Lawyers
Same-sex couples' agreement
It is generally believed that a financial agreement between spouses is very important to ensure financial security in the event of a separation. How do you get into a relationship and how do you get out of it?
This is especially true for same-sex couples, since in such cases the financial agreement has two additional benefits:
- In other words, general recognition of the relationship between same-sex partners through public recognition of the marriage.
- In recognition of rights and benefits by state institutions (such as the situation regarding publically known couples).
By Igal Mor, Adv. & Notary
Accuracy in Legal Advice. Excellence in legal support.
What does signing a financial agreement entail?
Financial agreements are legal instruments designed to help couples who are about to get married determine how property will be divided between them in the event of a divorce. Through the agreement, it is possible to avoid ahead of time legal battles over the division of property and money during the divorce process, which is very common in separation and dissolution cases.
Further, a financial agreement protects the private finances of the couple against various creditors, and preserves the ownership rights of each spouse over property acquired prior to the marriage. In today’s society, a financial agreement has become a very common thing before marriage, and many couples choose to sign it in order to avoid disputes later and ensure a fair distribution of assets.
Additionally, the financial agreement can address issues beyond the division of property and assets, such as alimony payments (and the advantages and disadvantages associated with them). Consequently, if they decide to divorce in the future, they can decide in advance what will be the division of property and their conduct.
Due to its importance and its impact on the relationship between spouses during divorce, the financial agreement must be approved by a notary or a court in order to become legally binding. If the couple signed the agreement before they were married, they can choose whom to turn to for validity, whereas if they signed it after they were married, they must submit it to the family court.
In Israel, the status of same-sex couples
According to Israeli law, same-sex couples cannot legally marry, and they are not recognized as married. However, spouses who have married in a civil ceremony in a foreign country are also considered married in Israel and may be registered with the Ministry of the Interior as a married couple. Generally, in these cases, the same rules that apply to married couples in relation to a financial agreement apply. In contrast, same-sex couples who are not married are considered to be known to the public, and the family court is not required to approve the financial agreement between them, as it does for married couples.
Previously, the Financial Relations Law between spouses, 1973-1973 stated that a court could only approve financial agreements between married couples. Consequently, same-sex couples were prevented from entering into financial agreements that would be approved by a court if they were not married in a civil ceremony abroad.
Although the ruling has long recognized same-sex couples as known to the public, the court began to approve financial agreements between same-sex couples. In a ruling regarding a singer, Judge Goldberg stated the following regarding the comparison of the status of celebrities with that of married couples:
“The purpose of the two pieces of legislation – both the Financial Relations Law and the Family Court Law – is not to create a distinction between married and unmarried spouses, but rather to enable the parties to reach an agreement that complies with judicial standards and is more stable than the agreement that has not been approved. There is value in recognizing the existence of the finality of the parties’ opinions regarding the financial arrangements between them and the nature of their relationship, but it is clear that the value does not arise from their being married, but from the fact that they are living together.. Judge Dorner stated in the same matter that “the grant of authority to approve financial agreements between spouses known to the public is not intended to harm marriage as a legal institution or to compare the status of those known to the public with that of married couples.”
The case of K.C. M”. According to Judge Yehuda Granit, who ruled in the Family Court in 2004, Judge Dorner’s words are applicable to same-sex couples as well. “I do not see any obstacle to applying Judge Dorner’s words to same-sex couples since there is nothing in the approval of an agreement between them that would harm the institution of marriage.” As part of his ruling, Judge Granit cited a fundamental law: human dignity and freedom, and stated that it must be prevented in financial agreements that discriminate against same-sex couples.
The importance of same-sex couples to draft a financial agreement
It is important to keep in mind that when same-sex couples sign a financial agreement, they are entitled to additional benefits that are primarily applicable to them. Having the court recognize the agreement allows the marriage to be publicly acknowledged, which is not a given for same-sex couples in Israel today. In other words, even though they are not married, the agreement constitutes a kind of legal recognition of their relationship by the legal system. Furthermore, the recognition of the financial agreement allows the spouses to receive rights and benefits granted to spouses who are publicly known.
A lawyer should be consulted when formulating and signing a financial agreement, as mentioned previously. The purpose of this is to ensure that the couple understands the content of the agreement, agrees on its details, and wishes to ratify it. Further, it is preferable to use a lawyer in order to submit the financial agreement to the court for approval. A lawyer will be able to assist, speed up, and facilitate the process. With the assistance of a lawyer, a more accurate and precise wording will be drafted that will reflect the wishes and needs of both spouses in the most effective manner, thereby preventing disputes and conflicts in the future.
In Conclusion
Accurate and specific legal advice.
There are several reasons why a financial agreement is very important for a couple. First, it has the power to prevent an economic dispute between the parties in the event of a separation and thus streamline the divorce process and facilitate the couple during this not-so-simple period of family unit dissolution. Second, a prenuptial agreement provides legal protection against creditors without whom both spouses could repay the creditors. Third, a prenuptial agreement confers property protection on assets acquired before marriage, and this has great significance as far as valuable assets such as an apartment are concerned.
Thus, if you are in need of financial agreements, we recommend that you contact us so that we can assist you in drafting a customized financial agreement, one that will reflect your wishes and needs as well as provide you with optimal legal protection if the time comes to activate it.
Having over twenty years’ experience in family law, the Mor & Co. law firm’s family law department is one of the most experienced departments in the firm. We provide comprehensive, personal, and professional service to all of our clients. In addition to advocating and believing in equal rights and human dignity, the firm works to ensure that all of its clients’ legal rights are fully protected. Having years of experience in family law, we are dedicated to doing our best and making our expertise available to our clients, all while maintaining and being careful in all matters related to the legal process and respecting your interests.
