How Premarital Agreements Can Help You
When many of us hear about celebrity divorces, weíre often shocked at just how much money is thrown around as a result of a shaky legal process Ė and perhaps even shoddy representation. Thatís why itís important to remember that no matter how much money you have, all the money in the world canít buy a lawyer so good that theyíre above the law.
Thatís why premarital agreements can help you in a divorce Ė or may even be able to help you in your marriage. Sound ridiculous? Letís take a look at premarital agreements and see just how you can put them to use for you rather than against you.
Premarital Agreements Explained
Premarital agreements Ė often also known as prenuptial agreements Ė are very valuable legal documents because they help define the boundaries of property and assets before a marriage begins. This doesnít only help shape any potential divorce proceedings, but it actually helps define the marriage itself. Having a premarital agreement does not mean that you have to have a divorce in order for the form to have been worthwhile Ė instead, it can actually help you protect your assets even in the presence of a marriage.
Having clearly-defined boundaries of assets can sometimes reduce the overall liability of you as a married couple. For example, if one property is owned by only one spouse, then only that spouseís assets might be liable in certain cases of litigation.
Of course, premarital agreements also have a lot of potential impact on the divorce proceedings, should you choose to undergo them. This can vary wildly, of course, because the documents themselves can vary wildly Ė essentially, two people can put just about whatever they want into a premarital agreement in order to set the terms of the marriage.
The division of property, of course, is one of the main focuses of most prenuptial agreements, which is why itís important to understand their potential impact.
Premarital Agreements and the Division of Property
When most people research premarital agreements, itís because theyíre interested in how the division of property would work in the case of a divorce. The premarital agreement can have a giant impact on this because it establishes the structure of a marriage before it even takes place. When both parties agree to the document, it suggests a contract that might not be able to be undone when a divorce is brought to court.
Assuming, however, that premarital agreements are enough to guarantee that your property will always be protected is a foolís errand. Thatís because any divorce that goes to court could potentially have agreements thrown out for one reason or another. Even so, these premarital agreements can be enforced by the courts, and may represent a solid line in the sand should a divorce ever occur.
Being smart about premarital agreements doesnít mean that you should always hedge your bets in the case of divorce. Instead, premarital agreements should help define the terms of the marriage, giving structure to your future plans and helping you each protect your collective property.