An engaged couple typically sets up a prenuptial agreement if one or both of the individuals is entering the marriage with substantial assets. A prenuptial arrangement set up by a family attorney in Frederick may include a sunset clause, also called a sunset provision, that ends the contract after a certain number of years. Most prenuptial contracts do not have this type of clause, but some engaged couples find it to be a worthwhile tool for their future relationship.
Betrothed couples sometimes feel hesitant about prenuptial agreements, but they should face the economic realities and the statistics about divorce. About 40 percent of first marriages end in divorce; the percentage used to be higher but has dropped in recent years. The rate is higher than this for second marriages and increases even more for third ones. When someone gets married for the second or third time, it’s more likely for this individual to own real estate and have some other assets accumulated.
The Intention of a Sunset Clause
What exactly is the intention of a sunset clause in a prenuptial agreement documented with the court by a family attorney in Frederick? In some instances, the person with a relatively high net worth fears that the partner might file for divorce one day and take half of everything. This is more common when someone has already been through an experience like this before and has become less trusting.
This individual may want to consider how long the marriage should last before the prenuptial agreement expires. There does not have to be an expiration date, but some engaged couples include a sunset provision at 10, 15 or 20 years. The person who is nervous about being betrayed and losing assets decides that if they stay together this long, the marriage is sound.
There are obvious problems with these provisions that can be discussed with a law firm such as Russell & Heffner when setting up the prenuptial contract. For instance, what happens if the provision expires after the 10-year wedding date but a spouse files for divorce a week later? Browse our website to find contact information.