Landmark decision on prenups is a huge step forward

Today’s Supreme Court ruling in the case of Radmacher v Granatino is seen as a huge step forward for pre-nuptial agreements in the UK.

Moore Blatch matrimonial expert, Jane Thomas says that today’s decision confirms that if a pre-nuptial agreement is properly drafted and fair, “decisive weight” will now be given to it in the event of a divorce.

“Today’s outcome is likely to see an increased popularity in pre-nuptial agreements, especially where there is a considerable difference between the parties’ wealth.

“A pre-nuptial agreement will now allow people to have a choice over their future and could lead to more certainty and control of financial settlements,” she said.

The ruling represents a significant step towards pre-nuptial contracts becoming legally enforceable. Prior to today the courts did not need to give consideration to a pre or post-nuptial agreement when concluding financial settlements between couples.

After two previous judgments, Mr Granatino finally received the news that he would not be able to make any claims against his wife’s £100 million fortune and will receive a settlement of £1 million.

A French national, Mr Granatino married Katrin Radmacher, a German national and heiress.  Before marrying they entered into a pre-nuptial agreement which was signed in Germany, where they are legally binding, but the couple married in England. 

When the marriage broke down, the husband sought financial settlement through the UK courts despite having signed the pre-nuptial agreement.  Initially he was awarded more than he had agreed to in the pre-nuptial agreement, but the wife appealed. The Judge in the Court of Appeal agreed that the pre-nuptial agreement should have been given decisive weight, a decision which has been confirmed again today.

Jane continues: “Whilst today’s decision stops short of making pre-nuptial agreements legally binding, the ruling provides important clarity as to the circumstances when these agreements are enforceable.

“If couples now decide to enter into an agreement and consider both their current and future circumstances and the agreement is found to be fair, a prenup will be recognised in the UK,” she concludes.