Prenuptial agreement or prenup is a legal agreement between a couple prior to their marriage, which allows the engaged couples a fair division of property, assets, or money in case of divorce or death. It is a signed and notarized contract, which allows a couple to handle the financial facets of their marriage. If done with the consent of both the partners, honest discussions about financial aspects can make the wedding a very positive experience. Read on to know what is a prenuptial agreement.
- You can consider a prenuptial agreement if you have assets such as retirement funds, stock or even a home. You can also consider a prenup in case you own a business or part of it.
- If you are receiving an inheritance or if one of the spouses is much wealthier than the other, you should consider prenup agreement.
- If you have the responsibility of taking care of your elderly parents, you may consider prenup.
- If either of you is supporting the other partner through college, you could go for prenuptial agreement.
- If you are toying with the idea of premarital agreement, you need to have a talk with your partner as early as possible. It should not come as surprise to your partner.
- The premarital agreement should be fair and acknowledged from both the parties. It should also have attorney certificate from both the parties.
- The agreement should contain all the clauses in clear language and should have the listing of both the spouse’s assets and legal responsibilities, if any.
- Actually, a premarital agreement can be tailor made according to the needs of a couple.
- A person can be secured from debt loans of his/her partner because of a prenup agreement. It also saves one’s business/estate from being divided.
- If you have children from your previous marriage, you should consider prenuptial agreement to secure your children’s future.
- Remember that prenup is not just for the riches. A person who has a little of his/her own money or may inherit monetary gift, can go for premarital agreement.
- Divorce is a common happening today. A prenuptial agreement removes the chances of battle over assets.
- Having a prenup just means a protection in monetary matters. It doesn’t mean that a couple is anticipating divorce.
- A premarital agreement also ensures spousal support in case of alimony or monthly maintenance.
- It also assures remarriage rights and child support and custody issues.
- In India, prenuptial agreements are not governed by the Indian marriage laws, but by the existing contract laws. Under Section 10 of the Indian Contracts Act, prenuptial agreements have same sanctity as any other contract, oral or written.