Prenuptial Agreements

Aug 11, 2020

Prenuptial Agreements – legally known as a Contracting Out Agreement

What is a prenuptial agreement?

Prenuptial Agreements are formally referred to as a contracting out agreement. A prenuptial agreement is used when a married couple, civil union or de facto relationship of more than three years separate, this will determine how the property will be distributed. It is always advised that if prior to the relationship one party had significantly higher assets than the other party that a prenuptial agreement is entered into. There is the hope that you will never have to use it, however, if this circumstance does arise it brings peace of mind. It is also important that current legislation makes the place where the parties live relationship property. Therefore, a prenuptial agreement is a way to protect the property that you bring to a relationship.

What happens if there is no prenuptial agreement?



If there is no prenuptial agreement, the relationship property will be distributed in accordance with the Property Relations Act 1976. The relationship has to be over three years and the couple has to have been married, in a civil union or in a de facto relationship. However, there are some circumstances where the three-year rule can be reduced. When a couple separate, all the property owned jointly together will be classed as relationship property. This includes;


-         The family home (whenever acquired);

-         Family chattels;

-         Property purchased in contemplation of the relationship and/or the benefit of the family;

-         Income earned or assets acquired during the relationship.


 There can be separate property;


-         Such as inheritance or a gift;

-         A business;

-         Or property owned prior to the relationship commencing.


The issue with separate property if it is “intermingled” and used for the common use and benefit of the relationship or the family, it may be deemed as relationship property. Another example is where one person owns a business and over the relationship the value of the business has increased. 

When should I get a prenuptial agreement?

At Weston Ward and Lascelles we advise that an agreement should be entered into when;

-         Where one party has significantly higher assets than the other, when entering the relationship;

-         Where one or both parties own a home at the start of the relationship;

-         Where the relationship is a second (or more) relationship for one or either party, especially when there are children from previous relationships.


For a valid agreement to be executed each party needs to receive independent legal advice.


Can a prenuptial agreement be overturned?

These agreements can only be overturned if the Court is satisfied that it would cause serious injustice to the other party involved or that they believe that either client was not advised clearly of the implications of the agreement. However, this is uncommon. 


What should I do from here?

 If you have any questions please contact our supportive family lawyers in our Christchurch office.

Two men in suits are shaking hands in an office.

Learn Shareholder Agreements

22 Apr, 2024
A Shareholder Agreement is an essential legal document for any business owned by more than one person (not being their relationship partner) It’s a legally binding agreement between shareholders or business partners to establish a framework of how the company should be operated and outlines the rights, obligations and roles of the shareholders when (not if) one of the eventualities occur. What is in a Shareholder Agreement NZ? Shareholder Agreements include, but are not limited to covering off: One of you are: Dying Suffering total permanent disability Suffering trauma Waiting to retire You started fighting and neither want to leave If leaving how a fair price for your interest is fixed What happens if the others refuse to buy you out What happens if you are leaving and have money tied up in the business Controls around hiring/firing, borrowing, extending credit and changing business directors etc Why do you need a Shareholders Agreement in New Zealand? Consider a Shareholders Agreement as the bedrock of a business structure ; without it, the business’ foundation becomes precarious. It ensures shareholders are treated fairly and their rights are protected, whether from internal conflicts to ambiguity regarding share valuation and shareholder roles. Essentially, it serves as a proactive measure to avoid potential crises and gives structured processes to stop disagreements escalating and avoid complications. 
A woman in a blue dress and black jacket is standing in front of a building.

Rosa Bellolio Roth: Leading the Future of Weston Ward & Lascelles

18 Apr, 2024
Weston Ward & Lascelles, a law firm with a storied history spanning 140 years in Christchurch, is thrilled to announce a significant milestone in its leadership evolution. Rosa Bellolio Roth, previously a senior associate and a vital member of the litigation team, has been promoted to Director, marking a new chapter in the firm’s legacy. Rosa’s journey with Weston Ward & Lascelles has been marked by dedication, expertise, and a deep commitment to justice, particularly within the realm of family law. Her promotion comes at a pivotal time as the current partners, seasoned veterans nearing retirement, are passing the torch to ensure the firm’s continued growth and excellence. In her new role, Rosa will maintain her influential position within the litigation team while embracing increased responsibilities. This transition is part of a strategic plan, with one of the current partners beginning to scale back her hours to mentor Rosa in taking the helm of the litigation team. Rosa's vision extends beyond maintaining the status quo. She is committed to expanding the business, with a special focus on strengthening the family law team. This initiative has already seen the addition of a new PA and a law graduate, with plans to welcome a junior solicitor in early 2024, reinforcing the team’s capacity to deliver top-tier legal advice and access to justice for their clients.
Share by: