Prenuptial Agreement Form

A prenuptial agreement is a legal contract signed by both parties prior to their marriage that specifies each party's assets, rights, debts and property before the marriage. The prenuptial agreement contract also details how all assets are divided in case of a divorce.

When to Get a Prenuptial Agreement in Canada?

For maximum legal protection, it is strongly recommended to obtain a prenuptial agreement as soon as possible. The reason behind this is that a prenuptial contract signed close to the marriage date would raise questions if one party coerced the other. Having a prenup done early would erase any doubts about coercion or any claims that any party did not have ample time to review and understand what they signed. Simply put, it eliminated any future attempt to challenge the validity of the prenup contract based on coercion or the lack of understanding of what was signed.

Including a sunset clause in the contract adds a positive element to proposing the prenuptial contract to the other party. A sunset clause specifies a time frame after which the prenuptial contract expires. The most commonly chosen timeframe is ten years.

Five Reasons Why It Is a Must to Get a Prenuptial Agreement

1. Nationwide in the United States the rate of divorce is fifty percent meaning the half of all marriages end in divorce. Everyone thinks their marriage is different and unique but the truth is no one can anticipate problems that can arise years down the road. Erring on the side of caution with a prenuptial agreement is the best way to protect your financial future.

2. You have way more money than your partner. The rich party stands to lose more in a divorce. A prenuptial contract in such case serves two purposes. The first being protecting your finances in a divorce situation and the second being ensuring that your partner is marrying you for you and not for your money.

3. You earn way more than your partner. Over the years this difference in earnings can accumulate to thousands, tens of thousands or hundreds of thousands of dollars. A prenup will protect you.

4. Your partner is in debt. Without a prenuptial agreement you will become responsible for your partner's debts in case of a breakdown in the marriage. This could be disastrous if your partner owes a lot of money.

5. You are remarrying and have children from the previous marriage. In such a scenario, you would want to ensure your children are protected. If the marriage terminates.