PRE- AGREEMENT
THIS AGREEMENT IS MADE on_____________________________________(date)
BETWEEN:
- of , , (Party 1); and
- of , , (Party 2)
(each a Party and together the Parties).
BACKGROUND
- The Parties intend to.
Personal Details and Residence
- Party 1 is and is habitually resident in and domiciled in and is a national of .
- Party 2 is and is habitually resident in and domiciled in and is a national of .
Relationship
- The Parties have been in a relationship since and this has been taken into account in the financial provision set out in this agreement.
Purpose of this Agreement
- The Parties acknowledge that is their mutual desire to enter into this Agreement so that, from the date of the, they will each continue to own and control their own property and they want their present respective financial interests to remain unchanged by the.
- The Parties further acknowledge that they have had adequate time to reflect upon the terms of this Agreement with the benefit of independent legal advice. The first draft of this agreement was seen by Party 1 on and by Party 2 on .
- The Parties hope that the will continue for the rest of their lives. However, in the event that their hopes are not fulfilled and the permanently breaks down, they would not wish to engage in litigation to resolve any financial claims they may have against one another. Accordingly, they enter into this Agreement to record their mutual and agreed intentions on the basis of what each believes to be a fair outcome in that event.
- In the event of the Permanent Breakdown of the the Parties intend that their respective financial rights and obligations will, to the extent permitted by law, be governed solely by this Agreement.
Children
Financial Disclosure
- The Parties have had the opportunity to make enquiries of the other Party’s financial circumstances and confirm they are satisfied that they have sufficient knowledge, information and documentation of each other’s financial circumstances to be able to assess the fairness of the terms of this Agreement.
- Each Party confirms that they have made full financial disclosure of their properties, assets, income and liabilities to the other Party.
Independent Legal Advice
- The Parties have each obtained separate and independent legal advice on the nature, terms and effect of this Agreement.
- Each Parties legal advisor has signed a certificate attached in Schedule 3 of this Agreement.
- The Parties confirm they are entering into this Agreement having taken such advice and having made such enquiries as they consider appropriate and each acknowledges that they regard the terms of this Agreement as fair and that they are entering into it freely, voluntarily and without pressure from the other Party or from any third party or from the circumstances or otherwise.
- The Parties understand the rights they are surrendering under this Agreement and its terms and effects.
Qualifying Nuptial Agreement
- The Parties understand that this Agreement satisfies the criteria set out in Law Commission Consultation Paper No 343, Matrimonial Property, Needs and Agreements for a qualifying nuptial agreement that will prevent the court from making financial orders inconsistent with the agreement, except to meet the financial needs of the Parties or in the interests of any child or children of the Parties. Accordingly, the Parties have each signed the statement at Schedule 4.
- The Parties understand that a qualifying nuptial agreement can only exclude the court’s jurisdiction in financial remedy proceedings if the Parties’ financial needs were met.
NOW IT IS HEREBY AGREED as follows:
Meanings
- These words and phrases have defined meanings:
Agreement | this Agreement including the background recitals and Schedules; |
Confidential Information | any information of a private nature that is not to be publicly disclosed including personal, financial, business, technology, trade secrets and other commercially sensitive information of either Party and including the terms of this Agreement; the negotiations between the Parties in connection with its making; and any of the financial information disclosed for the purpose of this Agreement; |
Joint Property | any property that is not Separate Property, including that which is acquired after the; |
Permanent Breakdown | the commencement of proceedings by either of the Parties for or for judicial separation which are subsequently concluded by a decree of divorce, annulment, or judicial separation; |
Property | any legal or beneficial interest in any asset or resource anywhere in the world, including any income and benefit arising from it; and |
Separate Property | all property which belongs independently at the date of this Agreement to each of the Parties and which is set out in Schedules 1 and 2 of this Agreement, including any property received by either Party by way of inheritance. |
- Unless the context requires a different interpretation:
- all singular words include plural ones and vice versa;
- all references to paragraphs, sub-paragraphs, schedules or appendices are to the ones in the Agreement;
- the schedules form part of this Agreement and will have effect as if set out in full in the body of this Agreement;
- the term 'including' does not exclude anything not listed;
- all references to statutory provisions include any changes to those provisions;
- no headings or sub-headings will affect the interpretation of this Agreement.
