Advice from Michelle Ellis at Atkins Thomson

YOU may think that pre-nuptial agreements – or pre-nups – only apply to the rich and famous.

But this is not the case as many poeple marrying for the second time may consider one if they have assets and children from a first marriage or previous relationship.

This is particularly true where the mother or father and their children are living in a home that was acquired prior to this new relationship. In these circumstances, and any circumstance where at least one of the parties has some independent wealth, a pre-nup can put minds at rest.

Unlike other countries, a pre-nuptial agreement is not binding in a UK court of law at present. There are no hard and fast rules and a judge has wide discretion as to any financial orders made.

Every case is different depending on circumstances but a pre-nupis binding on the parties and has always been a relevant factor taken into account when deciding on a divorce settlement in the UK.

If entered into well in advance of the wedding, with both parties providing full disclosure of their income and assets without pressure on either party, and with the outcome not being unfair on either party or their children, the courts have often given weight to the existence of a pre-nup.

Very recently a case in the Supreme Court may have changed the way pre-nups are looked at in the future. It involved Katrina Radmacher (a German wife whose wealth was estimated at around £100m) and her husband Nicholas Granatino.

They had entered into a pre-nuptial agreement which stated if they got divorced he was only to get £1m. On divorce Mr Granatino got just under £5.6m in a settlement determined by the first court.

The wife appealed claiming the pre-nup was enforceable and the Court of Appeal agreed. He appealed but the Supreme Court rejected the appeal.

This means that now it should be recognised that parties entering into a properly drawn-up pre-nup could be held to the terms, unless there are relevent circumstances to deviate from this.

The onis is on the party arguing against it as to why they should not be held to the agreement.

It is important to remember that the longer the marriage has lasted, the more likely the court will hold that the parties should not be bound by a pre-nup.