More and more couples are tying the knot fully confident that they have protected their financial and personal interests with a prenuptial agreement. Done right, a prenuptial agreement can separate personal property from marital property should the couple divorce.
A prenuptial agreement, or prenup as it is commonly known, is legally binding. However, not all prenuptial agreements hold as far as the court is concerned. As such, it is important that you educate yourself on what can lead to the invalidation of your prenup.
What makes a prenup valid?
Besides both parties having sound knowledge of what they are getting into when signing the document, a prenuptial agreement must satisfy the following conditions to be valid:
- The prenup must be written – unlike other contracts that can be oral, Texas courts will not accept a verbal prenuptial agreement
- It must be voluntary – no one should be coerced or tricked into signing a prenuptial agreement. For instance, you cannot have your spouse sign a prenup as a surprise on your wedding day. Also, it cannot be conditional.
- Both parties must fully disclose their financial situation (what they own and owe) before signing. The prenup can be invalidated if it is established that either party withheld some information.
- The document must be conscionable. In other words, the prenup must not be unfair and severely disadvantageous to one party.
- Both parties must sign the prenup, and it is best if you do so in the presence of a witness or notary. This helps prevent a party from later claiming that they were coerced or tricked into signing the document.
Where will we live? How many kids shall we have? What pets will we keep? These are just some of the topics engaged couples talk about while prepping for marriage. One more topic you should never overlook is the prenuptial agreement. A prenup can give you peace of mind knowing that your financial interests will be safeguarded should the marriage come to an end.