Date published: 20th February 2018

While planning your wedding, amongst the dress choosing and cake designing there may be a slightly less fun task on your to-do list or a task you may not even be considering. However, getting a prenuptial agreement in place can actually be a great opportunity for you and your partner to get on the same page when it comes to planning the rest of your lives together.

Prenuptial agreements can help you avoid financial issues later in life. Our Family Law expert discusses everything you need to know about pre-nups and why you should consider putting one in place before your big day.

1) What is a prenuptial agreement?

A premarital or prenuptial agreement (also known as a pre-nup) is a formal, written agreement between two partners prior to their marriage.

It sets out ownership of all their belongings (including money, assets and property) and explains how it will be divided in the event of the breakdown of their marriage.

2) Are pre-nups legally binding in the UK?

Following precedent set in the 2010 ground-breaking case of Radmacher v. Granatino, prenuptial agreements are now afforded heavy evidential weight within the UK Family Court, unless considered to be unfair.

British courts recognise prenuptial agreements, but the court still has the discretion to waive any pre- or postnuptial agreement, especially if it’s deemed to be unfair to any children of the marriage.

3) Why get a prenuptial agreement?

Money can be an extremely emotive topic in a relationship, especially if you have different attitudes towards spending and saving. A prenuptial agreement provides a clear agreement that can lead to peace of mind for both parties.

You might think about getting a prenuptial agreement for the following reasons:

  • There are assets and/or property that would be hard to split 50/50
  • You or your partner already have assets that you want to protect or ring-fence
  • You and/or your partner may have children from a previous relationship and want to ensure certain assets are reserved for them and protect their inheritance rights (it is also crucial to make a Will for the same reason.)
  • You may want to protect inherited money or assets
  • You want to safeguard substantial savings or expected future inheritance
  • You want some say in how financial issues would be resolved in the event of a marriage breakdown (especially if you’ve suffered unfairness in divorce courts previously)
  • Either party own a business which they’d like to retain control of
  • If your partner has outstanding debt, a prenuptial agreement with a ‘debt clause’ can protect you from being liable for that debt.
4) What should be included in a prenuptial agreement?

Every prenuptial agreement is tailored to a couple’s particular circumstances; however it will usually contain a detailed list of each partner’s assets, and details of how they are to be dealt with in the event of a marriage breakdown.

It may also set out post-divorce financial arrangements for children, particularly in marriages where one or both partners already have children from previous relationships. Courts will pay particular attention to any matters relating to children, and are unlikely to support any terms in the agreement that are deemed to be harmful to the interests of a child.

5) What happens to the assets if a marriage with no pre-nup ends in divorce?

In the UK, the court sees the couple’s respective roles as “economic provider and child carer/homemaker as of equal value to the welfare of the family”.

This means that without a pre-nup, the starting point for the division of property and assets will generally be equality of assets between both parties.

While this is generally the fairest distribution of a couple’s assets, if any of the reasons for getting a pre-nup outlined in (3) above apply to you and your partner, then a 50/50 spilt may feel unjust.

Pre-nup Checklist

There are a number of factors that need to be in place when you enter into a prenuptial agreement.

This is because, when considering if the agreement is fair and should be upheld, the court will look at things such as whether both parties understood it properly and if they had enough time to review it before signing.

We’ve put together a checklist to help your prenuptial agreement have the best chance of being upheld in divorce court:

  • To comply with UK law, the pre-nup must be drawn up by a qualified lawyer
  • Both parties must have – or at least be advised to have - separate lawyers to avoid any claim of conflict of interest
  • Both parties must fully understand the agreement and voluntarily agree to it
  • Both lawyers (if appropriate) must confirm it was entered into freely and knowingly
  • The prenuptial agreement should be signed at least 3- 6 months but no later than 21 days before the marriage
  • All assets and property must be fully disclosed by both parties
 How We Can Help

While prenuptial agreements are now legal and enforceable in the UK, they can still be overwritten or even thrown out of court.

At Jackson Lees, we provide skilled advice on the steps you can take to reduce the possibility of costly arguments over property and other assets if your relationship does not work out. Please click here for a call back or message us your enquiry.