For many, prenuptial agreements may seem like only something that celebrities choose to enter into to protect their wealth. However, prenuptial agreements offer concrete benefits to many couples, regardless of their financial status. The following are several reasons why couples opt to take this route:
- Gives you control: With a prenuptial agreement in place, you can rest easy knowing exactly how your assets will be divided should you and your spouse divorce. Without this type of contract, property will be subject to negotiations between you and your spouse’s attorney, or be divided by a court according to state law.
- Avoids arguments: While no one wants to think about divorce when they are about to get married, having a prenuptial agreement gives each spouse realistic expectations about what will be provided in case the relationship dissolves. This can reduce arguments in divorce proceedings because both parties have already agreed to the breakdown of asset ownership.
- Passes down property: If you have children from a previous marriage, a prenuptial agreement can be used to bestow assets to those children in the case of your death. Should you die without this agreement in place, the majority of property could be divided according to Utah State law and will most likely be passed down to your spouse.
- Protects against debts: If one spouse is entering into the marriage with considerable debt, a prenuptial agreement can protect the other partner from being liable for those debts should the marriage end. This can be especially beneficial to spouses of business owners who have taken financial risks for the sake of a company.
Property Division Processes in Utah Divorces
In the state of Utah (as in most other states), all marital property is subject to equitable distribution during divorce proceedings. Marital property is defined as any type of property acquired during the marriage, not including any property acquired by gift or inheritance during that time period.
Common examples of marital property include real estate, bank accounts, pensions, businesses interests and professional licenses, as well as more tangible property like cars, boats and other possessions jointly owned by the couple.
The first step of any property division process in Utah is to classify all property owned by the couple as marital or non-marital property. Once all marital property is itemized and then evaluated for worth, the court will begin the process of making an equitable distribution of that property. During that process, the court will consider factors such as:
- The income of both parties during the marriage and at the time of the separation and divorce filing, as well as the likely future financial situation for each party following the divorce and the tax consequences for each party
- The duration of the marriage, as well as the age and health of both spouses
- The need of either custodial parent to occupy or own their marital residents and other items in the household
- Whether marital property in question is liquid or non-liquid
- Loss of inheritance or pension rights
- Any transfers of property that may have occurred below market value in one party’s anticipation of a divorce, as well as any wasteful dissipation of any of the marital assets by either spouse
Free Initial Consultation with a Prenuptial Lawyer in Utah
It’s not a matter of if, it’s a matter of when. Legal problems come to everyone. Whether it’s your son who gets in a car wreck, your uncle who loses his job and needs to file for bankruptcy, your sister’s brother who’s getting divorced, or a grandparent that passes away without a will -all of us have legal issues and questions that arise. So when you have a law question, call Ascent Law for your free consultation (801) 676-5506. We want to help you.
8833 S. Redwood Road, Suite C
West Jordan, Utah
84088 United States
Telephone: (801) 676-5506