Three Situations in Which a Postnuptial Agreement May Be Beneficial

 Posted on December 08,2022 in Family Law

In a previous blog, we discussed the advantages of utilizing a prenuptial agreement to define property rights before getting married. Prenuptial agreements have long been the subject of skepticism, but more and more couples are recognizing the utility of such a document. Many family law attorneys are seeing an increase in the number of people requesting prenups – especially among the younger generation.

Postnuptial agreements are very similar to prenuptial agreements: They describe each spouse’s property rights and obligations in the event of divorce or the death of a spouse. However, a postnuptial agreement is signed after the couple has gotten married. Read on to learn about three situations in which a postnuptial agreement may be beneficial.

The Couple Owns Significant Assets

If either spouse in a marriage has significant wealth, a postnuptial agreement can help protect that wealth. Many people look into getting a prenuptial agreement after they experience a financial windfall. For example, a wife who inherits real estate from a deceased relative may wish to use a prenuptial agreement to classify the property as a non-marital asset. Property acquired through inheritance is generally considered non-marital property, however, countless circumstances can lead to transmutation. A postnuptial agreement ensures that the home does not become entangled with marital property and end up as part of the marital estate.

Either Spouse Owns a Business

Developing a successful business is no simple feat. The vast majority of businesses fail within a few years. Consequently, business owners who have managed to build a thriving business are highly motivated to protect that business. Postnuptial agreements may be used to classify a business as non-marital property so that it is not subject to division during divorce.

Your Marriage May be Headed for Separation or Divorce

When a marriage is on rocky ground, spouses may want to protect their financial interests in preparation for a possible divorce. Signing a postnuptial agreement can give both spouses peace of mind without requiring them to take steps toward a divorce. If you and your spouse are going through a difficult phase of your relationship, you may want to use a postnuptial agreement to define property division and spousal maintenance just in case things do not work out.

Contact our Palo Pinto Postnuptial Agreement Lawyer

Postnuptial agreements can be used to classify assets as marital or non-marital, shield assets from division during divorce, describe spousal maintenance terms, and more. If you are interested in learning more about the advantages of a postnuptial agreement, contact our Parker County family law attorney. Call The Law Offices of Kary L. Key at 817-599-6969 and set up a confidential consultation.

Source:

https://www.forbes.com/sites/frawleypollock/2020/05/11/do-you-need-a-postnup/