When the couple reaches an agreement on issues like spousal support, child custody, and support and property on separation, the marital settlement agreement helps to settle the deal. It is crucial to mutually settle to avoid future disputes and chaos before the divorce is finalized.
So, how does this agreement work? Is it imperative to file for this agreement? How can a party create the agreement? Let’s clear these and more doubts about the marital settlement agreement:
What Is a Marital Settlement Agreement?
A couple going through the divorce process uses a marital settlement agreement. Here, the two parties involved are who will be filing for or who have already filed for divorce. The purpose is to provide a fair split of assets and debts of the couple.
The marital settlement agreement is state-specific, and the parties involved shall comply with the laws of the state in which the divorce is taking place. The agreement comes into effect when both the parties sign the document and the judge overseeing the divorce approves it.
What Are the Benefits of Having a Marital Settlement Agreement?
It can’t be denied that this agreement helps a couple to make the divorce process faster because they can provide proof of how they will handle their custody, support, property, and liabilities shared by the couple.
It saves both parties from future disputes, misunderstandings, or fraud and provides a clear picture of the fair distribution of the rewards and responsibilities. Moreover, this agreement also provides settlement of child custody and support and the couple.
Having a marital settlement agreement ensures that the future of the child is not affected so even if both the parties suggest for no support or a small amount for the child, the judge will decide the fair deal.
When the parties hire a lawyer for a collaborative divorce, this legal document serves as proof of what they like to do with liabilities and assets. This way the parties can negotiate their settlement with mutual consent outside of court.
What Are Included in a Marital Settlement Agreement?
While, the parties can find the most used terms in divorce from a marital settlement agreement sample. The couple needs to look for different templates to find what suits them to create their agreement accurately.
Here are some terms coming up most frequently in the marital settlement agreement:
The agreement should include the date of marriage and separation and whether they are living apart or together currently. Moreover, under irreconcilable circumstances, the couple, they have filed for divorce should also be mentioned.
Division of Property
It includes that from the effective date of this agreement, the parties will enter into ownership of certain properties, which have fallen under their demand while dividing the assets, and the other partner will no longer have any rights on those assets.
Division of Liabilities
Both parties need to take responsibility for the debts falling under their name. The parties shall pay these debts before the due date. In case of any misconduct done by one party, the other party will be considered harmless from such debts.
The details of the child are provided and whether he/she will have a mother, father or joint custody shall be mentioned. Child support and visitation rights shall also be described in detail.
This compromise agreement between husband and wife includes that the parties shall file the next state and federal tax returns separately. The parties shall provide reasonable assistance to each other to file complex and accurate tax returns.
After the agreement has been signed, the parties can live as per their own will without any interference from other parties. Both parties are free to take their personal decisions.
It is necessary for a divorced couple to create the agreement as per their terms by referring to marital settlement agreement and get it reviewed by a lawyer for enforceability.
If you are going through the divorce process and looking for a marital settlement agreement, CocoSign can be your perfect choice. You can get a free sample of any agreement you need.
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