California postnups: Enforceable agreements made during marriage

May 07, 2013 (Press-News.org) You've likely heard of a prenuptial agreement; many couples choose to execute one of these legal instruments before marriage to lay out financial issues in a logical, thought out manner than can save headache and heartache down the road. But did you know that even after marriage, couples have the option to execute agreements that can share a similar structure to a prenup?

Postnuptial agreements, or "postnups," are allowed for under the California Family Code. Postnups are becoming an increasingly popular way to address some of the same issues typically dealt with in prenups, as well as other practical and financial issues that may arise during a marriage.

Postnups can address issues within the marriage, create divorce settlement terms

There is not a great deal of research on postnuptial agreements, but at least one study indicated that they are becoming a more popular vehicle for making matrimonial bargains. In 2007, the American Academy of Matrimonial Lawyers released a report saying around half of attorneys polled recorded a noticeable increase in the number of clients requesting postnups. Ken Altshuler, president of the American Academy of Matrimonial Lawyers, says that since the study was released, he's gathered his own information informally and noted a continued, steady upswing in the use of postnups among couples of all ages.

So what can a postnup do? Under the California Family Code, "either husband or wife may enter into any transaction with the other, or with any other person, respecting property, which either might if unmarried." However, the California Family Code also makes it clear that husbands and wives share a fiduciary relationship similar to that shared by business partners. A husband and wife owe each other "a duty of the highest good faith and fair dealing."

With those caveats in mind, a postnuptial agreement can cover just about anything. For instance, if one spouse comes into a great deal of money from an inheritance or a career change, the couple may wish to revisit the financial aspects of their marriage. Or, perhaps spouses want to resolve disagreements over household finances, like disputes over how much to save for retirement, with an enforceable system. Some postnuptial agreements even contain lifestyle provisions -- when and how often to take vacations, who does which chores, etc.

Postnups also have an important function for couples who are going to dissolve their marriage, but find that California divorce laws are not acceptable for their situation. For these couples, a postnuptial agreement allows them to structure a customized settlement, dividing property and income on their own terms.

Intrigued by postnuptial agreements? Contact a California family law attorney

Is a postnup right for you? Only an experienced California family law attorney can analyze your unique individual circumstances and make a recommendation. If a postnuptial agreement sounds intriguing, you owe it to yourself to explore what it could do for you. Get in touch with a California family law attorney today to learn more.

Article provided by Law Offices of Korol & Velen
Visit us at www.korolandvelen.com