You may think that prenups are just for the rich or famous, but this isn’t the case at all. With the wedding and civil partnership season just ahead of us, now is a great time to find out more.
If you Google the terms ‘prenups’ or ‘prenuptial agreements’, you’ll probably get a long list of articles about whether they work and whether they’re unromantic.
In our view, the algorithms have done well here, taking you straight to the heart of the key questions around prenups. However, since many of the articles in Google’s list won’t be based on Scottish law and Scottish lives, you should be wary about trusting the answers they give. Below we give the Scottish picture.
What is a prenuptial agreement or prenup?
Prenups set out how couples’ assets would be divided if they split up. They’re increasingly popular in Scotland where people have built up assets before marriage or where they want to protect assets for children from a previous relationship.
Do they work?
Unlike in England and Wales, prenups are generally treated as legally binding in Scottish law if both parties understood the terms of the agreement and it was fair and reasonable.
Are they unromantic?
Possibly, but romance and emotion often get in the way of good decision-making, as we all know. The better question to ask is: are they good idea? Certainly, they bring transparency and clarity about what will happen if the relationship doesn’t last, and this is usually easier to resolve when the relationship is thriving than when things turn sour.
Prenups can also bring peace of mind to other family members if they’re worried about a new partner claiming someone’s assets.
Who are they good for?
Anyone who wants to ringfence any assets they bring to the marriage or protect them for other family members.
What if you don’t have one?
It’s also possible to make a postnuptial agreement. It’s similar to a prenup but is made after a wedding or civil partnership. Reasons for making one could include receiving a windfall or restructuring your business, or simply not having a prenup in place.
