Thursday, 20 January 2011

The Law Commission publishes Consultation Paper on Pre-Nuptial Agreements

The Law Commission has published its consultation on the future of pre-nuptial
agreements seeking views on a range of potential options for reforming the law of
pre-nuptial, post-nuptial and separation agreements.

In its consultation, the Law Commission provisionally proposes that nuptial
agreements should be in writing with each party required to take legal advice,
and the party seeking to enforce the agreement must have made full and frank
disclosure of their financial disclosure of their financial situation. It also proposes
that an agreement should not be enforceable if it fails to provide for the needs of
any children of the family, or leaves one party dependant on state benefits.

The consultation follows the decision of the Supreme Court last October in the case
of Radmacher v Granatino which ruled that prenuptial agreements can be decisive in
determining the financial division on divorce.

Many family lawyers are looking for clarity in the law and are hoping that the Law
Commission will deal with this. The family lawyers association , Resolution, has
said it will be making the case to the Law Commission that pre-nuptial agreements
should be considered binding as long as the needs of any children are satisfied and
provided that they do not result in injustice.