A postnuptial agreement can help protect assets and set financial expectations in a marriage. However, enforcing this agreement during a divorce is not necessarily straightforward. Courts carefully review these contracts to ensure they meet legal requirements and do not unfairly favor one spouse over the other. Several challenges can arise when trying to enforce a postnuptial agreement in a divorce.
Lack of voluntary consent
Both spouses must sign a postnuptial agreement willingly. If one party can prove they signed under duress, coercion, or threats, a court may refuse to enforce it. For example, if a spouse was pressured into signing the agreement shortly after a serious argument or financial crisis, a judge may rule that consent was not freely given.
Unfair or one-sided terms
Courts will closely examine the fairness of a postnuptial agreement. If an agreement heavily favors one spouse while leaving the other at a significant disadvantage, a judge may find it unconscionable and refuse to enforce it. An agreement that leaves one spouse without financial support or with an unfair division of assets may not hold up in court.
Failure to meet legal requirements
New Jersey law has specific requirements for postnuptial agreements. If an agreement does not comply with these legal standards, a court may declare it invalid. Common legal issues in New Jersey include the lack of a written contract, improper notarization, failure to provide full financial disclosure, or provisions that violate public policy. Courts assess whether both parties entered the agreement knowingly and voluntarily, ensuring fairness in its terms.
Misrepresentation or fraud
Full financial disclosure is essential when creating a postnuptial agreement. If one spouse hides assets, misrepresents income, or provides false financial information, the agreement may be considered fraudulent. Courts will not uphold agreements based on deception or dishonesty.
Changes in circumstances
A judge may also consider whether significant life changes have made the agreement unfair. If one spouse experienced job loss, disability, or a major financial setback after signing the agreement, the court may decide not to enforce it as originally written.
Understanding the potential challenges of enforcing a postnuptial agreement during a divorce can help spouses make informed decisions. Legal guidance and careful drafting increase the chances of creating a fair and enforceable agreement that reflects both parties’ interests.
