Common Mistakes to Avoid When Drafting a California Prenuptial Agreement

prenuptial agreement

A well-crafted prenuptial agreement serves as an effective way for couples to establish clear financial expectations and safeguard their assets before entering into marriage. In California, these agreements must meet strict legal requirements to be enforceable. However, when poorly drafted, a prenup can lead to unintended consequences, legal disputes, or even complete invalidation.

The Law Offices of Bruce A. Mandel explores common mistakes to help ensure your prenuptial agreement holds up in court and serves its intended purpose.

Failing to Disclose Assets and Debts Fully

Full financial disclosure is one of the most critical requirements of a valid prenuptial agreement in California. Each party must clearly and honestly account for their assets, debts, income, and financial obligations. Failing to do so can make the agreement unenforceable in court.

Some common errors related to financial disclosure include:

  • Omitting valuable assets such as investments, business interests, or offshore accounts
  • Underreporting income or failing to disclose outstanding liabilities
  • Hiding debt to avoid responsibility after marriage

California courts take financial transparency seriously. If a spouse can prove that the other party concealed assets or debts at the time of signing, a judge may invalidate the agreement, potentially leading to costly litigation.

Drafting an Unfair or One-Sided Agreement

A prenuptial agreement needs to be balanced and equitable to ensure fairness for both parties. If the terms heavily favor one spouse over the other, a California court may challenge and invalidate it. Agreements that include provisions that are unconscionableโ€”meaning excessively unfairโ€”will not be enforced.

Examples of unfair prenups include:

  • Giving one spouse full ownership of all assets while leaving the other with nothing
  • Releasing one spouse from financial obligations while burdening the other with excessive debts
  • Attempting to waive spousal support without fair compensation or consideration

Both parties should have equal bargaining power to avoid this mistake and ensure the terms reflect fairness. While a prenup can protect separate property, it cannot leave one spouse financially destitute.

Not Following Californiaโ€™s Legal Requirements

California has specific laws governing the creation and enforcement of prenuptial agreements. Some key legal requirements include:

  • Written form โ€“ Prenuptial agreements must be in writing and signed by both parties. Oral agreements are not enforceable.
  • Voluntary agreement โ€“ Both parties must enter into the agreement willingly, without coercion, threats, or undue pressure. If a spouse can prove they were forced to sign, the prenup may be voided.
  • Independent legal representation โ€“ Under California law, each spouse must have at least seven days to review the agreement before signing. The agreement must also clearly waive legal representation if a spouse does not have an attorney.

Failing to meet these legal standards can result in the prenuptial agreement being declared invalid, meaning the couple will be subject to Californiaโ€™s default marital property laws.

Including Provisions That Are Not Legally Enforceable

Prenuptial agreements can outline financial matters but cannot dictate personal aspects of a marriage. Including unenforceable provisions can weaken the overall agreement and give a court reason to strike down certain terms or the entire contract.

California courts will not enforce prenup provisions that:

  • Regulate child custody or child support (these decisions are based on the childโ€™s best interests at the time of divorce)
  • Require a spouse to engage in specific personal behaviors (such as weight maintenance or household duties)
  • Impose financial penalties for infidelity or moral clauses

To create a legally sound agreement, focus on property division, spousal support, and financial matters while avoiding terms that courts will not uphold.

Signing the Agreement Too Close to the Wedding

Timing is crucial when drafting a prenuptial agreement. In California, courts closely examine whether both parties had enough time to review and consider the agreement before signing. Rushing the process can lead to claims of duress or coercion, which may invalidate the contract.

To ensure enforceability:

  • Begin discussions several months before the wedding
  • Allow at least seven days for review before signing
  • Avoid last-minute changes that could pressure one spouse into signing under stress

By planning ahead, both parties have time to consult attorneys, negotiate fair terms, and enter the agreement with full understanding.

Not Updating the Agreement Over Time

While a prenuptial agreement is designed to last the duration of a marriage, circumstances change. If a coupleโ€™s financial situation shifts significantlyโ€”such as through a business acquisition, inheritance, or having childrenโ€”it may be necessary to update the prenup to reflect these new realities.

Failing to review and amend the agreement when necessary can lead to disputes if the terms no longer apply to the coupleโ€™s current financial status. A postnuptial agreement, which functions similarly but is signed after marriage, could be a viable option for updating financial arrangements.

Ensuring a Strong and Enforceable Prenuptial Agreement in California

A prenuptial agreement should protect both partiesโ€™ interests while complying with Californiaโ€™s legal standards. By avoiding common mistakes such as failing to disclose assets, creating one-sided terms, or including unenforceable provisions, couples can ensure that their prenup holds up in court.

If you are considering a prenuptial agreement, consulting with a knowledgeable family law attorney in California can help ensure the agreement is legally sound and tailored to your unique situation. The Law Offices of Bruce A. Mandel has over 30 years of experience guiding clients through complex family law matters, including prenuptial agreements.

Contact the firm today to discuss your needs and ensure your agreement meets all legal requirements.

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