Most couples have heard about, and probably created, prenuptial agreements to help address issues regarding property division in the event of a divorce. While you cannot create one after getting married, you can still draft a marital contract that almost serves the same purpose as the prenup. This document is known as the postnuptial agreement.
A postnuptial agreement is entered into by an already married couple. This document discloses each party’s property as well as the marital property. It also outlines each party’s rights and responsibilities during the marriage as well as how the property will be handled should there be a divorce.
Here are three questions that can help you determine if you need a postnuptial agreement.
Did you overlook the prenup?
A prenuptial agreement offers several benefits to a couple. The most obvious one is the separation of personal property from marital property during the divorce. A couple that did not create a prenuptial agreement before tying the knot may find a postnuptial agreement extremely useful for accomplishing similar goals.
Are there incidents of marital misconduct in your union?
Postnuptial agreements tend to be very handy when there are marital misconducts such as an affair, abuse or substance addiction that might lead to divorce. In such instances, the postnuptial agreement can serve as a warning to the misbehaving partner by specifying potential repercussions should they fail to change their ways.
Have you reconciled after a separation?
A postnuptial agreement can serve as a safety net for a couple that has reconciled from a potential divorce. Of course, the past remains in the past after reconciliation. That said, a postnuptial agreement can help you protect any assets you might have acquired while separated. It can also help you safeguard your interests going forward.
A postnuptial agreement can help couples who do not seem to be on the same financial page set grounds rules for their relationship. Find out how you safeguard your rights and interests while creating a postnuptial agreement.