Can a Prenup Protect Me from My Spouse’s Debts?

All the debt that either spouse or both spouses incur between the date of their marriage and the date of their separation is presumed to be marital debt in the State of Virginia. In the fair division of marital property, this marital debt must be divided equitably between the spouses. If, however, you have a legally binding prenup in place that includes a debt protection clause, it will override the court’s presumption. In other words, a prenup can protect you from your spouse’s debts, and our experienced Manassas debt division attorneys at Bristle Schulze can help.

The Equitable Distribution Model Used in Manassas

All divorce cases are handled by the Prince William County Circuit Court. Because Virginia is an equitable distribution state, the court uses factors like the following to determine how debt should be distributed between spouses:

• The length of your marriage
• The ways in which each of you contributed to your marriage
• The unique circumstances that led to your divorce
• Your ability to handle the debt in question and your divorcing spouse’s ability to do so
• How and when the debt in question was acquired

Without a solid prenup that addresses debt protection, you could potentially be held financially responsible for a significant part of your soon-to-be ex’s lavish spending habits or overall debts.

Creating a Legally Binding Prenuptial Agreement

In order for your prenuptial agreement to be enforceable, both you and your spouse must have entered the contract voluntarily, which excludes any coercion or duress. Further, the terms included cannot be what’s called unconscionable, which means seriously skewed in one spouse’s favor. In addition, each of you must have been transparent regarding the required financial disclosure, including in relation to debts. Finally, the contract must be in writing and signed by both of you, and while notarization is not required, it’s well-advised.

The Debt Protection Clause

In your prenup, you can include a debt protection clause that helps shield you from your soon-to-be spouse’s separate debt, including business obligations. By directly classifying these debts as separate, you seriously diminish the risk that the line that distinguishes them from marital debt will be weakened.

Debt that is incurred during your marriage is presumed to be marital. In your debt protection clause, however, you can establish parameters that distance you from any financially risky practices your spouse may engage in. These include iffy business ventures and excessive spending.

In your prenup, you can also outline limitations for joint debt. For example, your debt protection clause can include language that divides joint debt in accordance with who incurred it or as a matter of predetermined percentages.

Consult with Our Experienced Manassas Debt Division Lawyers Today

Our accomplished Manassas debt division attorneys at Bristle Schulze have reserves of experience helping clients like you create prenups that effectively address debt division and that bolster peace of mind in the process. To learn more about everything we can do to help you, please don’t hesitate to contact us online or give our firm a call at 703-454-0701 today.