6 Common Prenup Mistakes That Can Cost You

When you’re about to say “I do,” the last thing you want on your mind is a prenuptial agreement. It’s like you’re planning an exit strategy before exchanging vows. Now, I know these conversations are not even remotely romantic. Some partners might even get offended when it’s brought up – but here’s the thing: prenups are smart.

They lay down the financial ground rules, protecting both parties in case things don’t go as planned. However, simply having a prenup isn’t enough. It must be drafted correctly. Otherwise, you could find yourself stuck in a courtroom battle, unraveling what you thought was ironclad.

Let’s dive into some of the most common mistakes I’ve seen in a Philadelphia prenuptial agreement—and how to avoid these costly pitfalls.

1. Incomplete Asset Disclosure

One of the most damaging mistakes you can make when drafting your agreement is failing to share all your assets. Whether intentional or accidental, omitting these details can undermine your prenup.

Under Pennsylvania law, both parties must be completely transparent about their financial situations. That means revealing all assets, liabilities, income, and expenses. If it is discovered later that one party hid assets, the court may consider the prenup fraudulent and throw it out.

How to Ensure Full Disclosure

• Before drafting the prenup, conduct a comprehensive review of all your financials, including bank accounts, retirement funds, real estate holdings, and business interests.
• Assess less obvious assets like intellectual property and collectibles.
• Working with a seasoned family law attorneycan be particularly helpful. They can make sure no stone unturned.

2. Using Ambiguous or Vague Language

When it comes to legal documents such as Philadelphia prenuptial agreements, terms and conditions need to be crystal clear. If there is any ambiguity, you leave the door open for future disputes. For example, subjective wording such as “reasonable spousal support” or “fair asset division” can be interpreted in many ways.

What one party considers “reasonable” or “fair” may not be to the other, and contest they will. In most cases, such ambiguity gets in when parties draft the agreement themselves or rely on generic templates.

How to Ensure Clarity

• Be specific about each party’s rights and obligations by giving detailed descriptions.
• Use exact figures or percentages for financial arrangements or property division.
• Draft and review each clause to be certain there is no space for misinterpretation and that the terms are enforceable.

3. Waiting Until the Last Minute to Draft the Prenup

Given the importance of a prenuptial agreement, the last thing you want to do is present it to the other party just days before the wedding. This is not just a matter of etiquette. It can be seen as a pressure tactic and raise concerns of being signed under duress.

Family courts take this very seriously and will be highly skeptical if they see the other party was not given adequate time for consideration. Moreover, a rushed agreement is more likely to contain errors that might not stand up to legal scrutiny if challenged in court.

How to Prepare in Time

• Start the prenup process early, at least several months before the wedding date.
• Allow ample time for both parties to review, negotiate, and make any necessary adjustments.
• Set deadlines for each stage of the prenup process to keep everything on track.

4. Not Having Separate Legal Representation

One of the most overlooked prenup mistakes is not having a separate family law attorney handling your side of the agreement. Now, this may sound counterintuitive as there is no conflict to settle. However, legally, both parties must have independent legal representation when drafting prenups.

Without independent counsel, there’s a risk that one party’s interests are not protected or they were pressured into signing unfavorable terms. The court will scrutinize such a prenup more closely, potentially invalidating it if it appears unfair or if one party does not fully understand the terms.

How to Avoid This Mistake

• Seek attorneys who specialize in family law and have experience with prenuptial agreements.
• Ensure the family lawyer you choose has not previously represented the other party.
• Discuss all concerns with your attorney, not just with your partner, to ensure everything is on the record.

5. Overreaching with Unenforceable Terms

Some couples mistakenly believe that prenups are complete guidelines for marriage. So, they try to include terms not legally enforceable in Pennsylvania, such as those related to day-to-day matters, household chores, or the religious upbringing of future children.

This is a major overreach. A Philadelphia prenuptial agreement is strictly limited to finances, such as the division of property, spousal support, and asset management. Anything else is not legally binding in the context of a prenup. Trying to sneak such non-financial issues into the agreement will invalidate your entire document.

How To Draft a Proper Prenup

• Stick to money matters, i.e., individual assets, debts, and spousal support.
• Avoid terms that could be seen as punitive or unfairly favoring one party.
• Make sure terms are enforceable. A family law attorney in Buck County, such as myself, can guide you here.

6. Not Updating Your Prenup

Prenuptial agreements are not a “set it and forget it” document. After marriage, circumstances change faster than you can predict. You may gain new assets, have children, or change career paths. It is unrealistic to expect the terms drafted before you tied the knot to remain relevant even years later.

Failing to update your prenup can lead to unintended consequences, especially if you find yourself facing a divorce later in life. The terms may no longer be equitable, but the courts won’t take that into consideration. They will uphold the agreement as is, and you may lose big.

How to Stay Ahead

• Review your prenup every few years or after significant life changes
• Discuss updates with your spouse to ensure mutual understanding and agreement on the changes.
• Make amendments following proper procedure to make it all legally binding

Draft an Ironclad Prenup Today

Prenuptial agreements may have a bad rap, but they are not the nefarious documents they are made out to be. Prenups are valuable tools that protect your assets and clarify financial expectations in a marriage – provided they are correctly drafted.

So, take the right steps to create a solid and legally sound agreement. By avoiding these common prenup mistakes, you can save yourself a substantial amount of stress if the time ever comes.

If you’re considering a Philadelphia prenuptial agreement, start on the right foot with a qualified family law attorney. As a divorce lawyer in Bucks County with over 30 years of experience, I can offer tailored advice without the hourly billing or hefty retainer. Reach out at (215) 750-9202 to schedule a consultation today.