Prenuptial agreements commonly abbreviated to prenup or prenupt is an agreement entered into prior to marriage between the people intending to marry. It is generally a signed, registered and notarized document .Though such agreements can be of various types, but it mainly includes provisions for division of property and spousal support in the event of divorce. At times it also contains provisions relating to maintenance and custody of children. It also contains provisions relating to how assets will be distributed in the case of divorce or death.
Such agreements are very primitive in nature. It traces back to the thousands of years where it was commonly observed in the royal families of Europe. In countries like Netherlands, this type agreement not only provides for divorce, but also protects property during the marriage, as in case of a bankruptcy. But in the present days such agreement is not just for the rich people. With the increasing rate of matrimonial disputes it is also found in many middle class families.
Prenuptial Agreement though might be a way of putting an end to romance is good financial planning for especially those whose first marriage has ended in divorce. Prenuptial Agreement can help ensure the financial well-being of the marriage as suggested by some legal experts. It aims to cut short exhausting legal battles between spouses when the relationship tends to come to an end.
Conditions when one can think of entering into a Prenuptial Agreement:
One can consider having a prenup if he falls into any of the following categories –
1. If he has assets such as a home, land etc.
2. If he is the owner of a business.
3. If he has received an inheritance.
4. If he has loved ones who need to be taken care of.
5. If he has children from a previous marriage.
6. If his business is increasing to a great extent.
7. If his income is increasing to a great extent.
8. If he is much wealthier than the other.
Benefits of Prenuptial Agreements:
Prenuptial Agreements help in getting easy divorce without going into legal complications. It brings out amicable settlement like a mutual divorce.
Position of Prenuptial Agreements in India:
Though Prenuptial Agreements can be of great help it is not valid in the courts of law in India. It does not possess any legal force in the country.