Maryland Prenuptial Agreement Requirements
Often, when people get married later in life, a major concern is that their new spouse will claim a portion of their pension, retirement accounts, or veteran benefits in a subsequent divorce. Pension assets acquired during the marriage may be shared between the spouses. However, a prenup can waive the right of one of the spouses to the pension of the other spouse, 401 (k) s, and the pensions of the other spouse, so that each of you knows what assets are available to you when you retire. Your prenuptial agreement may also set out your agreement regarding Veterans` survivor benefits and spousal pensions. However, there may be additional steps you may need to take to complete this agreement in the event that a divorce eventually occurs. A prenup is a smart financial planning tool. A marriage is not only a physical, mental and emotional union, but also a financial union. Signing a contract before or after marriage can provide a sense of security that couples need. There are limits to a prenup. Contrary to popular belief, you cannot include everything you want in the contract.
Here`s what can go into the deal: Marriage is a long-term commitment that doesn`t always go far. We`ve all heard the statistics, about 40% of marriage ends in divorce. Marriage contracts deal with this real possibility of divorce by creating a future financial basis for a new beginning. Here`s what you need to know about these agreements: Maryland attorneys can only represent one party in forming a contract, and they have a legal and ethical obligation to do what`s best for their client. If your spouse has worked with a lawyer to prepare a prenuptial agreement, there may be parts of the document that work in favor of your spouse that you have not considered, planned, or even fully understood. You should never assume that the terms of a draft (unsigned document) are necessary or non-negotiable terms. A draft marriage contract is a great place to start negotiations. However, the final version of a marriage contract must reflect the interests of both parties, which means that it receives independent advice, review and consideration for each person.
Maryland is one of the few states that does not follow the Uniform Prenuptial Agreements Act. Instead, the state treats a prenup like any other treaty. That is, to be valid, a marriage contract must read as follows: To find out how a marriage contract can secure your future, contact us today. For over 40 years, we`ve been helping people like you in the D.C metropolitan area, including Rockville, Greenbelt, Silver Spring, Annapolis and surrounding cities. Leaving it to the parties involved to decide how a divorce or separation goes is the biggest advantage of a marriage contract. State laws and judges don`t have a say in your future, you do. Six other advantages of prenups are: For example, a handful of states treat prenusential agreements as commercial contracts without much sympathy for bad business. Maryland treats prenups like other treats, but with increased recognition, they are special contracts between people in confidential relationships. For a prenup or postnup to be valid, both parties must disclose their assets and liabilities in a complete and fair manner. Hiding assets or not honestly disclosing your debts can be a reason for the other party to invalidate the agreement in case of subsequent problems. A prenuptial agreement can address a wide range of issues that arise during the divorce process, including financial obligations at the time of marriage and even in the future.
Some of the topics covered may be: Remember that coercion and coercion can void a marriage contract. The best strategy to ensure that your prenuptial agreement holds up in court includes: When drafting a prenuptial agreement, keep in mind that the document is not just about you and your spouse. Many people use them to protect their children, personal property, etc. If you are in a second or third marriage, you should think seriously later in life about how the agreement may affect your adult children and other heirs. It is important to note that a marriage contract in Maryland cannot determine child custody or child support issues. Family allowances are a right that parents cannot negotiate before divorce, and the court will make the final decision in all interview matters. A couple also cannot divorce in the marriage contract. If a written promise of marriage is included, it will not be enforced by the court unless the woman is pregnant. If you have children from a previous relationship, you may want to work with a family law lawyer to create a prenuptial agreement that ensures those children receive your property after your death. A marriage contract, as well as a carefully crafted will or estate plan, can determine “non-marital property” that belongs exclusively to you.
If you die before your spouse, these documents may override state inheritance laws that would give these assets to your surviving spouse to ensure that your children do not have to rely on the goodwill of their in-laws to preserve their inheritance. Couples must hire separate lawyers to represent their interests, and lawyers must come from separate civil law firms. Many marriage contracts were declared invalid during the divorce proceedings because one of the spouses did not have separate legal representation during the contractual marriage proceedings. Now that we`ve said that strict rules should be bilateral, it`s important to suggest that you do NOT make strict rules. Remember that time can make a difference. Who you are today could change in 10 or 20 years. Never create a document that eliminates your basic legal rights. Marriage contracts should not be used as swords; Rather, they should be useful documents to ensure the protection of both parties.
Although laws vary from state to state, there are some general rules for marriage contracts. The law generally allows couples to keep their finances separate and protect each other from debt. Couples may retain property such as family inheritances or business interests in their specific family. It also defines who gets what in the event of divorce or death of one of the parties. The 21st century brings a modern view of marriage and divorce to America. Once auctioned, prenups get rid of their stigma. According to the American Academy of Matrimonial Lawyers, prenups increased by 62% between 2013 and 2016. Shows a tendency for millennials to ask questions about these deals.
The court said prenuptial agreements are contracts, but because they involve a confidential relationship, they cannot be “exaggerated.” The excessive regression concerns the “injustice” in the circumstances of the signature (the “procedural point”) and following the agreement (the “substantive point”). Requests for coercion or coercion often involve a prenup that was presented to a fiancé at the last minute in the form of a complete document or that did not contain any financial information. As mentioned earlier, a marriage contract also cannot involve negotiations for custody or child support – especially for children who have not yet been born. If your prenuptial agreement contains these terms, the court will likely ignore this part of the contract as long as the ownership provisions remain in place. A marriage contract in Maryland cannot establish child custody terms or support payments related to the parties` current or future children. However, family planning is still a motivating factor for many couples who wonder if they want to get a prenup. If you and your fiancé plan to have children together, you may want to work with a lawyer to prepare a prenuptial agreement that defines who will be the person who will care for the children and who expects this interruption in their career path to affect the housewife`s spouse in the event of divorce. The court said the circumstances of the signing were procedurally fair – which she signed “freely and comprehensively” – because the agreement revealed almost all the assets and although the securities were not disclosed, she would have known they were “substantial”.
Some requirements may render a prenup inapplicable. As a general rule, the contract must be fair. Therefore, the parties cannot use the agreement to restrict custody, child support or visitation rights. The contract cannot promote divorce, e.B. give a party a financial incentive in the event of separation or divorce. At the law firm of Shelly M. Ingram, our family law lawyers want to help you take the stress out of your marriage and engagement when planning a life together. We can help you negotiate a prenuptial agreement based on full disclosure of the spouse`s assets and debts, which is fair and anticipates many of the unexpected changes in life. We treat prenuptial agreements as a tool to build better relationships now, as well as an opportunity to protect the interests of our clients and those of their children now and in the future. If you are getting married or have received a draft marriage contract from your fiancé, contact us today to arrange a consultation with a lawyer.
Other provisions of the UPMAA are consistent with the law in maryland and most other states. The agreement must not be the result of coercion, must not be unscrupulous, and the parties must either make a financial disclosure or expressly waive disclosure. Most people assume that the only people who need a marriage contract are the beneficiaries of trust funds and the very rich. However, there are many family situations where it may be important to negotiate asset sharing in advance to protect the interests of everyone involved. .