An Indiana postnuptial agreement is a legal contract between spouses detailing how marital assets are divided in the event of divorce or death, signed after marriage. Unlike prenuptial agreements, which are signed before marriage, this contract includes “reconciliation agreements” for couples not planning to divorce and “separation” or “settlement agreements” for those anticipating divorce.
This arrangement, in adherence to Indiana law, allows spouses to clearly decide on asset distribution while married, also reflecting on considerations typically addressed in prenuptial agreements.
Legal Considerations
IC 31-11-3 governs aspects of marital and domestic relations, including postnuptial agreements.
- Signing Requirements: Both parties must sign the agreement, and it must be in writing. (IC 31-11-3-4)
- Dividing Property: Equitable division. (IC 31-15-7-5)
Understanding Postnuptial Agreements in Indiana
Considerations
- Voluntariness and Absence of Coercion: Both parties must enter into the postnuptial agreement voluntarily and without any form of coercion or undue influence. Indiana courts scrutinize agreements for fairness and the conditions under which they were signed.
- Full and Fair Disclosure: Both parties must complete and honestly disclose all assets, liabilities, income, and expenses. Alternatively, they must know and voluntarily waive the right to such a disclosure.
- Independent Legal Counsel: While not strictly mandatory, it is highly advisable for each spouse to seek independent legal counsel before entering into a postnuptial agreement. This helps ensure that both parties fully understand the agreement’s terms and implications.
- Conscionability: An agreement must be conscionable at the time of enforcement. Indiana courts will not enforce a postnuptial agreement that is deemed to be unconscionable, meaning excessively unfair to one party.
Marriage and Divorce
Asset Division
- Under Indiana law, property acquired during the marriage, whether marital or non-marital, is subject to division upon divorce.
- Spouses have the option to determine a different division of property through a postnuptial agreement, providing a tailored approach to their unique situation [1] .
Spousal Support
- Indiana recognizes the possibility of spousal maintenance under certain conditions.
- Spouses can outline specific maintenance terms within a postnuptial agreement.
- This allows for flexibility in financial arrangements after marriage [2] .
Indiana Case Law
- Sanders v. Sanders (2018): This case looked into the division of assets and the enforcement of postnuptial agreements, setting a precedent for how assets are evaluated and divided in such contexts.
- Hall v. Hall (2015): This case focused on the interpretation and enforceability of postnuptial agreements, particularly around the clarity and fairness of the terms agreed upon by both parties.
- Flansburg v. Flansburg (1991): A landmark case that addressed the requirements for a valid postnuptial agreement, emphasizing the necessity for both parties to have adequate information and the opportunity to seek independent legal advice.
