Details matter for a prenuptial agreement
Dating or engaged couples in California who are wondering if a prenuptial agreement might help them should get the facts about what can make a marital contract most beneficial to them. They should also learn about what might make a prenup invalid so they can avoid this type of pitfall.
As explained by CNBC, a good prenuptial agreement requires both parties to be completely honest and transparent with each other. This means they should both fully disclose not only their assets but also their debts. While this can be difficult, especially if someone has a lot of debt that they may be embarrased about, it is an essential step in the prenup creation process.
In fact, a lack of disclosure up front may actually contribute to a contract being declared invalid down the road, according to Forbes. Another thing that may get in the way of a contract holding up include the appropriate filing procedures not being followed. If one person can be said to have coerced the other into signing an agreement they really did not want to, that may also contribute to the contract being nullified.
A prenuptial agreement should focus on identifying what assets and debts will remain the separate property or responsibility of only one spouse and which assets and debt will be comingled into the marital estate as joint property. It can then outline how any joint assets or debts would be split if a couple eventually separates or divorces. Couples should proceed with care when assessing lifestyle provisions as those may not be appropriate for a prenup.