Why Have A Postnuptial Agreement

After-sales contracts were not widely accepted in the United States until the second half of the 20th century. Previously, U.S. jurisprudence followed the idea that contracts, such as a post contract. B, could not be valid if executed between a husband and wife. The inability of a husband and wife to combine contracts with each other was due to the concept of conjugal unity: at the time of marriage, the husband and wife become a single entity or person. [4] [5] Since you cannot enter into a contract with yourself, a post-terminated contract would therefore be ineffective. One thing that motivates this is undoubtedly the fact that matrimonial agreements are generally less stigmatized. A generation ago, it was easily outrageous to ask for a pre-nup (unless it was plentiful). But don`t you love your fiancée?! Well, mainly thanks to people who get married later in life – after owning a business, a pension fund or even a house – pre-nups are commonplace. Like buying travel insurance, that doesn`t mean you don`t enjoy your vacation. When a couple decides to get married, they inevitably agree to share their property. These assets (property, bank accounts, debts, etc.) are divided in the event of divorce, either a 50/50 division or an “equitable” division (depending on your state`s matrimonial property laws).

However, couples also have the option of entering into agreements that set certain parameters for the division of property (among other things) if the marriage ends. Marriage contracts are quite common among wealthy individuals, especially in states with “community property,” where matrimonial property is divided in the middle after the dissolution of a marriage. They are also used in situations where one party wants to protect a family business, avoid taking over the other party`s debts, or clarify financial responsibilities during the marriage. If your individual or marital financial situation has changed during the marriage, this is another indication that you should enter into a post-marital contract. When you entered the marriage, you did so in a number of financial circumstances. These have now changed, and it`s wise to consider these circumstances and create a plan on how to manage your financial assets in case you need to break up your marriage. Courts in some states, such as New Jersey, have ruled that a post-nup must be “fair and equitable” for both spouses, both at the time of signing the agreement and at the time of divorce. But other states, including New York, require that a post-nup not be “unscrupulous.” In these states, simple injustice is not only on the verge of a post-nup. “As this is a contract between spouses, there is no need for good faith and fair treatment,” says Tom Kretchmar. .