Marriage contract - DO WE NEED IT?

Logically, we have! This is just for our own peace and safety!
No, of course not! Well, we don't have any such things!
So we both decided. You know, as with business now, anything can happen... I'm all for it!
Not yet, but my husband mentioned it. Well, I don't know, I felt a bit sad around my heart... but I'll have to agree.
There is not and will not be! If you don't trust each other, then there is no point in getting married!

What is all the fuss and such different opinions about? It turns out - for or against the marriage contract ! Or really the power of possessions is taking over again and wants to destroy the harmonious, loving relationship? Or against the wife contracts are only old-fashioned and prejudiced, those who do not understand the real situation and are under the power of outdated ideas?

Anyway, before starting a life together, even if the couple is not going to formalize it officially, with finances, properties related issues must be discussed - relationship specialists agree on this, the spouses themselves recognize this and unmarried couples. Everyone has their own idea, expectations and hopes for the future life together, including them the financial side. What if this idea is drastically different? Then arguments, misunderstandings, between each other can follow resentments, suspicions - and this will hardly contribute to a happy marriage.

WITH OR WITHOUT CONTRACT?

In the Republic of Latvia, the legal norms provide for two options for the regulation of matrimonial property relations - on the basis of the law and on the basis of the contract. Until the moment when the spouses conclude a marriage contract, their property the relationship is legal - this means that, according to the Civil Law, each spouse owns the property that belonged to him before the marriage, as well as his separate property acquired during the marriage. Everything else that marriage during the period the spouses acquire jointly or by one of them, but at the expense of both spouses or through the actions of the other spouse assistance, recognized as joint property of both spouses.

The spouse's separate property can be, for example, the inheritance received, also gifts or objects that good for the personal use of one spouse only. The obligation to prove the existence of separate property is, according to the law to the spouse claiming it.

The conclusion of a marriage contract allows you to change this legal procedure and clearly define what property belongs to each from spouses.

The Civil Law stipulates that the spouses of property relations can establish, transform and terminate with marriage contracts both during marriage and before marriage (in this case, the marriage contract will valid only from the moment of marriage). Specialists admit that there are even cases when a marriage contract is concluded before the divorce, when both parties' lawyers divide everything before the court, making the divorce easier and cheaper.

When concluding a marriage contract, all property of the spouses can be either divided or combined (as acquired during the marriage common property, as well as separate property).

When choosing a marriage contract for the community of all property, property that belonged to the spouse before property acquired during marriage is considered joint and indivisible. The joint property of the spouses belongs both spouses in equal shares. However, the marriage contract may also include property that the spouses have determined to belong to each individual property. For expropriation, mortgaging, or encumbrance of real estate belonging to the community of property rights made by one spouse require the consent of the other spouse. Consent of the other spouse is required also for donating movable property belonging to the community of property.

In case of divorce, this property is divided into equal parts. If one of the spouses, for example, before marriage has bought a house or an apartment, then, upon concluding a marriage contract on joint property, the second spouse after marriage is entitled to half of the household.

It is important to know that the debts of one spouse are attributed to the common property of both spouses, including that acquired before marriage. Therefore, for example, in the event that one of the spouses is unable to pay for the purchase of housing would take a mortgage loan,

the debt must be answered with the common property of both spouses.

When concluding an agreement on joint property , the spouses must agree on who will be the owner of the joint property - the community can be managed by both spouses jointly or by one of the spouses. If the marriage contract stipulates that joint property the owners are both spouses, then only the spouses can use the property, deal with it and enter into transactions on behalf of both; if the holder of joint property is one of the spouses, he has the right to handle the property and use it in his own name. Spouses have the right to change the initially established procedure during the validity of the marriage contract.

In the marriage contract determining the separation of all property, each spouse keeps what belonged to him before the marriage property, as well as during marriage one can independently acquire and use property, deal with it independently of the other spouse, because everyone is the owner of their movable and immovable property. Observing the separation of property, common property of the spouses under the Civil Law does not exist in the sense.

The marriage contract on the separation of all property of the spouses determines exactly which property belongs to which spouse. The property is immovable property, means of transport, capital shares, shares, funds, accounts, property rights or requirements. Properties acquired during the subsequent cohabitation belong to the person who purchased them. Each spouse with their own property can be handled independently of the other spouse; it can be sold, gifted, changed, encumbered with a deed and obligation rights. Each spouse is responsible for his debts and obligations only with his property. If against one spouse if debt collection is aimed at, then it can only be directed at the separate, separated property of the debtor.

