A premarital agreement or "prenup" is a legal contract between a couple prior to marriage. The terms of this contract become effective when they marry is known as a prenuptial agreement. If you are planning use a prenuptial agreement without any immediate plans to get married, you should consult a prenuptial attorney to help you create this agreement. A typical prenuptial agreement defines the couple's agreement regarding the property rights of each spouse. These predetermined provisions will come into effect upon dissolution of the marriage due to death or divorce.
By entering in to premarital agreement, the couples can derive certain advantages. The benefits derived by the parties to a prenuptial contract from the agreement consist of protective cover to individually owned property, support for estate planning, definition of what could be termed as community property and setting up procedures to decide future matters.
All prenuptial agreements, however, must meet certain norms and requirements in order to make sure the other family members or state does not breach them. Following are some of the essential requirements of a premarital agreement…
• Premarital agreements can be used to define and freeze property rights, financial rights and obligations of each spouse. These rights prevail both during and after marriage.
• Prenuptial agreement should be congruent with the State laws governing the requirements, validity, and enforcement. The Uniform Premarital Agreement Act (UPAA) governs the structure and content of premarital agreements in certain states.
• The agreement must be in black and white signed by both the parties who intend to marry freely and voluntarily without exercise of coercion of any type.
• An entire disclosure of all income, assets, debts, and liabilities of each spouse must be unambiguously documented in the agreement.
Chicago Family Law Attorney must be consulted to make sure that the agreement is fully enforceable in a court of law and will be treated as a contract.