The Benefits of an Illinois Prenuptial Agreement

 Posted on September 08, 2014 in Distribution of Assets

Your wedding day is quickly approaching, but you are wondering if you and your fiancée will maintain composure while discussing your mutually agreed upon premarital agreement.

The Uniform Premarital Agreement Act (750 ILCS 10) was enacted in Illinois to provide financial and property protection for those entering marriage. The statute also lays the guidelines of the anticipated union. More often than not, financial protection is the primary reason couples enter into a prenup.

It sounds fairly simple: each individual legally seeks financial protection of real property or financial interests. The prenup is to be drafted in writing and signed by both parties involved. What else do you need to know?

Complexities of a Prior Marriage

If this is your second marriage and children from your prior marriage are involved, deciding to tie the knot without the benefit of a prenup is highly discouraged. Without the agreement in place, in the event one partner passes, all assets are transferred to the surviving spouse and, upon his or her death, the assets are assigned to the remaining step-children rather than a disportionate distribution of assets to all children involved. By drafting a prenup, this can be avoided by stipulating instructions for property or assets to be bequeathed to each spouse’s biological children.

Marital Forecast - Bliss with Possible Chance of Divorce

It is no secret that the success rate of marriage is lacking in the U.S. According to a recent article in Psychology Today, the rate for first marriages ranks at 50 percent with second marriages receiving a disparaging rate of 67 percent. Failure for those testing the waters of a third marriage hit a 73 failure rating. While you are planning your marriage, a prenup also covers the possibility of marital dissolution. A prenup should be drafted by a qualified family law attorney to protect all personal assets and retirement funds without unnecessary litigation

Execution Issues

• Your family law attorney plays a significant role drafting your prenuptial agreement. The court can declare the document null and void if not executed properly. Although state laws differ, ensuring a witness signature is penned, as well as notarizing the agreement, is highly recommended to avoid execution issues. As with all legal contracts, your prenup agreement must be entered into voluntarily. The court may review whether either party was coerced into signing the document.

• The court can deem a prenup null and void if the presiding judge deems it unconscionable under state case law. This refers to illegal or demeaning actions by either party, or may refer to a party trying to circumvent a child support order.

• The prenup can also be deemed null and void if your intended failed to disclose hidden assets, debts or relevant personal information. This action is considered a sign of bad faith, discharging the original prenuptial agreement.

If you and your partner agree to forge a solid prenuptial agreement, it is in your best interest to consult with a family law attorney knowledgeable of Illinois family law to avoid any confusion and future legal issues.