• Antenuptial Contract (an “ANC”)

Antenuptial Contract (an “ANC”)

R290

Contract Summary:
Before a husband and wife get married, they need to decide how their assets and liabilities will be regulated during the marriage. There are three options:
  1. Out of community of property with accrual: the assets and liabilities of the spouses are kept separate during the marriage. At the end of the marriage, each spouse is entitled to 50% of the growth in the assets of the other spouse. The result is that the growth of all of the assets is shared equally at the end of the marriage. This is the most commonly selected option. If you want to choose this form of property regime, then you have to sign an antenuptial contract (commonly referred to as an “ANC”) before you get married. Our ANC is customised to your particular circumstances and allows you to select the exact terms that will be included in your ANC.
  2. Out of community of property without accrual: the assets and liabilities of the spouses are kept separate during the marriage. Because there is no accrual, neither spouse is entitled to any share in the growth of the other spouse’s assets at the end of the marriage. You will also need to sign an ANC if you want this form of matrimonial property regime to apply. Our ANC caters comprehensively for this choice.
  3. In community of property: the assets and liabilities of the two spouses are joined together. At the end of the marriage, the joined assets and liabilities (including those that the spouses had before the marriage) are split equally between the spouses. The choice exposes the assets of both spouses to claims by their creditors. This option will apply if no ANC is signed before the marriage.
Full details of the contract:
The drafting process utilized for the antenuptial contract includes the following capabilities:
  • Complete details of each of the future spouses are inserted, including full names, identity or passport numbers and addresses.
  • The identity of the notary public and his/her practice can also be included.
  • The contract provides for a full separation of the spouses’ estates so as to offer maximum protection from creditors.
  • Detailed provisions pertaining to the inclusion of the accrual system are embodied in the contract, including the calculation of the accrual and its application in circumstances of death, insolvency and divorce.
  • The spouses are given the opportunity to specify the commencement values of their estates for the purposes of the future application of the accrual system.
  • Comprehensive provisions allowing for the exclusion of one or more assets from the application of the accrual system may also be included.
  • For the purposes of ensuring a fair division of the accrual, restrictions can be placed on the level of third-party donations that a spouse may make out of his/her estate without the consent of the other spouse. These provisions include mechanisms for inflationary adjustments.
  • The contract includes alternative dispute resolution mechanisms and detailed provisions designed to minimize any potential for disputes.
The contents and terms of each antenuptial contract are dependent on the responses given during the online interview process. As a result, the above list constitutes a broad overview of the issues typically addressed in the contract and is not intended to be exhaustive.