Prenuptial Agreements

Premarital agreements (also called prenuptial agreements or "prenups") are a

common legal step taken before marriage. A prenup establishes the property and
financial rights of each spouse in the event of a divorce. So while no one is
thinking about a divorce when they get married, about one half of all marriages
in America end up in divorce proceedings. So it's often prudent to at least
consider a prenuptial agreement. Prenups are often used to protect the assets of
wealthy spouses but also can protect family businesses and serve other
important functions. Learn about your state's legal requirements for a prenuptial
agreement and whether it's right for you. Show Less
Why Use a Prenuptial Agreement?
There are several reasons why one party (or even both parties) may want to sign
a valid prenuptial agreement prior to getting married. Generally, prenups protect
assets that may otherwise be subject to marital property laws. Specifically, these
documents may be used to:

Protect one party from taking on the debts of the other

Protect specified assets of one party

Determine the manner in which property is passed on after death

Simplify property division in the event of divorce

Clarify financial responsibilities of the parties

The Pros and Cons of Prenuptial Agreements

Entering into a prenuptial agreement should never be taken lightly, particularly
since the very mention of a prenup suggests the possibility that the marriage
may end at some point. Discussion of a prenuptial agreement also can create
stress in a relationship. Therefore, deciding whether to implement certain
financial conditions and designations of separate property while also planning
nuptials is a personal decision. It helps to understand the pros and cons of
signing such an agreement.
Pros

Support your estate plan without future court involvement

Make certain financial agreements with your spouse official

Protect the family business and its assets

Fewer property conflicts during a divorce

Avoid shared debt liability

Cons

Can create distrust and dull the relationship

Certain elements of the prenup may already be addressed by state law

Cannot address child support or child custody issues in a prenup

A judge may rule parts of the prenup unenforceable, depending on the

relevant facts in the case

Non-monetary matters, such as chores and tasks, cannot be addressed in

a prenup

What Makes a Prenuptial Agreement Invalid?

A prenuptial agreement may be considered invalid under a number of different
conditions and scenarios. First of all, a prenup must be written and signed by
both parties and properly executed. Beyond that, a prenup that was signed
under duress or not even read prior to signing (as part of a package of
documents requesting signatures, for instance), then it may not be considered
valid. Other reasons a state may not recognize a prenuptial agreement include
lack of independent counsel (for each spouse), false information, and
unconscionability.
- See more at: http://family.findlaw.com/marriage/prenuptialagreements.html#sthash.7xCD2vTC.dpuf