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What to not forget when one is drafting a prenup

There is nothing less romantic than talking about the possibility of a California divorce when a couple is planning a wedding. While it is an uncomfortable conversation, it is an important factor to consider. Not only is the divorce rate near fifty percent, many divorcing spouses wish they had the ability to protect their assets. Because of this, many couples consider premarital agreements (prenup) as a form of security.

Even when couples are on board with the idea, this does not always mean that they go about the process the right way. While major issues are likely addressed, it is likely that some minor, but equally important issues, are forgotten.

A reason for including a prenup is to ensure that separate property remains separate. This means that anything obtained prior to marriage remains separate property, which also includes an engagement ring. Thus, it is important to include this in the agreement. Having it appraised, prior to naming it in the agreement, is also imperative.

Those owning a business need to take additional steps to protect it. Listing it as separate property could help protect a business from being harmed by dissolution. And, just like assets, it is important to address debts. If a couple does not want to assume the other's debt, listing them as separate can protect a spouse from facing that unfortunate fate.

While most couples address their current assets and debts in their prenup, it is possible to cover future gifts and assets that could be treated like marital property, but could also be characterized as separate property. Couples could indicate how they want these to be treated. Finally, because it is common to have pets, it is possible to include furry friends in a prenuptial agreement.

Whether one is prepared, drafting a prenuptial agreement is not easy. It causes one to consider tough scenarios. However, it also forces couples to be open and honest. No matter where one is in the process, it is important to understand what rights they are afforded and how best to proceed through it.

Source:, "The 6 Things You're Forgetting to Include in Your Prenup," Jamie Mackey, July 29, 2017

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