Prenuptial Agreements in Tennessee: What They Can (and Can’t) Cover
Understanding the boundaries of a prenuptial agreement – and consulting with an experienced family law attorney – may help you create a prenuptial agreement that aligns with your goals and Tennessee state law.
What is a prenuptial agreement?
A prenuptial agreement is a legal contract signed before marriage that outlines each spouse’s financial rights and responsibilities. For example, you and your spouse might agree in a prenuptial agreement that, in the event of a divorce, the money in your savings account will remain yours alone and will not be divided or awarded to your spouse.
A prenuptial agreement may sound simple enough, but there are legal complexities that can make protecting your assets more challenging than it first appears. Working with an attorney can ensure that your prenuptial agreement protects your assets in accordance with Tennessee law.
What can a prenuptial agreement cover in Tennessee?
A prenuptial agreement, in Tennessee, can cover the following:
- The assets that will be considered marital property and the assets that will be considered non-marital property. For example, you could state that your house is marital property, but that your savings are not.
- A clear division between your and your spouse’s debts so that neither of you has to take care of the other’s debts. For example, if you have $40,000 in credit card debt, it could be kept separate from the marital assets.
- Ownership in a particular business or professional practice, among other professional ventures. For example, if you own 60% of a store, you can set up an agreement that prevents that 60% from being divided.
- The amount and duration of alimony after divorce are subject to court review for fairness and enforceability at the time of enforcement.
- A complete waiver of alimony, unless enforcement would be unconscionable or require one spouse to rely on public assistance.
- Property distribution rights after either spouse passes away. This can include a waiver of spousal inheritance rights, so that your child receives an asset your spouse would normally receive, among other possibilities.
- A clear overview of how finances will be handled during the marriage, including large purchases and the regular expenses incurred by married life.
- Confirmation of which spouse will own the pets shared in the marriage. This can include specific terms, such as where they will live and who will pay for their care.
What can’t a prenuptial agreement cover in Tennessee?
Some of the things a prenuptial agreement cannot cover under Tennessee enforceability rules are as follows:
- Your child support obligation, in the event of a divorce. This cannot be established with a prenuptial agreement and, in most cases, will be decided within the family court.
- Child custody. You cannot outline which parent will have custody of your child, or the terms underlying this custody arrangement. As with child support, this will be decided by the family court.
- Your child’s visitation schedule. The amount of time each parent may spend with their child will be determined by the family court, and a prenuptial agreement cannot define these terms.
Outside of the above, your prenuptial agreement also cannot cover:
- A waiver of alimony that may force one spouse to rely on public assistance.
- Non-monetary life rules, such as the chores one person is assigned to, among other possibilities.
- Clauses that violate the laws governing Tennessee.
Developing a prenuptial agreement can be challenging. Working with a family law attorney can make it easier for you to create a prenuptial agreement that abides by Tennessee’s laws.
When is a prenuptial agreement considered invalid in Tennessee?
A prenuptial agreement can be considered invalid in Tennessee if one of the following has been alleged:
- A spouse signed the prenuptial agreement under duress. If a spouse says, “Sign this prenup, or you’ll be sorry,” this could be considered duress and may result in the prenuptial agreement being set aside.
- A spouse signed the prenuptial agreement because they were coerced into doing so. If a spouse says, “Sign this prenup now, or the wedding is cancelled,” this could constitute coercion that might invalidate the prenuptial agreement.
- A spouse failed to disclose significant assets or debts prior to the execution of the prenuptial agreement. If a spouse doesn’t disclose the $5 million they have saved, the prenuptial agreement could be thrown out because this spouse didn’t disclose all of their major assets.
- The prenuptial agreement was not entered into freely, knowledgeably, and in good faith. If a spouse develops a prenuptial agreement that is supposed to waive their child support obligation, the offending provision would be unenforceable and, depending on severability, could affect the enforceability of the agreement.
- The prenuptial agreement violates Tennessee law.
If any one of the following is present, your prenuptial agreement could be considered invalid. And, if your prenuptial agreement is considered invalid, your property could be subject to division.
Reach out to one of our Tennessee family law attorneys
You may want to consult an attorney who can help you draft a prenuptial agreement. Contact us today to speak with a Tennessee family law attorney. At the Law Offices of Adrian H. Altshuler & Associates, we can review your situation and discuss your legal options.