An Alabama postnuptial agreement is a legal document designed for couples who are already married but wish to establish terms regarding the division of assets and financial responsibilities in the event of a divorce or separation.
Similar to a prenuptial agreement, which is created before marriage, a postnuptial agreement allows spouses to outline how assets, debts, and other financial matters will be handled should their marriage end.
Legal Considerations
Code of Alabama Title 30 governs aspects of marital and domestic relations, including postnuptial agreements.
- Signing Requirements: Must be signed by both spouses. While not mandatory, it is highly recommended to have it executed in the presence of a notary public (Barnhill v. Barnhill (1980)).
- Dividing Property: Equitable division (Ala. Code § 30-2-51).
Understanding Postnuptial Agreements in Alabama
Burden of Proof
- The party seeking to uphold the agreement must demonstrate that there was adequate consideration, indicating that both parties exchanged something of value for the benefits outlined in the agreement.
- Additionally, this party must establish either that the entire transaction was fair and equitable from the other party’s perspective or that both spouses entered into the agreement with independent, competent advice and full awareness of each other’s assets and their approximate worth.
§ 30-4-1 – Separate Property of Wife – Property Held Prior to Marriage or Acquired After Marriage
- Any property owned by the wife before marriage or acquired afterward, regardless of the means of acquisition, remains her separate property.
- This property is not liable for any debts or obligations of the husband.
§ 30-4-2 – Separate Property of Wife – Earnings of Wife
- The income earned by the wife constitutes her individual property.
- However, she is not entitled to reimbursement for any services provided to her husband or family.
§ 30-4-5 – Property of Wife Subject to Provisions of Chapter
- Any property acquired by the wife through inheritance, gifts, contracts, or conveyances, including those from the husband, is considered her individual property.
- However, it excludes property conveyed to an active trustee for her benefit from this designation.
§ 30-4-7 – Husband Not Liable for Postnuptial Contracts and Torts of Wife
- The husband holds no responsibility for any debts or obligations incurred by the wife after their marriage nor for any wrongful acts committed by her in which he does not participate.
- The wife remains fully liable for such debts, obligations, or wrongful acts, and she can be sued as if she were solely responsible.
§ 30-4-8 – Capacity of Wife to Contract
- The wife has complete legal authority to enter into contracts as an individual, except where restricted explicitly by law.
§ 30-4-9 – Capacity of Husband and Wife to Contract With Each Other
- Spouses can enter into contracts with each other.
- Such contracts are subject to legal rules regarding agreements made between individuals in a confidential relationship.
