Q: What is a Marriage Agreement?
A Marriage Agreement is a written agreement between married spouses (or couples contemplating marriage) dealing with the financial arrangements that the couple would follow during the relationship or in the event of a marriage breakdown. Generally speaking, in order to be valid they must be in writing, witnessed and signed. However, there are circumstances in which a Marriage Agreement or parts of it may not be valid.
You need to consult with a lawyer to ensure that your specific situation is properly addressed in a Marriage Agreement.
Q: Do I need a Marriage Agreement?
It is wise that you enter into a Marriage Agreement if you are married or about to get married and if any of the following applies to you:
- There is property that you would like to protect in the event of a marriage breakdown (ie: inheritances, pensions, gifts, assets that you are bringing into the relationship, assets that you acquire during the relationship, business, etc.);
- This is your second marriage and you would like to preserve your assets,
- If you want to preserve your assets for your children when you die,
- You wish to protect yourself as much as possible from any future claim for spousal support in case your marriage fails,
- You want to avoid an expensive and acrimonious separation if your relationship fails,
- You want to set out how finances will be handled during your marriage, or
- You want to have a say as to “who keeps what” if your marriage breaks down.
The reality of today’s world is that one out of two marriages fail. Imagine if the chances of getting into a car accident or of your house burning down were the same? We do not expect tragedies to happen in the future but we prepare for them. Most of us prepare for these by purchasing vehicle, life, house insurance to name a few. Many of us do this because we want to ensure that if we are involved in a car accident we will not have to pay for all the damages, or if our house burns down we are not left on the street, or even worse – living at our mother’s basement! In many ways, most Marriage Agreements are similar to insurance – they are there in the event that you need them and they can save you thousands (and depending on your wealth, millions) of dollars down the road. They can also assist in minimizing the chances that you will get caught up in a nasty court battle with your spouse if your marriage fails. Marriage Agreements need to be prepared carefully by a skilled and knowledgeable family lawyer. A Marriage Agreement that has been prepared incorrectly may only be worth the paper that it has been written on or worse it may not carry out your intentions at all. Let us help you protect yourself.
This answer is for information purposes only and is not legal advice to the public or anyone in particular. Consult with a family lawyer with your particular question or concern.
Q: Do I need an Agreement with my partner if I am not married?
You need a Cohabitation Agreement (an agreement between unmarried or common law spouses) if any of the following applies to you:
- There is property or assets that you would like to protect in the event your relationship breaks down,
- This is your second partner and you would like to preserve your assets,
- If you have children from another relationship and you want your children to inherit your assets when you die,
- You wish to protect yourself as much as possible from any future claim for spousal support in case your relationship fails,
- You want to avoid an expensive and acrimonious separation if your relationship fails,
- You want to lay out how finances will be handled during your relationship, or
- You want to have a say as to “who keeps what” if your relationship ends.
Currently, unmarried or common law spouses do not have the same property rights and obligations as married spouses. This may change in the near future if a new law comes into place. There are circumstances however in which upon a breakdown of the relationship a common law spouse can acquire an interest in the property of the other. Even if only your name is on title of your house for example, it does not necessarily mean that your partner will not have a claim against it if your relationship ends or if you die.
A common law spouse can also in certain circumstances, have a successful claim to receive spousal support.
The reality of today’s world is that many relationships fail. Approximately half of marriages breakdown and it is believed that common law relationships are even more vulnerable to fail. Imagine if the chances of getting into a car accident or of your house burning down were the same? We do not expect tragedies to happen in the future but we prepare for them. Most of us prepare for these by purchasing vehicle, life, and house insurance to name a few. Many of us do this because we want to ensure that if we are involved in a car accident we will not have to pay for all the damages, or if our house burns down we are not left on the street, or even worse – living at our mother’s basement! In many ways, most cohabitation agreements are similar to insurance – they are there in the event that you need them and they can save you thousands (and depending on your wealth, millions) of dollars down the road. They can also assist in minimizing the chances that you will get caught up in a nasty court battle with your partner if your relationship fails. A Cohabitation Agreement needs to be prepared carefully by skilled and knowledgeable family lawyers. If prepared incorrectly you may end up providing your common law partner with more rights over your property/assets than he/she would otherwise be entitled to or the Agreement may not carry out your intentions. Come and see us to learn more about it.
