The Benefits Of A Premarital Or Postmarital Agreement
The purpose of a premarital or a postmarital agreement is to provide certainty regarding how issues will be resolved upon dissolution in order to avoid going to court and/or the application of California law. High-profile cases involving premarital and postmarital agreements led to changes in the law that have resulted in greater scrutiny of such agreements and of the legal representation available to each party. We carefully craft our agreements with this high standard in mind.
Premarital And Postmarital Considerations
California’s Uniform Premarital Agreement Act (UPAA) outlines requirements that must be met for the agreements to be legally binding. Both premarital and postmarital agreements can address a range of issues, including:
- The income earned during marriage by either party and how it should be allocated
- The rights and obligations regarding property acquired prior to marriage and during marriage
- The sale or transfer of any property in case of death, divorce or separation
As part of the drafting process of both types of agreements, both partners must share all relevant information about their income, assets and debts and it is very difficult to enforce an agreement if both parties are not represented by counsel. However, there are significant differences between the two types of agreements.
When A Cohabitation Agreement Might Be The Best Choice
For couples in long-term relationships who are living together and sharing expenses but do not plan to get married, cohabitation agreements provide financial protection if the relationship ends. They can be used both as protection against financial claims between partners and to secure compensation when one partner emotionally supports the other at a financial detriment to themselves. Because there is no such thing as a common law marriage in California, when couples in long-term relationships separate or one partner dies, attempting to divide assets and deal with finances and jointly owned assets can create thorny legal issues. The longer couples stay together, the more their finances become intertwined and the more difficult they are to untangle if a partner dies or the relationship ends. By signing a cohabitation agreement, each partner can protect their financial interests and dictate how jointly owned property and other assets will be dealt with if the relationship ends for any reason.
Start Working On Your Agreement Today
At our first consultation, we will listen closely to the details of your situation, and explain exactly how we can help. We will help you identify the most important issues to address in your cohabitation agreement, pre- or postmarital agreement, and we can begin work on drafting it right away.