Prenuptial Agreements Explained

A prenuptial agreement is a contract completed by a couple before they get married. This contract sets forth the rights for each party should they eventually decide to get a divorce or the marriage dissolve for other reasons. Prenuptial agreements are often used by those with considerable financial resources or ownership assets. This contract enables each party to keep their assets separate and safe from potential division upon the dissolution of the marriage. Without a prenuptial agreement, even separate assets are susceptible to becoming marital assets in certain circumstances and can end up being divided between the divorcing spouses.

What is a Postnuptial Agreement?

Postnuptial agreements are similar to prenuptial agreements, except for the fact that they are written during the marriage. Postnuptial agreements are often a good option for couples who are having marital problems and know that divorce is a possibility down the road. Couples may need space before trying to reconcile and make their marriage work. In that sense, postnuptial agreements can be a good initiator for a second chance at marriage. With a postnuptial in place, an eventual divorce becomes a much simpler process. Division of assets has already been planned and the long, expensive process of litigating a divorce is not nearly as much of a concern.