Postnuptial agreements, like prenuptial agreements, are contracts made between the two parties within the context of a marriage and are intended to set out the financial consequences of a future divorce, should your marriage ever break down.
Having such an agreement in place can minimise conflict should your marriage turn sour.
Prenups and postnups are becoming increasingly common because in entering into such agreements couples hope that they can avoid the uncertainty, acrimony and cost that can arise during divorce. It can be perceived as not being romantic or already setting a marriage up for failure, however with a high number of marriages sadly ending in divorce and with an increasing number of couples marrying later in life when they have already accumulated wealth, postnuptial agreements can help to identify how the couple both agree to separate their assets to reduce the risk of conflict if the worst happens.
What is a Postnuptial Agreement
A Postnuptial Agreement sets out how assets should be divided in the event the marriage breaks down. It is effectively a contract signed by the couple during the marriage.
Will a Postnuptial Agreement be effective?
In the event that full disclosure has been given and each party has sought advice from a solicitor Postnuptial Agreements are usually binding.