Many couples who find themselves facing a divorce did not create a prenuptial agreement. Now that the end of the marriage is looming, they may feel worried about what could happen moving forward.
All is not lost if you failed to get an agreement prior to your marriage. You can look at a postnuptial agreement or a separation contract. This is a good option for people who may have become wealthy after marriage and who wish for the divorce process to be as smooth as possible.
Definition
A separation contract is similar to a divorce agreement in that it will outline what happens with assets in the divorce. It does not cover other parts of the divorce, such as child custody or support. But it can include details about spousal support. The agreement allows you and your spouse to spell out what will happen and takes away the concerns that the court may have to step in and make decisions about what happens with your assets.
Application
A separation contract will work in both a divorce and a separation. You need to be sure it follows the law for a postnuptial agreement. But other than meeting the legal aspects, you can do with it as you wish. Keep in mind that you and your spouse must agree to the contents of your own free will. There cannot be pressure to sign or coercion to get one of you to agree.
You can create your separation contract at any time. If you and your spouse agree that you want to end your marriage, it may be easier to create this contract before you file. It can help move the divorce along more quickly and easily when you have already determined the division of assets.
