A Pre-Nuptial Agreement is a legal agreement made between two individuals before their marriage has taken place.
A Post-Nuptial Agreement is a legal agreement made between individuals who are already married.
These Agreements set out how a couple wishes their assets to be divided between them if they later separate or divorce.
Sometimes these agreements will also detail how couples currently arrange their finances and how they will arrange their finances during the marriage.
Essentially the benefit of Pre and Post-Nuptial Agreements is to provide clarification, certainty and protection to the parties in the event of their future separation or divorce.
Pre and Post-Nuptial Agreements need to be freely entered into with the parties having a full appreciation of the implications of the agreement. The Agreement must be fair, with both parties having had the benefit of separate legal advice and having disclosed to each other all material and financial circumstances.
What is the effect of Pre and Post-Nuptial Agreements?
These Agreements do not automatically oust the future jurisdiction of a divorce Court. This means that the Court is not automatically obliged to uphold its terms. It remains the Court’s task at the time of divorce to consider whether the parties’ financial arrangements are fair. However, these Agreements are very persuasive and the Court will take such agreements heavily into account.