Rubinstein & Holz | Family Law Attorneys

Does a business owner need a prenuptial agreement?

Regardless of how much you love and trust the person you wish to marry, if you own a business, you should strongly consider creating a prenuptial agreement. In the lead up to a wedding, the excitement of marriage can cloud the judgment of one spouse or the other, leading him or her to think a prenuptial agreement to protect a business is not truly necessary, because the marriage will go the distance.

This reasoning is very dangerous, frankly speaking, not only for the business owner, but for everyone affect by the business, like employees, vendors and customers. Should the marriage fail without proper protections for the business, the business may count as marital property and included in property division.

Practically speaking, this means that any employee of the business, any vendors who depend on the business for service or as a customer or any customers who depend on the business's services or product are all subject to the success or failure of the marriage. Not only is this incredibly unfair to the employees, vendors and customers who simply want the business's services, it places great strain on the marriage to keep it together for the sake of others outside of the relationship. For everyone involved, this arrangement is unfair and dangerous.

If you own a business and see marriage approaching, protect everyone involved by using a prenuptial agreement. By protecting your business with a prenuptial agreement, you allow yourself the freedom to work through difficult seasons in your marriage on your own terms without threatening the security of those who depend on the business for their livelihood or for its services. An experienced attorney can help you craft a prenuptial agreement that your relationship deserves.

Source: Findlaw, "Pros and Cons: Premarital Agreements ("Prenuptials")," accessed Dec. 22, 2017

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Rubinstein & Holz | Family Law Attorneys

Rubinstein & Holz
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