Prenuptial agreements are defined as a “written contract between two people who are about to marry, setting out the terms of possession of assets, treatment of future earnings, control of the property of each, and potential division if the marriage is later dissolved.” Such agreements are also known as premarital or antenuptial agreements, and typically have a negative connotation. Most believe a prenuptial agreement is a vehicle for the higher earning or the financially superior party to limit or restrict the other party’s rights in the event of a divorce.
In contrast, prenuptial agreement can provide an excellent avenue for the lower earning or financially inferior party to secure financial independence and certainty in the event of a divorce. Properly drafted, such agreements are done simply to provide financial security and definitiveness for both parties and can assist the parties with avoiding the costly and unnecessary expenses of a protracted, contested divorce process. The agreement can expressly determine what each party will have in the event of a divorce, based upon a plethora of factors.
Additionally, if a prenuptial agreement is not executed by parties prior to marriage, it is not too late to secure each party’s financial interests and avoid expensive litigation. A postnuptial agreement very similar to a prenuptial agreement, just executed after the parties have married.
At Leavitt and Flaxman, LLC, we have the knowledge and experience of drafting prenuptial and postnuptial agreements that secure our clients’ interest, regardless of their financial position.