What are Benefits of a Prenuptial Agreement?

When a person is about to get married and hears the words ‘premarital agreement,’ it often strikes fear in their hearts. However, they should not. There are many benefits that come with premarital agreements, and these extend to both spouses. Below are just four of the main advantages that anyone about to get married will reap from a premarital agreement.

Open the Lines of Communication

A couple has to talk about a lot before they get married. Of course they have to establish that they both want the same things out of life, such as children and where they will live. Financial experts have also always advised that couples should discuss their finances before getting married. It is important that both partners in the relationship understand the assets and debts the other partner is bringing into the marriage so both people can understand what they are entering into. A premarital agreement can help open these lines of communication and allow the couple to enter the marriage honestly and secure about the plan they have created.

Save Time and Money

Divorces are often lengthy and expensive. This is because the couple or a judge must make final decisions on a number of different terms, such as the division of property. A premarital agreement can help speed the process along because the couple has already made plans for many of these terms and so, it really is just a matter of following the premarital agreement.

Protect Property

Of course, a premarital agreement outlines which property a spouse will keep in the event that the couple gets a divorce. This is the main point of a premarital agreement for many people. When an agreement is enforced during property division proceedings, it takes the control away from the judge and places it back in the couple’s hands. Without a premarital agreement, a judge will make the decision on property division and the couple will have very little say in the matter.

Reduce Conflict

Divorce is extremely difficult for many reasons. The first is the obvious emotional upheaval that a divorce causes for both spouses. The second is that some divorces do involve a long courtroom battle filled with conflict. This conflict is exhausting for both spouses and makes the divorce process even more challenging. A premarital agreement will eliminate that conflict because there is nothing to argue over. Each spouse has already agreed to the terms within the agreement and so, there is no conflict.

Getting Married? Call Our Florida Family Lawyers First

If you are about to get married, it is important that you draft a premarital agreement first. Although engaged couples often do not want to think about divorce prior to their wedding, our Tampa family law attorneys can show you there is much more to a premarital agreement than that. We can help you open the lines of communication so you and your partner can enter into an agreement that is fair for both parties. To learn more about premarital agreements, call us today at (813) 672-1900 to schedule your free consultation.  Hablamos español!

Resource:

leg.state.fl.us/Statutes/index.cfm?App_mode=Display_Statute&URL=0000-0099/0061/Sections/0061.079.html

 

Supreme Court of Florida Weighs in on Waivers in Hahamovitch v. Hahamovitch - Pre Nuptial Agreements

A prenuptial agreement can be an effective tool for two people to settle the division of assets upon the dissolution of the marriage. Prenuptial agreements can be complex agreements that should be approached with great care and diligence. Both parties to the agreement should have a full understanding of the subject of the agreement and retain counsel to advocate for their interests. One common element of prenuptial agreements is a waiver and release of claims, which can vary in specificity. In Hahamovitch v. Hahamovitch, the Supreme Court of Florida determined the validity of general waivers as they relate to certain marital property and claims.

Issue of the Case

In Hahamovitch v. Hahamovitch, the husband and wife executed a prenuptial agreement before marriage, which lasted for 22 years and produced two children. The prenuptial agreement contained:

• a general waiver and release that barred the wife from asserting any claim to the husband’s property, and to any rights she otherwise accrued as a result of the marriage, such as alimony, support and maintenance, equitable distribution, division of property, or attorneys’ fees;
• a provision that each spouse shall keep sole ownership of their respective property that was acquired before or after the marriage, and that each waived all right to the other’s assets; and
• a presumption that property titled in one spouse’s name was deemed to be that spouse’s property.

Upon their divorce, the wife claimed that the general waiver did not apply to her right to her share of her husband’s earnings, assets purchased with those earnings, or any appreciation or enhanced value of her husband’s assets as a result of marital efforts. Before the Hahamovitch decision, Florida courts were split as to whether a general waiver as described above is a valid means to waive a spouse’s right to such assets.

The Court’s Ruling

In a unanimous decision, the Supreme Court of Florida settled an important legal issue in Florida divorce law. The court held that prenuptial agreements that contain a general waiver that provides that each spouse:

1. disclaims all interest in the other spouse’s property;
2. will be the sole owner of property purchased in their own name; and
3. waives all claims that they may have as a result of the marriage, e.g., alimony;

…are valid and will prevent each spouse from claiming a share of property owned and titled in the other spouse’s name, regardless if that property was purchased with marital assets or appreciated in value because of efforts by the non-owner spouse.

Impact on Prenuptial Agreements

Before Hahamovitch, Florida courts varied on the specificity required for waivers for certain marital assets, such as a spouse’s earnings. The court’s decision brings clarity in that a properly drafted waiver can serve to preclude claims otherwise allowed under Florida law.

Considering or Need Help with a Prenuptial Agreement?

Prenuptial agreements are complex and require careful consideration, especially when they contain a broad waiver and release of claims. The divorce attorneys at All Family Law Group, P.A. have the knowledge and skill necessary to protect your interest in entering and exiting a marriage. If you need help or have questions about your divorce or prenuptial agreement, contact the Tampa family and divorce lawyers at All Family Law Group, P.A. in Tampa Bay at 813-816-2232 for a consultation at no charge or email us.

By Lynette Silon-Laguna Google+