Relationship Planning

Any committed relationship can be full of emotional, financial and legal issues. Preparing a domestic partnership agreement, prenuptial (or ante nuptial) agreement, post-nuptial agreement or a tenancy in common agreement for real property, can be a way to minimize or avoid the legal and financial fallout from the breakdown of such a relationship.

The domestic partnership agreement, prenuptial (or ante nuptial) agreement, post-nuptial agreement or a tenancy in common agreement can be used for a variety of purposes. They are often used to protect the assets (and the earning stream from assets) acquired by individuals prior to their marriage or cohabitation. They can be used to establish the relative financial rights of the parties in real property that they may acquire together. Pension and IRA rights can be dealt with as part of these Agreements. A listing of each party’s separate property and debts is almost always included as part of these Agreements. Often, the parties want ask for a discussion of their financial and day-to-day obligations and responsibilities in the relationship or marriage. The Agreements also provide for the allocation of the couple’s assets upon the dissolution of the marriage or relationship. In some cases, the Agreement may provide for a waiver of alimony or marital support or may provide for a lump-sum or structured payment, upon the dissolution of the marriage or relationship. The Agreements also provide for the disposition of assets at the death of one of the parties. However, a valid will or trust created after the Agreement, will always take precedence over the Agreement, to the extent that it is more favorable than the Agreement.

Each Agreement is tailored to the client’s needs. Because entering into any of these Agreements is similar to negotiating a contract, both parties should always have their own attorneys. However, developing these Agreements does not have to be unpleasant or confrontational and can often serve as positive experience that allows a committed couple to understand how their financial and day-to-day partnership will operate in the years to come.