How to execute a prenuptial agreement properly
California couples who entered into a marriage with a number of assets probably signed a prenuptial agreement to protect their wealth. However, if they do not execute it properly, the judge may find the contract to be invalid which can be a big wake up call for some. In order to ensure the validity, couples should follow these guidelines when working on the agreement.
According to Fox Business, it never hurts to have a prenuptial agreement, but there are certain situations in which this contract is especially important. These include:
- One partner makes more money than the other
- One partner has inherited or saved assets
- If someone is a business owner
- One partner has excessive debt
- This is a second marriage for one or both partners
Because a prenuptial agreement outlines life-changing decisions such as debt and asset division, it is important that couples talk about it often and take the time to agree to the terms. Marriage.com discusses some tips to make sure a judge will honor the agreement. One is to have it in writing, and another is to both sign it.
Both spouses should feel comfortable signing the terms of the contract. If one feels pressure from the other one, there is a good chance the judge will not honor it. One way to avoid pressure is for each partner to use an attorney. This also helps to negotiate terms in a fair manner.
When drawing up a prenup, both partners need to be honest and forthcoming about debts and assets. A judge may not honor it if one spouse lies.