The landmark 2010 Supreme Court ruling Radmacher v Granatino established that ‘the court should give effect’ to prenups, so long as they are ‘freely entered into by each party’, that the parties know what they are agreeing to and provided there are no circumstances that would make it ‘not fair to hold the parties to their agreement.’
Proposing a prenup, however, can be a sensitive topic to discuss.
Caroline Park commented that the subject should be approached “with kindness, not as a business transaction”.
Since prenups can bring up emotional moments, they should be raised “sensitively” in a private conversation between the couple “and, generally, without other family members present, however invested they may be in protecting family money”.
Prenups are becoming increasingly common, even among couples where neither children from previous relationships nor inherited wealth is a factor, according to Caroline. “For HNW individuals, prenups are increasingly part of the package,” she added.
Read Caroline’s comments in Spear’s Magazine here.