The emotional heartbreak that can come with divorce may end up extending to financial heartbreak. This is especially the case for divorcing couples in New Jersey who have high-value assets. A couple of ways to protect one's assets in the event of the family law proceeding of divorce is through a prenuptial or postnuptial agreement.
One obstacle to developing a prenuptial agreement is that two people who are about to get married may be leery of bringing up this delicate subject. Few people believe that their marriages will fail, and they fear that a prenuptial agreement communicates distrust. However, a prenup is the most secure way to protect ones's assets in case a divorce happens in the future.
Individuals who are already married may decide to put together a post-nuptial agreement, where they agree on how they will divide their assets in the event of a future divorce. Like the prenuptial agreement, in order for a postnuptial agreement to be enforceable, the agreement must be fair. In addition, both spouses must completely understand their agreement, and neither party must have defrauded the other one. Independent legal counsel for each party is also a requirement.
Even if a couple going through the family law proceeding of divorce has not completed a prenup or postnup, they can still try to negotiate or mediate their divorce. This will allow them to avoid further court intrusion and avoid the stresses that come with divorce litigation. If the divorcing parties cannot find common ground, however, a judge will have to determine how their assets will be split in New Jersey.
Source: rollingout.com, "Find out how to protect your assets from a possible bad breakup", Kacie Whaley, Jan. 13, 2016