This answer is for information purposes only and is not legal advice to the public or anyone in particular. Consult with a family lawyer with your particular question or concern.
Q: Why can’t I simply prepare my own Marriage or Cohabitation Agreement or use a “Do-it-yourself kit”?
You can prepare your own Marriage or Cohabitation Agreement or use a “Do-it-yourself-Kit” but with the risk that:
- It may not be valid or enforceable,
- It may not say what you want it to say,
- It may not do what you want it to do.
Family law is very complex and there is not a “one size fits all” agreement. Every situation presents its unique characteristics. You need someone to assess your particular situation, advise you on the law, help you sort out what you need in an agreement and what you can realistically achieve. There are experts at our firm that have dedicated their careers to family law and keep current on the state of the law. We tailor and prepare the Agreements that applies to your situation. If you are considering drafting your own agreement most likely this will be your first one. Our dedicated family lawyers have many years of legal training and have represented hundreds of clients undergoing a relationship breakdown. So, should you be drafting your own Marriage or Cohabitation Agreement? Unless you are the type of person that would go to the internet to learn how to perform the removal of your own appendix come and see us.
This answer is for information purposes only and is not legal advice to the public or anyone in particular. Consult with a family lawyer with your particular question or concern.
Q: How much will a Marriage or Cohabitation Agreement cost me?
It depends. Most family lawyers will charge you at an hourly rate for the preparation of Marriage or Cohabitation Agreements. The cost of the preparation of the average Marriage or Cohabitation Agreement usually ranges from $1,500-$2,500. The more prepared you are, the more complete information that you provide to your lawyer in an organized fashion and on a timely manner, the better. In fact, We often tell our clients that they can make a difference in lowering their legal fees quite significantly. Someone who brings a shoe box full of crumpled receipts, bank statements, income tax returns and assessments, dry cleaning invoices, some half eaten by the dog and in a disorganized fashion and requests that we sort out and place in order those documents that would be relevant (don’t think it does not happen!) will pay more than someone who in a similar case brings us a spreadsheet print out properly listing and organizing the information and documents that we have requested.
This answer is for information purposes only and is not legal advice to the public or anyone in particular. Consult with a family lawyer with your particular question or concern.
Q: Will you tell me if I don’t need a Marriage or Cohabitation Agreement?
Some people fear that a lawyer may recommend that they go through the expense of having a Marriage or Cohabitation Agreement that they do not need. If you do not need one when you come to see us we will tell you so. Whether you need one or not will depend entirely on your specific circumstances and concerns.
This answer is for information purposes only and is not legal advice to the public or anyone in particular. Consult with a family lawyer with your particular question or concern.
Q: What is a Separation Agreement?
A Separation Agreement is a private contract between you and your spouse settling any or all issues relating to your relationship breakdown such as: division of property, child or spousal maintenance (support), and parenting arrangements (ie: dealing with questions such as with whom will your child reside? How much time will your child spend with each parent? Who will make decisions regarding your child’s education, health, religion, etc.).
Why can’t my spouse and I simply prepare our own Separation Agreement at home or use a “Do-it-yourself kit”?
You can prepare your own Separation Agreement or use a “Do-it-yourself-Kit” but with the risk that:
- It may not be valid or enforceable,
- It may not say what you want it to say, or
- It may not do what you want it to do.
Family law is very complex and there is not a “one size fits all” Separation Agreement. Every situation presents its unique characteristics. Family law is complex. We can assess your particular situation, advise you on the law, help you sort out what you need in an agreement and what you can realistically achieve. If you are considering drafting your own agreement most likely this will be your first one. Our dedicated family lawyers have many years of legal training and have represented hundreds of clients undergoing a relationship breakdown. Come and see us.
This answer is for information purposes only and is not legal advice to the public or anyone in particular. Consult with a family lawyer with your particular question or concern.
McConnan Bion O’Connor & Peterson offers a full range of legal services for families – consult one of our family lawyers today! Call us at 250-385-1383.
1-888-385-1383