MARRIAGE, DIVORCE AND THE FAMILY BUSINESS – PRE-MARITAL AND POST-MARITAL AGREEMENTS

• Monday, April 30, 2018
• Category: Business Succession

Based on multiple studies and statistics, the sad truth is that divorce is virtually inevitable in any sizable family. Divorce can be a severe disruption to a family business, so as much advanced planning as possible should be done to minimize or, better yet, to avoid such disruption.

When carefully structured and negotiated, and when combined with proper disclosures, pre-marital and post marital agreements can provide substantial certainty with respect to disposition of business interests in the event of the dissolution of a marriage. The formalities that must be followed to assure the validity and enforceability of a marital agreement vary widely from state to state. Accordingly, the estate planner must carefully research the law of the jurisdiction that will govern the interpretation of the marital agreement and the implementation of its terms.

Reference: Turney P. Berry, Philadelphia Estate Planning Council, Business Succession Planning, January 9, 2018

Kindly visit our Business Succession Planning and Family Law websites or contact one of our Business Succession Planning Attorneys, Philadelphia or Family Law Attorneys, Philadelphia at 215-977-8200 for more information on this topic.