Dental Health Blog

A prenuptial agreement is a legal agreement made before marriage by prospective spouses that specifies how assets will be divided in the event of divorce. By signing a prenup, the parties agree on which assets should be considered marital property and which should remain separate. You can consult a lawyer to learn more about asset protection strategies during a divorce in Ottawa. 

You should consider a prenuptial agreement to protect your assets, regardless of how large or small they are. Continue reading to understand how to preserve your assets and achieve financial stability in your marriage. 

Start talking about a prenup early. 

Before you marry, you should discuss a prenuptial agreement. Part of preserving your assets is ensuring that you are both on the same page, thoroughly understanding the terms of the agreement and the rights you are giving up. Pro tip: If you have particular questions regarding your case or how your state laws might interpret any given event, you should consult with a certified attorney in your state. 

Whether you have a large quantity of assets or not, there are a few things that should be addressed and settled on beforehand. A prenup will cover all of the mentioned and maybe more.

• How will assets and debts increase during the marriage? 
• How will premarital assets and debts be managed during the marriage?
• How will inheritance and gifts be handled? 
• Is alimony (spousal support) appropriate for either party? 

Each spouse should have adequate time to read the agreement, ask questions, debate it with their partner, and have a lawyer examine it before signing if they want to employ one. 

Do not sign the paperwork on the day of your wedding. Not only might this result in your agreement being thrown out in some state courts, but it can also be an emotional subject you do not want to have with someone on their wedding day. Most essential, do not sign it if you do not understand it or are rushed. If this is the case, you should see a professional attorney to further understand your rights. 

Structuring a prenup 

The prenuptial agreement should govern not just business actions but also other premarital assets. 

If you agree to treat your company as a distinct property, this can help you avoid sharing the appreciated worth. The same is true for the growth in value of other assets, such as artwork or real estate, that one partner had before the marriage.

Do not neglect debts. In certain areas, debts are considered communal property. Thus, business or education loans may be shared by both spouses.