A renowned Toronto family and immigration law firm, Ivan Steele Law, has published a new how-to guide dedicated to helping Canadians from all walks of life protect their assets and talk openly about finances in the context of prenuptial agreements (prenups, marriage contracts) A prenup can protect both parties should a marriage dissolve and end in divorce. It’s really a simple concept – it’s just a business contract between two people in a marriage or civil union. One can cover a variety of issues inside the prenup, including personal assets, instructions for the division of property, retirement funds that were saved before marriage, education funds that were saved prior to marriage, Spousal support, inheritance, finances for each party, and much more. What Cannot Be Included in a Prenup? There are several things one cannot include in a prenup: child support and custody, custody or visitation agreements, unfair terms, illegal terms, and non-financial requirements (like weight restriction clauses or other relationships). While preps have historically received some bad rap, in reality, they are a very useful tool for financial planning based on honesty, transparency, and mutual respect between the parties. In 2023, in the wake of a global pandemic, economic instability, and the subsequent relationship challenges, considering a prenup is imperative.
Interested parties are invited to review the how-to guide in full on their website: https://www.ivansteelelaw.com/marriage-contracts-in-ontario
If either spouse has significant debt, a prenup can be a good safeguard against becoming responsible for anything should a divorce occur. If either spouse has a significant amount of wealth, a prenup is a solid way to protect assets in advance. It may not feel sexy, but it can be smart. If either spouse owns a small business, a prenup can protect business interests In cases of very short engagement, a prenup can provide time to evaluate a relationship. Nothing is more romantic than love at first sight, but with a short engagement, one does not know a future spouse all that well. A prenup protects both parties should the other spouse end up not being the person one expected. Note that a person could also get what is known as a postnup – which would be essentially the same as a prenup, except it’s put into effect after a marriage.
When asked for more information about the guide, the reasons behind creating a directory on Prenuptial Agreements, and what they hope to accomplish with it, Ivan Steele, a Toronto family lawyer, Founding attorney/lawyer at Ivan Steele Law, said: “Do They Need a Prenup?” In general, prenups are a good idea. That said, they also are only sometimes necessary. However, if they fall into any of the above categories, consider seriously protecting themselves with a prenup. A prenup might safeguard them, their interests, their children, their assets, and their future legacy. When they think about it this way, it might be something they’re more willing to consider. Most of them can’t ever imagine their marriage ending, but planning is about preparing for the unimaginable. Without a formal legal agreement, the state they live in would ultimately dictate how property acquired during their marriage would be divided during a divorce. In fact, some states even have laws that rule what would happen to the property they had individually before they were married. Most often, if there’s no prenup specifically stating otherwise, their spouses could have the right to shared ownership of properties, shared debts, and management or control of property (potentially including the right to either give away or sell assets). if things change in a marriage, even if it’s not their fault, a prenup might be their guiding light. In the end, there’s really no right or wrong answer to whether a prenup is good or bad. What is The Role of a Prenup in Retirement Planning? A prenup can allow them to keep their retirement assets separate from their spouse. Without one, it’s not uncommon for retirement funds to be divided in the event of a divorce. These days, prenup, or even postnup, agreements are becoming more common for those close to retirement age.”
People getting married, engaged couples, same-sex couples, previously divorced people re-marrying. and anybody interested in Prenuptial Agreements is invited to review the how-to guide online: https://www.ivansteelelaw.com/divorce-in-ontario/
More information about Ivan Steele Law itself can be found at https://www.ivansteelelaw.com
Ivan Steele Law
176 Yonge Street, 6th Floor
Disclaimer: The views, suggestions, and opinions expressed here are the sole responsibility of the experts. No Study Champ journalist was involved in the writing and production of this article.