Pre-Nuptial and Pre-Marriage Planning

Informed Tennessee Pre-Marriage Planning

Pre-Nuptial Agreements

No one planning a wedding believes they are heading toward a divorce. However, statistics show that forty-six percent of Tennessee marriages end in the dissolution of the marriage. At LawCare , our attorneys have significant experience helping couples plan and prepare for the legal commitments that come with the exchange of wedding vows.

Informed Pre-Marital Planning

Tennessee has numerous laws establishing legal connections between married couples. Inheritance rights, ERISA plans, retirement income, gifts, and real estate ownership are all affected by the granting of a marriage certificate. We work closely with our clients to protect their current and future interests as they enter into a marriage contract.

Here are some basic tips: 

Separate vs. Marital property :  The law classifies the property of a married couple as separate property or marital property. 

• Separate property is property owned prior to the marriage, property inherited, and property gifted .  However, certain acts during the marriage can transform this property into marital property. 
• Marital property is property and income acquired during the marriage.  This can include the appreciation of separate property or improvements made to separate property.

Business interests:  If one party owns a business or stock in a closely-held business prior to the marriage, that interest could easily become martial property during the course of the marriage by nature of the appreciation of the business or some other act which reclassifies it.  Parties should plan ahead on how to handle the valuation and separation of these interests.

Retirement accounts :  More and more people are getting married after they have already begun to make significant investments into the individual retirement plans.  It is important to understand going into the marriage that these funds could become classified as marital property and be divided if the marriage is disrupted.

Lottery winnings :  If acquired during the marriage, lottery and gambling winnings are considered marital property. 

Life Insurance proceeds:  Particularly when there are children from a prior marriage, the couple should plan how life insurance proceeds should be distributed to protect the present family and the step-children.

Pre-nuptial agreements can be structured in almost any way agreed to by both partners. Some pre-nuptial agreements have sunset provisions that allow for an automatic expiration of the terms if the marriage lasts a specific length of time.

Pre-marital planning allows for the open discussion of assets owned prior to the marriage. Often those assets can be protected in a revocable trust or by other means agreed to by both partners.

Before You Get Married (again) Contact Us First

At LawCare , we are committed to helping Tennessee couples protect their interests before they get married. Our firm can be reached by phone at (615) 661-0122, by e-mail, or by filling out our in-take form.