Dubai: If you are planning to get married in the UAE, did you know that the Civil Personal Status Law for non-Muslims provides provisions for a prenuptial agreement?
A prenuptial agreement or ‘prenup’ is a form of contract entered into by couples before they get married, outlining the rights, responsibilities, and division of assets including debts, if any, in case of divorce, separation, or death of any one of the spouses.
Navandeep Matta, senior associate at Kochhar & Co. Legal Consultants in Dubai, said that the new Civil Personal Status Law for Non-Muslims – Federal Decree Law No. 41 of 2022 – refers to ‘conditions’ of the marriage contract, which suggest that couples can reach a prenuptial agreement before they get married under the law.
He referred to Article 6 (2) of the law, which states: “Marriage shall take place by filling out the form prepared to this effect by both the spouses before the certification judge. Spouses may agree on conditions of the contract, and the contract shall, as between them, prevail in terms of rights of the spouses during the marriage and post-divorce rights, especially the joint custody of Children.
“In view of this provision, the law does suggest that the spouses may enter into a prenuptial agreement before getting married. It is highly advisable that High-Net-Worth Individuals (HNIs) speak to their legal advisors in drafting the prenuptial agreement before they get married,” he said.
It is highly advisable that High-Net-Worth Individuals (HNIs) speak to their legal advisors in drafting the prenuptial agreement before they get married.
– Navandeep Matta, senior associate at Kochhar & Co. Legal Consultants in Dubai
What should a prenuptial agreement include?
Rajiv Suri, senior associate at Alsuwaidi and company advocates and legal consultants, also spoke to Gulf News about how the new law does allow couples to get into a prenuptial agreement and how such an agreement may benefit the two individuals.
“It is essential to carefully draft a prenuptial agreement based on the specific needs and circumstances of the couple, taking into account the tangible assets that each individual brings to the marriage. [The agreement] should clearly outline the terms and conditions regarding asset division, spousal support or alimony in case of divorce or death,” he said.
While Suri clarified that the specific terms of the agreement would depend on individual cases and circumstances, he provided examples of some of the key areas that couples should consider when drafting the agreement:
1. It should clearly define the assets and debts (if any) each party is bringing into the marriage. This would help in determining how those assets and debts will be divided in case of divorce or separation.
2. It should clearly define as to whether any property, which may be acquired during the course of marriage, should be jointly held, and how the division of any such property will be effected which may also include any financial investments made jointly and/or individually during the course of such a marriage.
3. It should clearly address the issue of any alimony, including any pre-determined amount, and its duration of payment.
4. If there are any specific inheritance concerns, such as protecting family assets or ensuring children from previous relationships receive their rightful inheritance, it is important to address these as well in the prenup to safeguard those interests.
5. It can specify how financial responsibilities will be shared during the marriage, including how joint expenses will be managed, or who will be responsible for payment of specific bills, etc.
6. If one or both partners own a business, it is crucial to address how the business will be valued, divided, or protected in the event of divorce or separation.
7. One can also consider including provisions related to estate planning, such as wills, trusts, and other instruments that outline how assets will be distributed upon death.
8. It can lay down the appropriate jurisdiction’s laws, which will govern the prenuptial agreement and at the same time, establish the procedures for resolving disputes such as arbitration or mediation. This would clarify the legal framework for the agreement and provides guidance for potential conflicts.
“By covering these aspects in a prenuptial agreement, couples can have a comprehensive understanding of their financial rights and obligations, protect their individual interests, and potentially reduce conflicts and uncertainties in the unfortunate event of divorce, separation, or death,” he said.
By covering these aspects in a prenuptial agreement, couples can have a comprehensive understanding of their financial rights and obligations, protect their individual interests, and potentially reduce conflicts and uncertainties in the unfortunate event of divorce, separation, or death.
– Rajiv Suri, senior associate at Alsuwaidi and company advocates and legal consultants
Why should you get into a prenuptial agreement?
Suri also provided the following reasons why couples should enter into a prenuptial agreement:
1. It allows couples to protect their individual assets acquired before the marriage. It specifies how such assets will be divided in case of divorce or separation, ensuring that each party retains what they brought into the marriage.
2. It clearly outlines the financial expectations including how they will handle joint finances, debt, and financial responsibilities during the marriage.
3. It can help avoid lengthy and costly legal battles in the unfortunate event of divorce or separation as it can provide for a pre-determined framework for assets bifurcation.
4. In case individuals were to inherit family wealth or expect significant future inheritances, a prenup can help ensure that those assets remain within the family.
5. It can also set out the terms and limits of spousal support or alimony or maintenance in the event of divorce or separation.
6. It can also help safeguard the interest of children from previous relationships, if any, of the couples involved in marriage by clearly outlining their financial and property interests.
No prenup: What happens in case the marriage ends?
Matta spoke about how the Civil Personal Status Law for Non-Muslims also stipulates what would happen in the absence of such an agreement.
Article 7 of the law covers the conditions related to a ‘no-fault divorce’, in which a unilateral divorce may be requested and granted if either spouse expresses in the court his or her desire to separate and terminate the marriage, without any need to justify their reason or to demonstrate harm or put the blame on the other party.
“In such a scenario, a divorced woman can file a separate case for Divorcee’s Alimony under Article 9 of the law,” Matta said.
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