How a Prenup Can Affect Your Divorce
Posted on May 15, 2024
When two parties enter into a marriage with inheritances, businesses, properties, financial assets and other personal assets, there is a push to create a prenuptial agreement. The goal of a prenuptial agreement is to help ensure clear separation guidelines so you can navigate the division of complex assets in the case of divorce. Rooted in contract law, a prenuptial agreement offers a predetermined plan for the division of assets, aiming to avoid the emotional and financial strain of disputes during a divorce. While prenuptial agreements are designed to support the division of assets, there are still cases where a civil litigation lawyer or family lawyer can contest the contract.
For more insight into the complex contract law and litigation with prenuptial agreements, contact the expert family lawyers at Karrass Law.
Here's what you need to know about how a prenup can affect your divorce.
Why Consider Creating a Prenup
If you're planning on getting married and want to consider protecting your assets or ensuring you get what you rightfully deserve in the case of divorce, a prenup is a great idea. While most people do not enter into a marriage and prenuptial agreement expecting separation, it's wise that couples with valuable assets consider protecting their assets preventatively with a family lawyer.
The decision to create a prenup establishes clear expectations and boundaries to reduce uncertainties.
- Protection of Individual Assets: Couples with significant pre-marital assets, family inheritances, or personal business interests may use a prenup to outline what will remain separate property and what will be considered marital property.
- Clarification of Financial Responsibilities: Prenups can detail the financial duties of each party during the marriage, including how debt liability is shared, which can prevent disputes over finances later on.
- Efficiency and Predictability in Divorce Proceedings: A well-drafted prenup expedites the divorce process by preemptively resolving potential conflicts over asset division, alimony, and other financial matters under the guidance of a family lawyer.
How a Prenup Can Simplify Asset Division
A prenup can help protect shared businesses, allocate debts and financial responsibilities, and determine alimony payments. When asset division gets complicated during divorce, separation can be dragged out longer than necessary, and proceedings can become more tense. When executed correctly under the advice of an experienced family lawyer, a prenup will act as a clear roadmap that streamlines divorce and mitigates hostility.
When Are Prenups a Source of Complication
Prenups are usually created when a relationship is in a positive place or when a couple is in the "honeymoon phase." However, during the course of a marriage, the dynamics can shift, and so can the relationship. Financial assets come and go, and what each party feels rightfully entitled to can change. If circumstances have changed dramatically since the initial signing of a prenup, or if the agreement was not properly enacted, you should seek legal advice from a family lawyer specializing in complex division of assets. A civil litigation lawyer in Toronto like Robert Karras and the Karras Law team can help you better seek a fair settlement.
Factors that Complicate Your Prenup
- Challenges to Validity: If you or your spouse claim that the prenup was signed under coercion, that you were not properly informed, or that it was not executed properly at the time of your divorce, you may need the legal advice of a civil litigation lawyer, as this could negate the prenup.
- Changes in Circumstances: If your relationship has changed significantly since the agreement was created, the terms of the prenup may no longer seem fair, reasonable, or relevant. Contesting the fairness of a prenuptial agreement demands the skilled intervention of a civil lawyer who understands family law and contract law.
- Overly Rigid: While the clarity of a prenup can be beneficial, it can also be too rigid, not allowing for adjustments based on changes in your financial situation, health, or family dynamics. This lack of flexibility can create conflicts if the agreement no longer reflects your current situation or values.
Navigate Your Prenup with the Civil Litigation & Family Lawyers at Karrass Law
When family law gets complicated, trust the experts at Karrass Law. If you're at a point of separation and need help navigating or overcoming the terms of your prenup, trust the experts at Karrass Law. Our family lawyers and civil litigation lawyers specialize in complex asset divisions and can provide you with tailored legal advice and zealous representation.