Considering Marriage? Do You Need a Pre-nuptial Agreement?
An upcoming marriage is a thrilling time, leaving you with a million things to plan and prepare for. If you are marrying in Wisconsin, you should understand the laws that will apply to you once you become married, so that you can be prepared from this standpoint as well.
There are only thirteen states in our country that are community property states, and Wisconsin is one of them. In essence, Wisconsin treats your marriage like a legal partnership. This means that the Court starts with the assumption that everything you bring into the marriage, and everything you acquire during the marriage, including equity in a assets you owned prior to the marriage such as a residence, your retirement accounts and other personal property, will be regarded as equally owned by both of you once you marry. The same rule applies to credit cards or other debts which may only be held in one person’s name. Under the law of Wisconsin, you are both entitled to and responsible for equal ownership in these assets and debts. This can be a disadvantage to one or the other party to a marriage depending on their circumstances, such as having been previously married, or owning their own business.
Parties can elect to opt out of the marital property laws of Wisconsin by entering into a pre-nuptial agreement. A pre-nuptial agreement is a contract drafted by an attorney which specifically states that a couple wishes to opt out of the community property laws of Wisconsin. It contains a full disclosure of all the assets and debts each party has, includes the income of each party at the time of the marriage, and lists how certain assets and debts will be divided in the event of a divorce. Further, couples may wish to opt out of the right to collect maintenance, or spousal support from the other party in the event of a divorce, within the pre-nuptial agreement.
An attorney can create a pre-nuptial agreement for each couple which specifically addresses some or all of the issues above. For example, you may wish to specify that your retirement assets will be exempt from equal division in the event of a divorce, or you may want to be able to retain the pre-marital component of that asset, but split any additional equity that is acquired in this asset equally. Couples may also elect to enter into a post-nuptial agreement after marriage.
Your attorney will review with you all of your legal rights and discuss whether a pre-nuptial agreement is the right decision for you and your soon-to-be spouse. With over sixty years of combined experience in the area of family law, we are uniquely qualified to represent you. Click here to contact us to discuss in more detail.
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