Commencement
- This Agreement is binding following completion of a valid ceremony of.
Separate Property
- All Separate Property as set out in Schedules 1 and 2 of this Agreement, is, shall be, and shall remain, the personal estate of that Party, including all interest, rents, and profits which may accrue from the Separate Property.
- All Separate Property of each respective Party shall remain forever free of claim by the other Party.
Joint Property
- Unless agreed otherwise by the Parties in writing, any Joint Property will be owned by the Parties in equal shares regardless of the proportions each contributed to the acquisition of the Joint Property.
- In the event of a Permanent Breakdown, all Joint Property shall remain subject to division, either by agreement or judicial determination.
Liabilities
- Each Party will be solely responsible for any existing or future liabilities connected with his or her Separate Property and will indemnify the other Party against any liability connected with or arising from his or her own Separate Property.
- The Parties will be jointly and severally liable for any existing or future liabilities connected with Joint Property.
Gifts
- Nothing in this Agreement will prevent either Party from giving to the other or receiving from the other any Property (including Separate Property) by way of gift or transfer or from making provision for the other by testamentary disposition or in settlement or under trust or otherwise (including a beneficial interest arising from a gift to a trust).
- For the avoidance of doubt, any gift made in accordance with Clause 10 will become the receiving Party’s Separate Property.
Death
- If, following a Permanent Breakdown, either Party should die, the other Party will not make any claim against the deceased's estate nor make an application to the court for an order requiring the personal representatives to make financial provision in his or her favour except as consistent with the provisions of this Agreement.
- Both Parties are to make new Wills following their and within those Wills will make such reasonable financial provision as is appropriate for the other in order to avoid any claims by either of them against the estate of the other under the Inheritance (Provision for Family and Dependents) Act 1975.
Permanent Breakdown
- It is hereby agreed between the Parties that, in the event of Permanent Breakdown, the Parties shall have no right against each other by way of claims for support, maintenance, compensation or division of the Property.
- The Parties agree that in the event of a Permanent Breakdown they will promptly take all steps and sign all deeds and documents as required to give effect to the terms of this Agreement.
Confidential Information
- The Parties agree to keep all Confidential Information absolutely confidential and not disclose any Confidential Information to any person except as agreed between the Parties or as they may reasonably have with their legal advisers, or any other person to whom it is necessary to disclose the Confidential Information for the purposes of implementing this Agreement, obtaining professional advice, pursuing proceedings in court, or if there is a legal obligation to do so.
Review of this Agreement
- The terms of this Agreement will be reviewed with the benefit of legal advice whenever one of the following events occurs:
- the birth or adoption of a Child of the Parties;
- the inability of either of Party to work for medical reasons for a period in excess of 12 months;
- the Parties settling and having permanent residence in a jurisdiction outside England and Wales.
Independent Legal Advice
- The Parties have taken or have had the opportunity to take independent legal advice before signing this Agreement.
Acknowledgement
- The Parties acknowledge that this Agreement is entered into freely and voluntarily and both Parties fully understand the terms contained in it.
- The Parties have made to each other full disclosure of their income, property and other financial resources as well as their financial needs and obligations which each has now and is likely to have in the foreseeable future.
Termination
- This Agreement will continue in force notwithstanding a Permanent Breakdown and this Agreement will not be terminated until a final court order has been made resolving the financial claims (if any) of the Parties.
Entire Agreement
- This Agreement, and its Schedules, constitutes the entire agreement between the Parties and supersedes and extinguishes all previous agreements, promises, assurances, warranties, representations and understandings between them, whether written or oral, relating to its subject matter.
- No modification, variation, waiver or termination of this Agreement will be valid unless made in writing and executed as a Deed.
- This agreement shall be binding upon and inure to the benefit of the Parties, their successors and assigns.
Governing Law
- This Agreement shall be governed by and interpreted according to the law of England and Wales and all disputes arising under the Agreement (including non-contractual disputes or claims) shall be subject to the exclusive jurisdiction of the English and Welsh courts.
Costs
- The parties agree that they will each bear their own costs relating to the preparation of this Agreement.
IN WITNESS OF WHICH the Parties have signed this Agreement as a deed on the day and year first above written.
