Postnuptial agreements have gained popularity in recent years, as their cousin, the prenuptial agreement, has come back into public favor. But what exactly is a postnuptial agreement, and how can it help you? Postnuptial agreements do not have all the strength of a prenuptial agreement, but can still lay out ground rules for how property is divided, which can greatly alleviate tension in a marriage.
Prenuptial agreements involve some legal muscles that postnuptial agreements do not have. Namely, prenuptial agreements can protect one spouse from being liable for the other spouse's personal debts. if you did not take advantage of this opportunity before getting married, a postnuptial agreement cannot offer the same protections. However, postnuptial agreements can help dissolve some financial tensions and relieve pressure in a marriage.
One of the most common uses for a postnuptial agreement is when one member of a marriage starts a new business or makes a new investment. Property laws generally entail that any property gained after a marriage begins is marital property and should be divided fairly in the event of a divorce. However, if you start a new business and have concerns about losing the business if you divorce, a postnuptial agreement that keeps the business of the negotiation table in a divorce settlement can alleviate those fears.
For many people, a postnuptial agreement is a great gift to give to a spouse they love, proving that the relationship is more important than some potential financial gain. If you believe that a postnuptial agreement is right for your relationship, don't wait to reach out to an experienced attorney to create a document that protects and respects your marriage.
Source: Findlaw, "What Is a Postnup? Do You Need One?," Jenny Tsay, accessed June 09, 2017