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MY SPOUSE WANTS AN ANTENUPTIAL CONTRACT, IS THIS A RED FLAG? IS HE/SHE PLANNING FOR A DIVORCE?

PICTURE THIS:

You’ve just gotten engaged and are planning for the happiest day of your life. You’re in love, excited, and preparing to commit to someone forever. If you’re anything like me, though, you’re also a little stressed out, focused on making everything perfect for the big day—picking the dress, the cake, and perfecting your vows. So, naturally, the last thing on your mind is an antenuptial contract. When the topic comes up, it can feel like a disruption to your joy, forcing you to think about potential divorce. You can end up questioning your partner’s commitment, trust, and whether an Antenuptial contract is even necessary. An antenuptial contract is often viewed as “insurance against divorce” or seen as “unromantic”, but it serves a practical purpose beyond protecting against marital breakdown.

WHAT HAPPENS WITHOUT AN ANTENUPTIAL CONTRACT?

If you elect not to enter into an antenuptial contract, you will automatically be married in community of property. This means you and your spouse share one joint estate. All assets and liabilities, including debts, are equally owned and shared, both before and during the marriage. This means, if your partner has significant credit card debt or faces future financial obligations, this will become your debt and your financial obligations. If this thought makes you uneasy, you may want to reconsider an antenuptial contract. Here are some benefits of an antenuptial contract that have nothing to do with Divorce:

  • Protection against creditors: An Antenuptial contract protects one spouse from the debts and financial obligations of the other. This protection is especially important if one partner is in a high-risk business or has outstanding debt.
  • Financial independence: With an Antenuptial contract, each spouse can enter into contracts, make purchases, or sell assets independently without needing the other's consent. This can be crucial in business or in your personal life. If no antenuptial contract is entered into, you would need the written consent of your partner when making certain purchases – imagine that. This can be a huge inconvenience and be practically difficult. This could even make gift-giving difficult.
  • Debt and potential Insolvency: We all know life is hard in this day and age and the economy is crumbling. Should unfortunate financial circumstances hit, and one spouse becomes insolvent, an antenuptial contract ensures that the other spouse’s assets, including sentimental items or inheritances, are protected from being seized by creditors.
  • Death: a marriage does not only get dissolved by Divorce and although it is not nice to think about – death is the other way a marriage is dissolved. Now, if you don’t have an antenuptial contract, you have one joint estate. That estate will be frozen upon the death of a spouse, only accessible after the estate is finalized, which could take months and cause significant financial strain.

IN SUMMARY:

Without an antenuptial contract, you will automatically be married in community of property. But having an ANC doesn’t mean you’re planning for divorce or doubting your partner’s commitment. It’s a smart way to safeguard your financial independence and ensure that both you and your spouse are protected in case of debt, insolvency, or even death.

Let LS Incorporated help take one thing off your plate during this exciting time. While you focus on planning your dream wedding, we’ll focus on protecting your financial future and rights.