Postnuptial Agreements are legal instruments used to clarify understandings between parties after marriage.
Married individuals who didn’t have a premarital agreement may recognize a need for one after they are married. It’s never too late to enter into an agreement, a post-nuptial agreement, to determine property rights or alimony or, unexpected death, inheritance or acquisition of family business interests. We like to call such agreements “midnuptial agreements.”
A postnuptial agreement addresses issues that might not have existed at the time of the marriage. For example, a spouse that stands to gain an ownership interest in a business or inherit a large amount of money from his or her parents during the marriage may enter into a post-nuptial or mid-nuptial agreement to ensure that the business or inheritance remains in the family. Oftentimes, the parents of the spouse that stands to receive the ownership interest in a family business will condition the transfer of ownership on the signing of a post-nuptial agreement to ensure that the other spouse is not able to gain access to the business in the event of a divorce.
