New Jersey courts generally recognize prenuptial agreements as long as they meet the criteria to be considered valid contracts. This means that each party enters into the deal of sound mind and of their own free will. A prenuptial agreement can generally be used to resolve issues involving both assets and debts. They can also be used to determine what happens if either party dies or becomes incapacitated.
Anyone can create a prenuptial agreement
Traditionally, prenuptial agreements have been used by wealthy or famous couples to protect their interests. However, they may be ideal for anyone who wants to protect a home, car or retirement account from being split in a divorce. It can also help to ensure that you aren’t stuck paying your spouse’s student loans or credit card bills.
A prenuptial agreement can help resolve certain estate planning issues
You can include language in a prenuptial agreement allowing your partner to remain in your home if you pass on. It may also be possible to declare that certain assets such as a car or bank account are separate property even if state law would classify them as joint items. A prenuptial agreement may also stipulate that you retain full control of a business in the event of a divorce.
Negotiating the terms of your divorce may be the best thing that you can do prior to getting married. Doing so may provide clarity as to what your future holds if anything happens to your spouse or to the marriage itself. Furthermore, the process of drafting a prenuptial agreement may help you and your spouse develop communication skills that might help you build a stronger relationship.