The object of property separation is all the property of both spouses; this contract cannot be concluded for the property of a spouse part - an apartment, means of transport, household items and the like. Spouses property separation agreement in this case, there may be co-ownership rights to a specific property object, for example, to a residential house, a commercial enterprise, farms, however, it will not be their joint property as spouses.
If the spouses have concluded an agreement on the separation of all property, transfer of property to the management of the other spouse and consent dealing with this property can be carried out on general terms of business.

KAS JĀZINA, SLĒDZOT LAULĪBAS LĪGUMU?

• In Latvia, the marriage contract regulates only property relations of the spouses, the content of the contract cannot be contrary to family law. Since family law strictly defines the responsibilities of spouses and parents, the marriage contract cannot be contrary to the law and determine other arrangements for marital relations. However, when drawing up a marriage contract, in it can also include clauses about the obligations of the spouses after the divorce, for example, with whom the children will live, what is payable the amount of alimony. The law does not prohibit parents from reaching an agreement on material assistance in any way provision for raising children, and this does not contradict the provisions of the Law on the Protection of Children's Rights.
• The contract must be drawn up in such a way that in case of conflicts, it is impossible for any of the parties to interpret the text of the contract various.
• The marriage contract must be concluded before a sworn notary , in the presence of both spouses at the same time; it can't sign first by one of the spouses and then send it to the other for signature. Marriage contracts are mandatory must be concluded in writing.
• A marriage contract can be concluded both between Latvian citizens and between a Latvian citizen and a foreigner. If married the place of residence is Latvia, the marital property regime is regulated by the Latvian Civil Code. If the property of the spouses is located In Latvia, they are subject to Latvian law in terms of this property even if they themselves do not have a place of residence in Latvia.
• The marriage contract can be terminated or amended during the marriage, but this can only be done voluntarily by the spouses by agreement.
• In order for the marriage contract to be binding in relation to third parties, it must be entered in the Property Register of the Spouses in the register of relations, which is maintained by the Register of Enterprises in Latvia.
• The Civil Law stipulates that contracts in which the property of the spouses includes real estate must also be recorded in the land register. In addition, it must also be announced in the newspaper Latvijas Vēstnesis .

The application must be submitted to the Department of the Enterprise Register according to the place of residence of at least one spouse, for to be added:

• copy of marriage certificate;
• three copies of the marriage contract (if the property has a company, commercial companies, must be attached to each commercial company by a certified copy of the marriage contract);
• receipt for the payment of the state fee – 14.23 euros
• receipt for publication in "Latvijas Vēstnesī" - 9.25 euros

Extracts from entries in the Register of Spouse Property Relations

The company register is announced in the newspaper Latvijas Vēstnesis . Company register records information about entry in the Register of Spouses' property relations is sent to the Directorate of Road Traffic Safety, State Family Work information data processing center, Aircraft Administration, State Technical Supervision Inspection and land register departments. For immovable properties registered in the land register, the register of matrimonial property relations sends an electronic notification to the land registry for making a mark. For properties that are not registered in the land register, but which will be acquired in the future, the spouse must be asked to make the application for the regime of marital property relations, who owns the newly acquired real estate.

The draft of the marriage contract can be prepared by a sworn notary or any third party / the spouses themselves or anyone the lawyer/ and the spouses can already submit their contract draft, which is drawn up by a sworn notary in the form of a notarial deed. If if the marriage contract is prepared by a lawyer or a lawyer, then its costs depend on the individual tax of each lawyer and the complexities of the contract, but on average starting from 60.00 EUR.

A marriage contract at a sworn notary costs from EUR 80.00 (if the spouses are given a issued 3 copies - one for each spouse and one for submission to the Register of Spouses' property relations, which managed by the Register of Companies). If the transfer of property rights to any of the properties is agreed upon by the marriage contract, then the costs are higher, because a sworn notary has to prepare a confirmation request for the land registry.

The marriage contract and the costs of concluding it may vary depending on the number of lookups in the land register, in the commercial register, the number of pages of the marriage contract, also in cases where the contract draft is prepared by a sworn notary or spouses themselves. In cases of more complex marriage contracts, the consultation of a sworn lawyer may also be necessary.

It should be known that the marriage contract can also be annulled, for example, in cases where the marriage contract for the separation of property was concluded only when there is already a threat of confiscation of property or pressure from creditors. A marriage contract entered into with a purpose to avoid civil or criminal liability, is apparently fictitious, because the spouses did not want to establish the legal consequences prescribed by law, but to create a false impression about one's actual property relations. Such contracts can be considered invalid according to the Civil Law, which stipulates that if the will is expressed, it is only considered after, it has no legal consequences. Therefore, it is recommended to conclude the contract before possible problems arise.

Article information last updated in 2017.

Author of the article: LIENE PÄLĆA

Photo: BILLY LOTS