WHY DO YOU NEED A MARRIAGE CONTRACT?
A marriage contract protects you against the debts of your spouse.
Ownership of matrimonial property can be structured in a way which prevents the matrimonial assets being attached by creditors.
WHAT IS THE ACCRUAL SYSTEM?
The accrual system allows you to protect what wealth you bring into the marriage but provides for the sharing of the capital growth of the marriage.
It protects the spouse who makes a career sacrifice.
It protects the spouse who puts assets in the name of the other spouse for the purposes of protecting such assets against creditors.
WHAT DO YOU DO TO ENTER INTO A MARRIAGE CONTRACT?
You should contact an attorney BEFORE you get married.
Contracts signed after you have already married require an application to the High Court and the approval of your creditors and can be extremely expensive.
WHAT IS THE COST OF A MARRIAGE CONTRACT?
The fees vary from firm to firm but range from R700 R1500.00.
Kuilman Mundell and Arlow Attorneys charge a standard all inclusive fee
of R1235-00 made up as follows :
Fee 1000,00
VAT 140,00
Deeds Office registration fee 95,00
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R1235,00
________
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WHAT HAPPENS IF YOU DO NOT ENTER INTO A MARRIAGE CONTRACT?
If you do not enter into a contract you will be married in community of property.
All pre-marriage assets will be shared and at the risk of matrimonial assets being attached by creditors for a spouse's debt.
HOW DO YOU VALUE YOUR ESTATE FOR THE PURPOSES OF THE ACCRUAL?
You need to establish the net value of :
a) immovable assets (property)
b) movable assets (motor-vehicles, household effects etc)
c) investments (cash, shares, surrender value of policies etc.)
ARE THERE ANY OTHER LEGAL ISSUES TO BE CONSIDERED?
You and your spouse should draft a will.
You may need to change beneficiaries on insurance policies.
Information courtesy of Kuilman Mundell and Arlow Attorneys. In addition to providing marriage contracts, Kuilman Mundell and Arlow specialise in conveyancing / property matters, commercial matters, town planning matters, the drafting of wills and trusts and the administration of deceased estates. They also provide advise on labour law matters and litigation in association with Matthew Kerr-Phillips.
Should you have any queries please do not hesitate to contact Bernadette or Patrick at 011 465-4151 or email
bernadette@kmattorneys.co.za
