© 2006 Thomson Delmar Learning. All Right Reserved. CHAPTER 4 PRENUPTIAL AGREEMENTS

© 2006 Thomson Delmar Learning. All Right Reserved. Love and Contracts: An Unlikely Pair Prenuptial agreement/ante nuptial agreement – When it is created – General Requirements Prenuptial Agreements Chapter 4

© 2006 Thomson Delmar Learning. All Right Reserved. Uniform Prenuptial Agreement Act (UPAA) – Five general requirements of (UPAA) ◦ A written agreement ◦ Contractual capacity ◦ Voluntary agreement ◦ Must not be unconscionable ◦ Full disclosure of assets Prenuptial Agreements Chapter 4

© 2006 Thomson Delmar Learning. All Right Reserved. Engaged Couples Combine Marriage and Binding Contracts Define assets Understand the most common prenuptial scenario Seeking Legal Advice Separate attorneys for each party Susan Conducts Prenuptial Agreement Interviews Prenuptial Interview Questions List Prenuptial Agreements Chapter 4

© 2006 Thomson Delmar Learning. All Right Reserved. An Older Couple Plans to Wed Four steps for adult children dealing with a parent’s remarriage – Children need to recognize a parent’s right to happiness – Remember that they have a unique relationship with their parent – Seek professional help – Deal with money issues Prenuptial Agreements Chapter 4

© 2006 Thomson Delmar Learning. All Right Reserved. Susan’s Summary of Bridget and Robert’s Interview A Little Story About Jack and Diane Prenuptial Agreement for Bridget and Robert Prenuptial Agreements Chapter 4

© 2006 Thomson Delmar Learning. All Right Reserved. Look to the Contract Prenuptial agreements should explain parties situation Elements of a contract – Offer – Acceptance – Mental intent to make a contract – Consideration Parole evidence – Rescission Prenuptial Agreements Chapter 4

© 2006 Thomson Delmar Learning. All Right Reserved. What Should be included in a Prenuptial Agreement Best policy is honesty Prenuptial Agreements Chapter 4

© 2006 Thomson Delmar Learning. All Right Reserved. No Two Prenuptial Agreements Alike Payee and payor spouse Key items – Full disclosure of assets – Description of what happens to your premarital property – Decision of who will own the marital property – Specification of the status of gifts, inheritances, and trusts – Clarification of what will happen with assets – Decision as to the amount of support and/or waiver for property – Details of death benefits – Decisions on insurances Prenuptial Agreements Chapter 4

© 2006 Thomson Delmar Learning. All Right Reserved. Just How Specific Should the Prenuptial Agreement Be? Courts Rule When It Concerns Children Courts have the right to nullify a prenuptial agreement when it pertains to child custody and/or child support Prenuptial Agreements Chapter 4

© 2006 Thomson Delmar Learning. All Right Reserved. Helpful Practice Tips Ask clients for a list of goals Allow ample time prior to the wedding for preparation and negotiations Historical Prenuptial Case Posner v. Posner Define – Quash – Vacate – Judicial notice Prenuptial Agreements Chapter 4

© 2006 Thomson Delmar Learning. All Right Reserved. How to Prove the Invalidity of a Prenuptial Agreement Several ways to prove invalidity – Doesn’t follow all of the requirements of the state – Show proof that required contract standards were not met – Fraud committed by one spouse Nanini v. Nanini Prenuptial Agreements Chapter 4

© 2006 Thomson Delmar Learning. All Right Reserved. Constructive Trust Created for Husband Martin v. Farber Understand – Constructive trust – Intestate Deceased Spouse’s Honesty Questioned In re Estate of LeRoy A. Hillegass Prenuptial Agreements Chapter 4

© 2006 Thomson Delmar Learning. All Right Reserved. The Status of Prenuptial Agreements: Where Are They Now? Simeone v. Simeone Reconciliation Agreements Curry v. Curry – Reconciliation agreement – Post-nuptial agreement – Substantial agreement Prenuptial Agreements Chapter 4

© 2006 Thomson Delmar Learning. All Right Reserved. Ethics Alert: Truthfulness questioned Prenuptial Agreements Chapter 4