Marriage Contracts / Cohabitation Agreements

Marriage Contract (Prenup), Cohabitation Agreement

Marriage Contracts – also known as prenuptial agreements or “prenups” – is a legal document that outlines the rights of spouses in the event of a marriage breakdown. A marriage contract may be signed either before (prenup) or after (postnup) the marriage. Although commonly viewed as a negative – prenups are, in reality, a valuable tool for couples who wish to protect their assets, define financial responsibilities, provide clarity of roles in the relationship, and help to establish expectations either prior to entering into a marriage or after.

What do prenups/postnups address?

Asset division: the marriage contract can specifically outline how assets acquired before or after the marriage (i.e. real estate, investments, businesses, pensions and other valuable assets, etc) will be divided in the event of a breakdown in the marriage

Debt allocation: the agreement can address the division of debts accumulated during the marriage

Spousal support / Child support: can include provisions that establish terms outlining the amount, duration and conditions for support

Inheritance: outlining the rights for or exclusion of inheritance from the other spouse’s estate (i.e. preservation of family wealth)