Prenuptial Agreements - The Basics

Please note that this article does not provide legalcannot in general be signed away. Agreements are
advice. It is for information purposes only. Beforeespecially common when there are assets set aside
putting together a prenuptial agreement, consult anfor the children of previous marriages.
attorney.Prenuptial agreements cannot cover everything. In
This article discusses the basic of prenuptialfact, it is impossible in a prenuptial agreement to
agreements, including what they can and cannot do,make any commitments to or not to take care of
as well as what the usual purposes of theseany minor children that are the result of the marriage.
agreements are. "Prenups" are not simply cynical plansFor example, a prenuptial agreement that stated, "I
to cheat a future spouse. Everyone hopes thatagree to give up custody of the children in case of
marriages will last for the rest of the couple's naturaldivorce," would simply not be valid (and it might even
lives. However, everyone knows that they do notinvalidate the entire agreement. There are some
always end that way. They help couples protectrights that cannot be signed away, and one of these
assets in case the marriage ends.is the right to custody of a child.
Prenuptial agreements are signed for the purpose ofAnother important part of any prenuptial agreement
deciding what will happen to assets that each of theis what is called "disclosure". Before entering into an
husband and wife have in the event of theagreement, both parties must fully disclose the
dissolution of the marriage. Note that this dissolutionextent of their present assets. If they do not, it
can include death as well as divorce, as someone cancould potentially invalidate the entire contract. For
agree not to make claims on certain property, evenexample, if someone hides that he has thirty million
in the event of death. They can even be effectivedollars in a bank account and pretends to be a
when there is no divorce.pauper, then signs a contract saying, "No past assets
In general, prenuptial agreements apply only toshall be distributed in case of divorce," it would likely
assets that people have when they enter into theinvalidate the entire contract. People simply can't sign
marriage, not the assets that they make after theaway rights to property that they don't know exist.
marriage. Rights to assets made during the marriage