Pre-nup. Post-nup. What's up?

There has been much comment in the press about the status of Pre-Nuptial Agreements. These are agreements which parties sign prior to entering into a marriage or civil partnership to govern what should happen to each party's assets in the event that they split up.

The major case in this area was Radmacher (2010 UK SC42) in which the Supreme Court confirmed that English courts would enforce marital property agreements which had been entered into properly.

An interesting recent High Court case considered the status of a Post-Nuptial Agreement. This is an agreement which the parties signed at the end of the marriage.

A couple who had known each other for many years married. The husband was a wealthy property developer. Unfortunately, the marriage collapsed within two years of the wedding date. The parties could not reconcile and the wife signed a Post-Nuptial Agreement by which she acquired two properties and a car, plus £75,000. This Post-Nuptial Agreement was said to be in full and final settlement of any further claim she may have in relation to her husband's finances. The wife's solicitor advised her not to sign any documentation but she felt that she should sign the document to enable her to "move on".  She did suggest during these negotiations that she was being "intimidated" but signed the Post-Nuptial Agreement in any event. She subsequently challenged the Post-Nuptial Agreement claiming that she had signed it under duress. The High Court held that she had taken appropriate legal advice at the time and the evidence suggested that she fully understood her solicitor's advice not to sign the Agreement. She had also signed a disclaimer to confirm that she was not taking her solicitor's advice in this case.

Accordingly, the wife's application to set aside the Post-Nuptial Agreement and the subsequent Consent Order was rejected.

This decision is an important reminder to take legal advice in relation to both Pre-Nuptial and Post-Nuptial Agreements. When such Agreements are being entered into, it is very important to ensure that you are properly advised and the significance of accepting the advice given by your solicitor in such matters is clearly highlighted in this case

To discuss this or any other matter relating to your matrimonial situation, contact us.