A prenuptial agreement, or otherwise more recognised as a ‘prenup’, in the UK can provide a measure of certainty to a person who has acquired pre marital wealth against the risk of divorce. These are usually entered into before a marriage takes place but they can also be entered into after a marriage takes place and are known as a post nuptial agreements. They can protect premarital assets, inheritance and be a good planning tool to protect a financially stronger party to the marriage.
At the same time, a well drafted pre nuptial agreement can also provide financial security to the financially weaker party to the marriage in the event of a divorce. For an effective prenup, you will need to take expert legal advice, which is something our team at Rapahel law is happy to provide.
The most common reasons for having a nuptial are :
- Protection of inherited or family wealth
- Where parties want to preserve some or all wealth for their children born from another marriage or relationship.
- Where there may be a debate on overseas assets or international marriages
- Where there is little trust between parties
Anyone contemplating marriage should consider whether they need a prenup. The agreement will provide clarification, certainty and protection to both parties.
Even though at this point in time, prenuptial agreements are not recognised in this country by statute, there are a number of cases where it has been seen that judges are much more inclined to reflect the terms of a prenuptial agreement when they are making their final decisions in divorce proceedings. In order for a judge to put weight on the nuptial agreements, the court will expect certain conditions to be met, namely:
To have the greatest chance of being upheld, the agreements need to meet a three stage test:
- The agreement should be freely entered into
- The parties should have a full appreciation of the implications of the agreement; and
- It must be fair to hold the parties to the agreement at the time of the divorce.
It is therefore imperative that each party obtains independent legal advice either to prepare or review a document that accurately reflects the parties’ intentions, whilst at the same time producing a fair outcome.
It is also recommended that the completion of all formalities relating to a nuptial agreement should be completed 28 days before the wedding/ceremony, if possible. Raphael law solicitors are experienced in drafting the documents, negotiating terms and guiding our clients through this process. We can assist with matters including and not limited to:
- Advise on whether or not the agreement is appropriate for you
- What terms to include in the agreement
- Negotiating the terms of the agreement with your partner
- Drafting your prenuptial agreement
- Advise on the terms of a prenup you have been asked to sign
- Advise on fairness
- Advise on terms if circumstances change after marriage
Both parties to the agreement will need to obtain independent legal advice. We work with many law firms/ direct access counsel who we can recommend to your future spouse to ensure that they meet the requirement of receiving independent legal advice.
Our experienced team of lawyers at Raphael Law are on hand to provide you with the advice you need.
Cohabitation agreements
It is a myth that unmarried couples have the same rights as married couples. Although this country desperately needs to reform this area of law, as it stands cohabiting couples do not have the same marital rights as married or civil partners.
A cohabiting couple can record their rights and interests in a cohabitation agreement.
They are often used:
- when one party to the relationship may have inherited/received gifted funds to buy a property and they seek protection of those funds from any future claim by their partner in the event of the breakdown of the relationship.
- when one party already owns a property and their partner is moving into that property; or
- when two people are making a financial contribution to a property they intend to purchase; or
- when a property is owned by one person but their cohabiting partner intends to make a capital contribution to the property without becoming a joint legal owner of it.
A cohabitation agreement can define how any direct or indirect financial contribution to a property will be made by a partner (once they live together) and sets out what share (if any) they would receive in the event of a relationship breakdown. It provides clarity and transparency to both parties.
Without a Cohabitation Agreement, there is always a risk that one partner may bring a claim against an interest in the property into which he or she has moved without making any financial contribution. This can lead to litigation which can be an expensive feat to resolve and it could end up in a situation where one party receives more than they should following a breakdown in a relationship.
Like a pre/post nuptial agreement, a cohabitation agreement can provide parties with clarification, certainty and protection from future claims being made following the end of a relationship.
Our experienced team of lawyers at Raphael Law are on hand to provide you with the advice you need.
there are all extremely approachable and nothing was too much trouble, and all questions answered satisfactorily. They gave me the legal support I needed during a very difficult time. I would highly recommend them and I plan to use them again myself on another matter."