Cohabitation Agreements - Go Legal Without Marriage

Cohabitation agreement is like a prenuptial agreement for a couple who wants to live together before getting married. This agreement is a legal contract which lends recognition to a relationship and protects the personal property of both the parties, in case of a split, Such a couple may be treated like a married couple, such as when applying for a mortgage or working out child support. However, in some other areas, such as property rights, pensions and inheritance, they are treated differently.

Why Do We Need Cohabitation Agreements?

Many of you enter a live-in relationship and do not realize the importance of the many factors associated to it. Even if you are not married, it still makes sense to draw a contract which protects your interests, in case the relationship breaks down. In this understanding, you can specify the exact amount of maintenance and child support will be paid. A distribution of assets, whether to divide in an equal share or in a certain proportion, is worked out. Once all these factors are determined, the bond between the partners goes on, without any legal apprehensions, later on.

Cohabitation agreements are very important if you are planning to live together, especially with shared financial assets. It may become difficult to decide upon who gets what, in the event of a break up. So, it is better to have a signed contract that specifies the distribution of assets.

A cohabitation agreement has to be made in writing to have any importance in the court of law. All clauses have to be specific. If you intend to pay your partner a certain amount as maintenance, you will have to mention where you will get that money from. Any ambiguity in the contract will render it -"void for uncertainty". Make sure that legal advice is sought for, before entering into any such deal. That would prevent you from being taken for a ride, and the loopholes, if any, could be conveniently avoided.

The wedding law in most places does not recognize a cohabitation relationship, unless an official arrangement has been agreed upon. This is another reason why cohabitation agreements are important. The partners can achieve the status of being family members to each other. On the basis of this settlement, the property and physical assets can be willed to the other partner, in case of one's death.

There are a few advantages of being in a cohabitation relationship, over marriage. A marriage license does not need to be applied for. A live-in relationship can commence, whenever you wish. No change in the name of any partner is required, and the maiden name is retained and recognized, officially.

A cohabitation agreement contains documentation for a couple who wants to live together, in order to protect themselves from unnecessary cost and litigation should their association breaks down. This agreement is intended to bind both the partners.