Can a Prenuptial Agreement in Atlanta Contain an Arbitration Clause?

If you’re approaching a marriage, you might be interested in creating an Atlanta prenuptial agreement. Perhaps you believe that this contract can protect you from unnecessary issues if your marriage ever ends in divorce. But how far do these protections go? Can you create an “arbitration clause” in your prenuptial agreement that forces both spouses to avoid court in the event of a divorce? This is something worth exploring with a family law attorney.

Prenuptial Agreements Can Include Arbitration Clauses

You can create a prenuptial agreement with an arbitration clause, and this is a common course of action taken by spouses who want to plan effectively. With this type of prenup, you and your future spouse will agree to attempt arbitration before taking a divorce to court.

Why Would I Want an Arbitration Clause in My Prenup?

An arbitration clause in your prenup might be useful for various reasons. First, it allows you to pursue a relatively quick divorce. While a litigated divorce can take years, you could theoretically wrap up arbitration in a matter of weeks. Arbitration is also cheaper than litigation, allowing you and your spouse to save more of the marital assets you worked so hard to accumulate. Finally, arbitration is private, ensuring potentially embarrassing details stay out of the public eye. In contrast, litigation is a public, transparent process that anyone can see.

You Can Choose Other Types of ADR

Arbitration is just one example of “alternative dispute resolution” (ADR). You might also want to choose a different type of ADR, such as mediation or collaborative law. Each type has its own unique pros and cons, and you can discuss the options with a lawyer while creating your prenup.

Note that even if you don’t create a prenup with an arbitration clause, the family court might still require you to attempt mediation before bringing your divorce to court. In other words, this type of clause might not be necessary if you prefer mediation.

Arbitration could be particularly beneficial because of its “finality.” Unlike other forms of ADR, arbitrators issue legally binding decisions that spouses must adhere to. There are no “do-overs” when it comes to arbitration. In contrast, mediation and collaborative law could fail, representing a wasted process.

Your Prospective Spouse Must Agree

Remember, your spouse must agree to sign the prenuptial agreement. If they are not comfortable with an arbitration clause, you might have to be more flexible. For example, your spouse might want to preserve their right to litigate the divorce.

Can a Family Law Attorney in Atlanta Help With Prenuptial Agreements?

A family law attorney in Atlanta may be able to explain the limitations of prenuptial agreements in more detail. A prenup can include an arbitration clause, and this is a common move taken by shrewd spouses. If done correctly, this clause could help reduce the legal costs associated with a divorce in the future while also giving you more control over end results. Contact Kaye, Lembeck, Hitt & French for further guidance on this topic.

Source:

 libguides.law.gsu.edu/c.php?g=253404&p=1689834