A common misconception is that pre-nuptial agreements are only for the rich and famous. While celebrities often make headlines for their prenups, the reality is that many couples, regardless of wealth, could benefit from having a pre-nuptial or post-nuptial agreement.
What Are Pre-Nuptial and Post-Nuptial Agreements?
A pre-nuptial agreement (prenup) is a legal document signed before marriage, outlining the division of assets should the marriage end. A post-nuptial agreement serves a similar purpose but is signed after marriage.
Celebrity Examples of Pre-Nuptial Agreements
Mary Kate Olsen (from Mary Kate and Ashley fame), was married to Olivier Sarkozy, the brother of the then, French prime minister. Mary Kate accumulated her wealth at an early age, due to being a successful child actor and had amassed a 250-million-dollar fortune. She had however, entered into a pre-nuptial agreement, and on divorce, the court in the USA agreed there were very little shared assets and the pre-nuptial agreement would be enforced. A great example of spending a little money before marriage, to save a lot of money, post separation.
Ariana Grande had a similar pre-nuptial agreement, and again, only had to pay to her husband, half of the sale proceeds of their jointly owned L.A home on divorce, keeping the rest of her fortune to herself.
Do I Need a Pre-Nuptial Agreement if I’m Not Wealthy?
While you may not have millions like celebrities, the principles of pre-nuptial agreements are relevant to everyone. Whether you have significant assets or just a modest amount, a prenup can help protect your financial future and avoid costly legal disputes.
The Growing Popularity of Pre-Nuptial Agreements in Second Marriages
Pre-nuptial agreements are increasingly common in second marriages. Couples who have been through divorce once often seek to protect their assets, especially for children from their first marriage. A pre-nuptial or post-nuptial agreement can ensure peace of mind and protect against future stress and legal costs.
Safeguards for Drafting a Pre-Nuptial Agreement
There are certain safeguards to put in place, when drafting a pre-nuptial agreement, and whilst they are not as yet law in England and Wales, they are a persuasive document, which, if drafted correctly, and result in a quicker, cheaper conclusion.
For expert advice on pre-nuptial agreements or post-nuptial agreements, you can get in touch with Judith on 0161 464 9706 or email Judith.OBrien@prosperitylaw.com
