Prenuptial Agreements

​Marriages are meant to last, "'til death us do part", as the saying goes.  However, curently more than one in three marriages ends in divorce; when it comes to second marriages the likelihood is, sadly, even higher.  Most people sensibly recognise that separation and divorce is statistically likely to happen to them.

Prenuptial Agreements are not yet legally binding within the UK but if in place, they will form one of the factors considered by the court when exercising its powers in relation to financial settlements.  Depending on the circumstances in which they are signed, they may be upheld in full.

The case of Radmacher Vs Granatino in 2010 established that "the court should give effect to a nuptial agreement that is freely entered into by each party with a full appreciation of its implications unless in the circumstances prevailing it would not be fair to hold the parties to the agreement".

There is now effectively a rebuttable presumption that a Prenuptial (and any other marital agreement) freely entered into by the couple with a full understanding of its implications, will be upheld by the court, unless it would be unfair to do so.  It is therefore advisable for anyone who is not content for a Court to dictate how their assets should be divided to consider a Prenuptial Agreement.

To ensure that the provisions of the Prenuptial Agreements are upheld if the parties divorce in the future, it is advisable to follow a number of steps:

• Each party should take independent legal advice on the content of the agreement before it is signed.  This will demonstrate that each party signed it knowing the full implications of signing the document.
• The Prenuptial Agreement should be prepared and signed in good time before the marriage takes place.
• The Courts have previously dismissed Prenuptial Agreements prepared in haste before the marriage takes place, as this may place undue pressure on a party to sign the agreement in order to ensure that the wedding goes ahead as planned.
• Parties should be aware that if they have children, it may be less likely that the court will uphold such an agreement, as the children will become the 'first priority' of any financial settlement.
• The parties must disclose their financial position to each other in full - sources of income, property, cash investments, stocks, shares and chattels must all be accounted for.

Please contact us for more information regarding Prenuptial Agreements and to dicsuss your own circumstances.