Second marriages and pre-nups

When I started in practice (a few moons ago), pre-nups were rarely discussed. They were regarded as against public policy as they were deemed as not promoting the institution of marriage. Whatever happened to free will? Thankfully, the law is catching up with real life. 

People are now marrying for the second or third time. This has resulted in a change in the way that the public view the value and the need for a pre-nuptial agreement.

Case example

I recently acted for a wonderful man. He had been married once before and had found the divorce and financial process costly not only from a financial perspective but also from an emotional and psychological one. It was resolved via the court which had resulted in lots of animosity. His children were young. He retained his business which had very little value and his wife retained the home for her and the children.

Moving forward 20 years and the business was now extremely successful and valuable. He had worked hard to get the business to such a strong financial position. He had a number of significant assets including property, cars, art and watches. He was in a long-term relationship. Quite understandably he did not want to end up in another court battle but would like to marry again. 

What should he do?

He was advised to have a pre-nuptial agreement. 

Pre-nups are becoming increasingly popular and there is a lot to think about when considering a pre-nup. Particularly if you are preparing for a second marriage and wish for your children from your first marriage to benefit from any future inheritance. 

In this case, the gentleman was aged 54, and the lady he was marrying was 49. She had two properties of her own and had also received a significant cash inheritance. She had two sons and he had three children. 

Each wanted to ring fence and protect their premarital assets for their children. This was effectively their inheritance. A pre-nuptial agreement gave them both this protection.

Talking about pre-nups

The discussions surrounding financial agreements can be tricky but much easier when a relationship is good than turned bad.

I believe that the discussions made the couple stronger and ready for their marriage. It was stronger for the discussions that they had and gave them assurance that they had protected their children.

Without such an agreement, the starting point would have been an equal division of all assets. This would not have been fair and would have resulted in a loss to the children of the first marriages in terms of inheritance. Neither wanted this to happen and the agreement gave them what they sought.

Divorce and Family team

We listen to the needs of our clients and treat each client as an individual. This ensures we are able to tailor our advice and help guide you through the legal process. 

Francesca Cozens is based in our Chelmsford office, and available for a free 15 minute chat over the phone on 01245 453843. Or you can email her on francesca.cozens@birkettlong.co.uk