Pre-nup for Peaches?
Peaches Geldof hit the headlines earlier this month with her Las Vegas wedding to rocker Max Drummey. The controversy around the young couple has been heightened by the fact that they had been together for only a month prior to marriage, causing some commentators to speculate that the union could be short lived.
Thomas Guise’s John Llewellyn-James says that the story illustrates the importance of couples considering their legal positions before marriage, and in the case of high net worth individuals, considering a pre-nuptial agreement. Peaches, who works as a columnist and television presenter, is likely to have more assets than the average 19 year old.
Pre-nuptial agreements – popular in America and in other European countries – state how a couple’s assets will be divided in the case of divorce.
John says: “The Law Commission is currently considering proposals to make pre-nups legally binding, so we can expect them to be more widely used in the next couple of years. At present, pre-nuptial agreements can be recognised by the courts for guidance in the UK, providing that certain features are included.
“Both parties must have had independent legal advice, and both must be honest in disclosing their assets at the time of marriage. Neither side must be placed under duress, or the agreement will be invalid, and it must be made more than 21 days before the wedding. If the couple have any children it can affect the agreement, so it is important to have it reviewed if your circumstances change.
“Pre-nuptial agreements can create certainty and trust, as the couple can enter into marriage knowing exactly where they stand if things do not work out. It can also potentially save a great deal of time and money if the worst happens and they do divorce.”
The importance of prenuptial agreements was given a boost last year, after an appeal court judge placed a strong emphasis on a pre-nuptial agreement in the case of Crossely v Crossley, another couple who had married after a whirlwind romance. The judge threw out the wife’s claim on extra millions from her estranged husband’s fortune as they had an agreement in place.
John says that with around 40% of married couples now getting divorced, it is vital to plan for every eventuality. “Ensuring that you’ve discussed how your assets would be split whilst a couple are on good terms is a far healthier basis for the start of a relationship, than worrying about whether you will have to thrash it out in the family courts further down the line.”
If you would like discuss any matter relating to pre-nuptial agreements with John Llewellyn-James contact him on 01905 723131 (Thomas Guise Worcester)