The first few posts in this series discussed when prospective spouses should sign a premarital agreement. Simply stated, a premarital agreement should be signed when both parties want to apply different rules to divide their property and award support after the marriage than the law would otherwise provide. In a…
Previous posts regarding prenuptial agreements have discussed the validity of premarital agreements in very general terms, focusing on the broad concepts of procedural and substantive unfairness. Procedural unfairness creates a very real risk that the agreement might not be enforced. Substantive unfairness is not so important, but it can create…
Previously, we highlighted the risks of asking a future spouse to sign a substantively unfair agreement. These risks are not triggered merely because the terms of the agreement are not exactly equal. Rather, substantive unfairness is present only when the agreement passes some minimum threshold of inequality. So how far…
Our last premarital agreement post discussed the fairness of the procedures used when a premarital agreement was signed. This post will discuss the substantive fairness of the agreement itself. As noted previously, courts give considerably more attention to procedural fairness than to substantive unfairness. As long as fair procedures are…
Previously, we have discussed judicial attitudes toward premarital agreements. In short, premarital agreements are favored by modern law, but only when they were signed using procedures that the court sees as fair. How do the courts define a fair procedure? Three factors are important. First, the parties must sign voluntarily…
Previous posts regarding premarital agreements have discussed what a premarital agreement is, and why an engaged couple might want to sign one. Simply summarized, a premarital agreement is a good idea when both parties want to change the rules of law that would otherwise apply when their marriage terminates upon…
….But was that a smart decision for someone worth $400 million?? A premarital agreement is an agreement that changes the rules that the law normally applies when a marriage ends in divorce or death. Do you need a premarital agreement? You must determine whether you need to change the rules…
A premarital agreement is a contract, signed by two persons who are about to be married. It sets forth rules that will apply when the marriage ends, either in death or divorce. It can also set forth rules to govern how the parties will deal with their property during the…
By Carolyn J. Woodruff, JD, CPA, CVA By now, everyone in North Carolina has probably heard that Sharon and Ozzy Osbourne are most likely divorcing after 33 years of marriage. There has been an upturn in so-called “gray divorces” – where a couple divorces after the age of 50. But,…
The North Carolina Premarital Agreement Act describes the law for the creation of valid, enforceable premarital agreement. The North Carolina Premarital Agreement Act is under North Carolina General Statutes Chapter 52B. This will be one of several articles discussing the North Carolina Premarital Agreement Act. Formalities: Obviously, a premarital agreement…