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Schedule 1
Property of
Liabilities of
Schedule 2
Property of
Liabilities of
Schedule 3
CERTIFICATE OF INDEPENDENT SPECIALIST LEGAL ADVISER FOR PARTY 1
I, ______________________(name) of _______________________________________________________________(name and address of firm), certify as follows:
- I am a duly qualified solicitor/barrister (delete as appropriate) of the Senior Courts of England and Wales.
- Prior to (Party 1) entering into the Agreement between Party 1 and (Party 2) to which this certificate is annexed:
- I explained to Party 1 the meaning and importance of the terms of the Agreement in such a way that I believe that he/she has understood them, and he/she confirmed to me that he/she does understand them;
- I advised Party 1 as to the effect of the Agreement under the law of England and Wales, including its effect upon what would otherwise be his/her rights under the current law of England and Wales and about the advantages and disadvantages, at the time that the advice was provided, to Party 1 of making the Agreement;
- I explained to Party 1 the effect of its intended status as a qualifying nuptial agreement, meaning that under the law of England and Wales, the court will be prevented from making financial orders inconsistent with the Agreement in the event of the Permanent Breakdown, except to meet the financial needs of the Parties or in the interests of a Child of the Parties.
Date | |
Signature | |
| ___________________________________(name) Solicitor of the Senior Courts/Barrister of England and Wales (delete as appropriate) |
CERTIFICATE OF INDEPENDENT SPECIALIST LEGAL ADVISER FOR PARTY 2
I, ______________________(name) of _______________________________________________________________(name and address of firm), certify as follows:
- I am a duly qualified solicitor/barrister (delete as appropriate) of the Senior Courts of England and Wales.
- Prior to (Party 2) entering into the Agreement between Party 2 and (Party 1) to which this certificate is annexed:
- I explained to Party 2 the meaning and importance of the terms of the Agreement in such a way that I believe that he/she has understood them, and he/she confirmed to me that he/she does understand them;
- I advised Party 2 as to the effect of the Agreement under the law of England and Wales, including its effect upon what would otherwise be his/her rights under the current law of England and Wales and about the advantages and disadvantages, at the time that the advice was provided, to Party 2 of making the Agreement;
- I explained to Party 2 the effect of its intended status as a qualifying nuptial agreement, meaning that under the law of England and Wales, the court will be prevented from making financial orders inconsistent with the Agreement in the event of the Permanent Breakdown, except to meet the financial needs of the Parties or in the interests of a Child of the Parties.
Date | |
Signature | |
| ___________________________________(name) Solicitor of the Senior Courts/Barrister of England and Wales (delete as appropriate) |
Schedule 4
RELEVANT STATEMENT OF PARTY 1
I, Party 1 of , , , state as follows:
I confirm that prior to entering into the Agreement to which this statement is annexed, I have received independent legal advice from ______________________(name) of _______________________________________________________________(name and address of firm) and I understand the following:
- The terms of the Agreement.
- The effect of the Agreement on my rights under the law of England and Wales.
- The advantages and disadvantages to me in making this Agreement.
- I am aware of the proposals for reform of nuptial agreements contained in Law Commission Consultation Paper No 343, Matrimonial Property, Needs and Agreements and I intend this Agreement to be a qualifying nuptial agreement. I understand this means that under the law of England and Wales, the court will be prevented from making financial orders inconsistent with the Agreement in the event of the Permanent Breakdown of the, except:
- To meet my financial needs.
- To meet the financial needs of Party 2.
- In the interests of a child who meets the definition contained in this Agreement of a Child of the Parties.
RELEVANT STATEMENT OF PARTY 2
I, Party 2 of , ,, state as follows:
I confirm that prior to entering into the Agreement to which this statement is annexed, I have received independent legal advice from ______________________(name) of _______________________________________________________________(name and address of firm) and I understand the following:
- The terms of the Agreement.
- The effect of the Agreement on my rights under the law of England and Wales.
- The advantages and disadvantages to me in making this Agreement.
- I am aware of the proposals for reform of nuptial agreements contained in Law Commission Consultation Paper No 343, Matrimonial Property, Needs and Agreements and I intend this Agreement to be a qualifying nuptial agreement. I understand this means that under the law of England and Wales, the court will be prevented from making financial orders inconsistent with the Agreement in the event of the Permanent Breakdown of the, except:
- To meet my financial needs.
- To meet the financial needs of Party 1.
- In the interests of a child who meets the definition contained in this Agreement of a Child of the Parties.