Pre-Nuptial
Agreements
Pre-nuptial
agreements are agreements entered into by a couple prior to a marriage (or in
the case of civil partnership, a pre-civil partnership agreement) seeking to
regulate their financial liabilities and responsibilities towards each other in
the event of a divorce/dissolution.
Under
English law pre-nuptial agreements are not formally binding between the parties
and are not enforceable. They cannot oust the jurisdiction of the Court or the
Child Support Agency (CSA). They have, however, carried significant evidential
weight in subsequent divorce proceedings or proceedings for dissolution. They
have been taken into account by the court in exercising its discretion under
the Matrimonial Causes Act 1973
(MCA 1973), s 25 (and
would similarly be a factor for the court in the corresponding provisions set
out in the Civil Partnership Act 2004
(CPA 2004)) either as
part of the conduct of the parties or as a consideration in all the
circumstances of the case. The Supreme Court has recently reviewed the
enforceability of pre-nuptial agreements and indicated that in future, in
appropriate cases, due weight should be given to any contract freely entered
into by the parties, in the exercise of the judge's discretion subject to the
agreement being 'fair'.
Questions
for the court to address, include whether:-
· the parties were properly
advised as to its terms;
· contractual formalities were
observed;
· there was full disclosure.
Consideration
will be given to whether the original agreement made was fair and if an Order
were made in its terms, whether it would result in a fair outcome.
Many of
the reported cases on pre-nuptial agreements have been concerned with
consideration of agreements entered into by parties in a foreign jurisdiction
and which court should have jurisdiction.
Post Nuptial Agreements
These
are agreements entered into after marriage or civil partnership. Similar
considerations will apply to the making of post-nuptial agreements as apply to
pre-nuptial agreements.
Pre and Post Nuptial
Agreements are a complex and changing area of the law and therefore if you are
intending to enter into either agreement you should contact us to take advice
on whether your proposals are fair and reasonable (in light of the
circumstances at the time) to place you in the best possible position to later
be able to rely on the contents of the agreement.