Understanding Prenuptial Agreements in North Carolina

Prenuptial agreements in North Carolina offer couples a powerful tool to manage financial expectations and protect assets. However, to ensure enforceability, the agreement must comply with the statutory requirements under Chapter 52B, be entered

into voluntarily, and include full financial disclosure. Importantly, it cannot affect child support obligations or violate public policy.

Q: What are prenuptual agreements?

A: Prenuptial agreements, also known as premarital agreements, are legal contracts entered into by couples before marriage to outline the division of assets, financial responsibilities, and other matters in the event of divorce or death.

In North Carolina, these agreements are governed by the Uniform Premarital Agreement Act (UPAA), codified in Chapter 52B of the North Carolina General Statutes. [ncleg.gov]

Statutory Basis: Chapter 52B – Uniform Premarital Agreement Act

Key provisions include:

• § 52B-3: The agreement must be in writing and signed by both parties. It is enforceable without consideration (i.e., no exchange of money or goods is required). [ncleg.gov]
• § 52B-4: Parties may contract regarding:
• Property rights and obligations
• Management and control of property
• Disposition of property upon separation, divorce, or death
• Modification or elimination of spousal support
• Estate planning arrangements
• Life insurance benefits
• Choice of law
• Any other matter not violating public policy or criminal law
• Limitation: The agreement cannot adversely affect the right of a child to support. [ncleg.gov]
  
• § 52B-5: The agreement becomes effective upon marriage.
• § 52B-6: It may be amended or revoked after marriage only by a written
• agreement signed by both parties.
• § 52B-7: The agreement is not enforceable if:
• It was not executed voluntarily
• It was unconscionable at the time of execution and the party lacked adequate disclosure or knowledge of the other’s financial situation. [ncleg.gov]
• § 52B-9: Statute of limitations for claims under a prenuptial agreement is tolled during the marriage, but equitable defenses like laches and estoppel still apply.

Q: What are some limitations of prenuptual agreements?

A: See the following:

1. Voluntariness and Timing - Courts scrutinize whether the agreement was signed voluntarily. Signing too close to the wedding date may raise concerns about duress or coercion.
2. Full Disclosure - Each party must provide a fair and reasonable disclosure of assets and liabilities. Failure to do so may render the agreement unenforceable.
3. Unconscionability - Agreements that are excessively one-sided or unfair may be invalidated. Courts assess fairness at the time of execution and enforcement.
4. Child Support and Custody - Provisions attempting to waive or alter child support or custody rights are not enforceable, as these matters are determined based on the best interests of the child.
5. Legal Representation - While not required, it is strongly recommended that each party have independent legal counsel to ensure informed consent and reduce the risk of future disputes.

For a consultation regarding a prenuptial agreement, call us at (919) 424-8319. We would be honored to serve you.

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