Prenuptial Agreement
A type of contract created by two people before entering into marriage. This contract could outline each party's responsibilities and property rights for the duration of the marriage. More commonly, prenuptial agreements outline terms and conditions associated with dividing up financial assets and responsibilities if the marriage dissolves. Investopedia Says:
Prenuptial agreements have always been a very controversial topic for couples. Media portrayals of prenuptial agreements show them as devices that celebrities and other similar high net worth individuals use in order to cap the amount of wealth that an ex-spouse can claim.
However, when carefully planned and used correctly, a prenuptial agreement can be a fair way of disbursing assets and responsibilities. Related Terms:
Assets
Certified Divorce Financial Analyst - CDFA
Community Property
Financial Asset
High Net Worth Individual - HNWI
Institute For Divorce Financial Analysts - IDFA
Marital Property
Postnuptial Agreement
Uniform Premarital Agreement Act
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