Love it or hate it, Valentine’s Day is just around the corner. The shops are filled with red and pink hearts, giant teddy bear chocolates and of course sparkly engagement rings. One of the most romantic days of the year, around 10% of marriage proposals happen on Valentine’s Day.
Whether you are the one doing the proposing or the one being proposed to, it is worth considering a pre-nuptial agreement. I know, I know, it is hardly the most romantic. However, it is a worthwhile consideration, particularly if you have assets that you wish to protect.
Having an open and honest conversation about finances at an early stage in a relationship means that you can enjoy your honeymoon days worry free!
Pre-nuptial agreements – not just for the rich and famous
A pre-nuptial agreement, in its simplest form, is a way to ring fence and protect assets prior to getting married or entering into a civil partnership. Often thought of as something for the rich and famous, pre-nuptial agreements are often advisable for individuals of more modest means.
For example, if you own a business, or property a pre-nuptial might be appropriate. Equally, you might have savings or investments that you would like to protect. If you have children from a previous relationship a prenuptial agreement is highly advisable.
Often, pre-nuptial agreements are sensible for older couples or those entering into second marriages or civil partnerships who have had more time to accumulate assets.
Fair and reasonable
There is often a misconception about pre-nuptials being recognised. In Scotland, pre-nuptial agreements are generally accepted as legally binding and therefore enforceable by the court. If a person freely and willingly enters into a contract then they are legally bound by it. An important, additional consideration for a pre-nuptial agreement is that it must be fair and reasonable at the time it is entered into.
Early legal advice is key in relation to pre-nuptials. A pre-nuptial agreement produced the night before the wedding is likely not only to result in some upset (and wasted wedding cake!) but could be open to challenge at a later date.
If you are considering getting a pre-nuptial agreement or would like some more information about your options then please contact us.