Providing Divorce Mediation Services Throughout California
Providing Divorce Mediation Services Throughout California
Are you planning a spring or summer wedding? You might have had a fleeting thought that you should have a premarital agreement before you marry. Premarital agreements, also referred to as prenups or prenuptial agreement, define a couple’s financial and fiduciary responsibilities to one another, the ownership of assets and debts, and the management of income and expenses. The agreements are entered prior to marriage with the intention to circumvent California law in the situation of a divorce or death in regards to property and debt.
In a premarital agreement or prenup, you are able to contract out of California’s community property laws. These laws apply whether you are in Santa Clara County or Los Angeles County, or in any Californian city: San Jose, Campbell, Los Gatos, Milpitas, Sunnyvale, and the like.
In California, a party’s assets owned prior to marriage, or received by inheritance, gift or devise, is the party’s separate property. In other words, he owns 100% of the property. All other property falls under the catchall as community property (belonging equally to the married couple). However, it can get tricky.
Many assets have both community and separate property qualities, known as “mixed character.” For example, Paul purchases a home prior to marriage. He keeps the title in his name throughout the marriage, but pays down the principal with income from his salary (community property). The community (i.e. the couple) now has an interest in Paul’s separate property home. In addition, if Jessica, Paul’s wife, spends time improving the property with her time (a community property asset), the community would be entitled a reimbursement for her efforts.
A premarital agreement or prenup can prevent this. In a premarital agreement, a couple may contract that all income earned during marriage is the separate property of the person that earns it. They might also agree that any person’s efforts, time or skill used to improve the other’s separate property is a gift to that person.
Here are some other agreements a couple might make:
Here are a few reasons why a couple may consider a premarital agreement or prenup:
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Families First Mediation is a pioneer in the field of divorce mediation. Our entire divorce mediation team takes great pride in being active trainers, divorce mediators and teachers of mediation in the greater California area. If you are considering a collaborative divorce, legal seperation or looking for a san jose divorce lawyer we have services that may be beneficial to you. Take advantage of our vast expertise and background in the field of divorce mediation and our genuine desire to help with your divorce mediation services.
