Any time a couple goes through a divorce, there may be a high number of assets and funds to separate. When there is a prenuptial agreement in place, the process of splitting assets or paying one partner in a divorce can be smoother. However, even with a prenuptial agreement in place, complications may arise during a divorce if one party seeks to nullify the agreement based on a violation of the agreement. Any Maryland couples dealing with divorce and the status of a prenuptial agreement may want to follow the story of a hedge fund mogul and his soon to be ex-wife.
The 32-year-old wife in the marriage was seeking to get more from her divorce than the original $5 million she agreed to as part of a prenuptial agreement. She claimed her husband violated the agreement, and therefore, she should get more money after the split. However, a jury decided both parties violated the agreement. Even though there was a violation though, the jury determined the original agreement should be held intact.
The wife wants between $20 and $40 million from her 51-year-old husband. She has decided to take the matter to court under the premise of contract law rather than a family law matter. However, it remains unclear if the fact that both parties violated the agreement will affect if it can be invalidated or not.
While most prenuptial agreements are pretty cut and dry, there may be the need to revisit or revise one as wealth grows or lifestyle changes occur. Anyone in Maryland who is entering into a prenuptial agreement or who has questions about the validity of one under certain circumstances may benefit from getting the most up-to-date information. If this case proves to be precedent setting, it could affect other agreements already in place when couples go through a divorce.
Source: New York Post, Hedge fund manager in epic divorce battle over prenup violations, Josh Kosman, Nov. 29, 2013