Thinking about a pre-nuptial?

A pre-nuptial is an agreement made by a couple, before their marriage or civil partnership, regarding the division of assets in the event of separation.

Although these are not legally binding in England and Wales, Courts in recent years have been giving pre-nuptials more consideration in their judgments. 

The case of Radmacher v Granatino has provided further reason to anticipate that pre-nuptial agreements will be recognised by the Courts as it places importance simply on whether both parties had time to obtain advice and understood what they were signing.  In previous decisions it was thought that full financial disclosure and independent legal advice was also necessary.

It is, of course, still important that neither party is pressured into signing the agreement.  The law on this point however has been criticised for being “patronising in particular to women” as it assumes a party may agree to unreasonable terms because they were too emotional, trusting and eager to marry. 

The status and enforceability of pre-nuptial agreements is still unclear and the Law Commission is to start a report to clarify the matter at the end of the year.

8 September 2009

Disclaimer

The contents of this article are for the purposes of general awareness only.  They do not purport to constitute legal or professional advice.  The law may have changed since this article was published.  Readers should not act on the basis of the information included and should take appropriate professional advice upon their own particular circumstances.