Prenups Under Texas Law
Good news for Texans – we are one of the states with the lowest divorce rates. However, divorce still happens. To protect yourself, your children and your property, Texas recognizes premarital agreements as well as post marital agreements. As with all contracts, the agreement must be in writing and signed. Fun fact – it does not have to be notarized for Texas to recognize it as a binding agreement.
What is the difference?
A premarital agreement must be signed prior to getting married. A post marital agreement can be signed after getting married. In both documents, it is required that you provide and list all of your and your significant other’s assets and liabilities.
What makes the agreement “invalid”?
If you and/or your significant other fail to include something such as a house in Beverly Hills, a secret bank account with “Vegas trip money”, credit card debt, IRA, 401k, etc., the agreement could be considered invalid due to failure to disclose that information. If you are forced to sign or your significant other was forced to sign the agreement, it will be considered invalid. If the agreement is drafted to state that “97%” of all income goes to you and “3%” goes to your significant other, it could be considered invalid due to an unfair division of the assets. To avoid the agreement becoming invalid, it is strongly encouraged that both parties have the agreement reviewed by an attorney.
Do I need an attorney?
It is not required, but highly recommended. If you find an attorney that is willing to represent both parties – run away as fast as you can! Each person should have their own representation or at least have an attorney review the agreement to make sure it has your wishes conveyed.
Another fun fact – if your significant other requests language or an attorney adds language stating that you will not request child support for any future children, make sure to have that removed. A court should not approve an individual to not receive child support for children born or adopted between you and your significant other.
Do I need a prenup?
It depends. Last fun fact – all money earned during a marriage is considered community property. If you have a sizeable account that you would like to protect, it would be in your best interest to consider a prenup. Any inherited land and money that you earned prior to the marriage is considered separate property. Where it can become a challenge is when you add a signor to that already existing account. It will be your family’s burden to then prove what existed in the account prior to marriage. What if you met in Vegas and you did not realize your significant other is quite the gambler? A prenup would protect you. You do not need to be a celebrity, the President, or even own a house in Austin to “need” a prenup or post marital agreement.
These agreements are a sensitive subject and do take time to draft so that both individuals are happy with the final outcome. It may not be a romantic conversation to have, but it may help your marriage to keep the Texas divorce rate low by protecting your and your significant other. Call us at 512-374-4922 or reach out to [email protected] to speak with one of our attorneys about if a prenup is a good choice for you and your partner.