Property Contracts

Property Agreements for new and ongoing relationships

You’ve met the love of your life and the last thing on your mind is the legal implication of combining your lives. I get it. And, there are legal implications to marital and intimate relationships just the same. Discussing your financial intentions and expectations can make your relationship better, stronger and lasting. You may not be ready to talk money management with your significant other. Still, it is a good idea to have a consultation so you know what to consider when deciding whether or not to have the conversation. This is especially so if you are planning to cohabitate, already own property, expect an inheritance, own a business or are supporting children and/or spouses from other relationships.

Cohabitation Agreements

Washington does not have common law marriage but living together can affect property rights. It is very important to understand the legal implications of cohabitating so you can be intentional about the choices you make. Clarifying your intentions in an agreement will help to set expectations so resentment and future legal hassles are avoided.

Prenuptial Agreements

If you are planning to get married or enter a domestic partnership, you may want to consider exploring your expectations and intentions regarding property you own or obligations you owe as well as property you may acquire during marriage. Washington’s community property law is designed to create equity in ownership when couples accumulate property but sometimes results are unexpected. You may be reluctant to discuss prenuptial agreements because it feels like planning for divorce just when you are entering into wedded bliss. I believe that the discussion, whether or not an agreement is the goal, can help to strengthen your marriage because you have the opportunity to openly explore your attitudes and expectations around finances and spending. I see too many couples split because their money personalities don’t mesh and they never addressed their differences in a healthy way. If you can talk about the tough stuff now it will help keep the communication flowing throughout your marriage.

An enforceable agreement requires transparency and sufficient time for negotiation and counsel. This process should begin well in advance of the wedding date.

Post-nuptial Agreements

 Couples can clarify expectations and understanding in an agreement after marriage. The principal difference between a prenuptial and a post-nuptial agreement is that the marriage has taken place so the couple’s legal status has changed. There may not be a desire to alter it by agreement. Nevertheless, it may be wise to set intentions about specific aspects of property ownership. For example, there are several things to consider when couples decide to remodel a home that one of them owned before marriage.

Altering property rights by agreement has implications in the case of a divorce or legal separation but also on the death of a spouse. Estate planning will address how your property is distributed on death and a prenuptial or post-nuptial agreement clarifies what property is in the estate.