorce or death.

Can you include a child custody plan in a prenup?

Several divorce matters cannot be established with a prenup. Two of these matters include child custody and support. Child custody is always determined according to whatever is best for the child, and child support is a parent’s obligation that cannot be negotiated away.

Can you decide the distribution of debts in a prenup?

A spouse may have more financial obligations than the other, such as for student or business loans or credit card debt. A divorce may cause one spouse to be responsible for the other’s debts. However, a prenup can state who is responsible for debts in a divorce, so that neither spouse is unfairly burdened by the other’s debts.

Find Out More About Prenups

A prenuptial agreement encourages couples to have honest and open discussions about their finances and future expectations. It should be viewed as a tool for planning and protection, not an expectation of a failed relationship. At Dahann Bowers Law, I help couples plan for their future. To learn more about the benefits of a prenup, contact me at 951-900-4647, or email me today.