What are cohabitation agreements?
Many unmarried couples often find that they are not entitled to the finances and property which they expected. This is because unmarried couples who are living together do not have the same legal rights as married couples.
A cohabitation agreement is one way to try and avoid any problems.
What is included in a cohabitation agreement?
A cohabitation agreement sets out how you will deal with any financial or property issues during the relationship and in the event of a separation. It is sometimes referred to as a living together agreement.
The agreement can also help to avoid any misunderstanding during and after the relationship by clearly stating what you both agree should happen.
A cohabitation agreement can include things such as:
- How you both contribute to and deal with household and other bills;
- How you both contribute to and deal with debts;
- How you both contribute to and deal with mortgage payments or rent payments;
- Wills and inheritance;
- Nominating pension beneficiaries;
- Who has contributed to a property deposit when purchasing a house;
- How assets would be divided on separation – things like cars, furniture, etc.
- How joint bank accounts will be dealt with;
- What would happen to your pets if you separated.
The agreement can be tailor made to suit your circumstances.
Is a cohabitation agreement legally binding?
The law in England states that cohabitation agreements are not currently legally binding. However, whilst this is the case, a cohabitation agreement is likely to be upheld by the court if both of you have been honest and open about your finances and assets and the agreement has been prepared in the proper manner.
If you would like to discuss an issue with one of our family law solicitors, please contact us on 0161 475 7676 or via our contact form and one of our specialist team will be happy to advise you.