FAQs About Our Prenuptial Agreements Service
What is a prenuptial agreement?
A prenuptial agreement, often referred to simply as a 'prenup,' is a contract entered into by a couple prior to their marriage or civil partnership. This legal document typically outlines how the couple’s assets and liabilities will be handled both during the marriage and in the event of a divorce. The main purposes of a prenuptial agreement are to:
- Protect assets: safeguard personal assets brought into the marriage, including money, real estate, or family inheritances.
- Clarify financial responsibilities: define each partner's financial responsibilities during the marriage.
- Mitigate future conflicts: reduce potential conflicts in case of a separation by specifying in advance how property will be divided.
- Support estate planning: complement estate-planning efforts, especially when there are children from previous relationships or significant estate assets involved.
A well-crafted prenuptial agreement can provide clarity and certainty, and help couples manage their financial matters more effectively. It can also reduce the scope for conflict, should the marriage dissolve in the future.
Are prenuptial agreements legally binding in the UK?
A prenuptial agreement is not legally binding under UK law, but it helps to inform the court on how best to handle the division of assets following a divorce. Upon separation or divorce the court has the power to make a variety of orders in relation to matrimonial assets. Increasingly, judges will consider the agreement as a relevant circumstance of the case providing the provisions are reasonable and certain conditions are met; namely:
- An agreement is more likely to be upheld if both parties obtain independent legal advice before the agreement is entered into.
- Both parties should provide full financial disclosure detailing their respective financial positions and circumstances.
- There is no evidence that any pressure was brought to bear on either party to enter into the agreement. Pressure may be apparent if there is too little time between the agreement being considered and signed by the parties before the marriage takes place.
It is important that both parties seek appropriate legal advice about the merits of proceeding with a prenuptial agreement in plenty of time before the marriage. It is not advisable to sign a prenuptial agreement any less than 21 days before the marriage, and ideally it should be signed some time before that.
Are prenuptial agreements enforceable?
Prenuptial agreements, while not automatically legally binding in the UK, are given significant consideration by the courts during divorce proceedings, provided certain conditions are met. For a prenuptial agreement to be considered enforceable, the following criteria typically need to be satisfied:
- Fair and reasonable: the terms of the agreement must be fair and not leave one party in a significantly disadvantageous position.
- Full disclosure: both parties must have provided full and frank financial disclosure before signing the agreement.
- Independent legal advice: both parties should have received independent legal advice regarding the agreement. This helps ensure that both individuals understand the terms and the implications of the agreement.
- No duress: the agreement must have been entered into voluntarily, without pressure or duress, and both parties should fully understand its implications.
- Timing: it is advisable for the agreement to be signed at least 21 days before the wedding. This timeframe helps demonstrate that both parties had adequate time to consider the agreement.
Courts in the UK are increasingly respecting these agreements, particularly when they meet the above standards. This means that they are effectively enforceable under the right circumstances, even if they are not legally binding.