Marriage contracts / Pre-nups – Things You Must Know About!
When one talks about a marriage contract, it usually refers to two things – one is a prenuptial agreement and the second postnuptial agreement. These are the two marriage contracts that people often consider in Canada. A prenuptial agreement is done before marriage there, and a postnuptial agreement occurs after the parties are married.
We are going to discuss here today the benefits of these marriage contracts. There are a lot of things in which these contracts can prove beneficial. Besides giving the couples financial security, these contracts also have a lot of advantages for both the parties, here it is a couple,
Why should you go for marriage contracts?
Here, this section will elaborate on why couples in Canada consider signing up for these marriage contracts.
- Individual asset protection
- Preventing legal battles
- Financial support arrangements
These are the three primary reasons most couples in Canada prefer to sign up for a marriage contract. Let’s give each one of these a thought.
Individual asset protection
You can safeguard all your assets with a marriage contract, including family-owned businesses, real estate, pensions, and properties. Under the Family Law Act, you can sign an agreement on the property distribution through this contract. As per the law, all the properties acquired by the spouse during the marriage are up for division. This is where the marriage contract helps you. The marriage contract provides certainty and peace of mind to know-how property will be dealt with when or if the relationship ends. Marriage contracts in BC often occur to protect family-owned businesses, family assets, & inherited property.
Preventing legal battles
Separation is always challenging and draining. This is why it is always better to be prepared when it comes to a divorce. The divorce proceedings are usually tedious and tiring, and this is where marriage contracts come in handy. Marriage contracts can help prevent this struggle of legal battles.
Financial support arrangements
A marriage contract can provide couples with agreements on financial support should the couple decide to end their marriage. This is one of the smart decisions to keep themselves at peace. This marriage contract includes the alimony terms and conditions, child support terms and conditions, and more. In this contract, you can also add an agreement deciding on the amount to be given as support to the individual.
In the end, we would like to say that there is no harm in signing a marriage contract. In fact, at Sabharwal Law Group, we come across several requests of couples to draft a formal legal marriage contract – both prenuptial and postnuptial. As a team of legal professionals, we always believe in the safety and security of your assets. This is why we will recommend the couples to go with these agreements.