A prenuptial agreement is a contract two individuals create before marrying to define financial rights, protect assets, and plan for the possibility of divorce or death. Because the laws governing these agreements are state-specific, this article explains how prenuptial agreements work in Colorado.
What is a Colorado Prenuptial Agreement?
In Colorado, a prenuptial agreement, legally known as a “premarital agreement,” is a contract allowing a couple to customize their financial future outside of the state’s default marital property laws. It defines how assets and debts are handled during the marriage and in the event of separation or death, specifying what is separate versus marital property and addressing spousal support (maintenance).
All premarital agreements are governed by the Colorado Uniform Premarital and Marital Agreements Act (CUPMAA). This statute, found in Colorado Revised Statutes § 14-2-301, provides the framework for creating an enforceable contract.
Permissible Subjects in a Colorado Prenuptial Agreement
Colorado law allows couples significant flexibility in their prenuptial agreement. Under the CUPMAA, parties can contract on many financial and property-related issues, including:
- The rights and obligations in the property of either or both spouses.
- The right to manage and control property, such as selling or leasing assets.
- The disposition of property upon separation, divorce, or death.
- The modification or elimination of spousal maintenance.
- The creation of a will or trust to carry out the agreement’s terms.
- Ownership rights and disposition of death benefits from life insurance policies.
- The choice of state law to govern the agreement’s interpretation.
- Any other matter that does not violate public policy or a criminal statute.
Prohibited Subjects in a Colorado Prenuptial Agreement
Colorado law prohibits certain subjects in prenuptial agreements. A primary prohibition is any provision that negatively affects a child’s right to support, as this is determined by the parents’ financial circumstances at the time of separation.
Matters of child custody and parenting time also cannot be predetermined. A court makes these decisions based on the “best interests of the child” standard during a divorce, an authority that cannot be contracted away.1Colorado.Public.Law. C.R.S. 14-10-124 – Best Interests of the Child
Finally, an agreement cannot include terms that are legally “unconscionable,” meaning they are grossly unfair or one-sided. Provisions that violate public policy, such as a clause that encourages divorce, are also unenforceable.
Legal Requirements for a Valid Colorado Prenuptial Agreement
For a Colorado prenuptial agreement to be legally binding, it must be a written document signed by both parties before the marriage.2Colorado.Public.Law. C.R.S. 14-2-306 – Formation Requirements The signatures must be obtained voluntarily, without any duress, fraud, or undue influence.
Financial transparency is also required. Each party must receive a fair and reasonable disclosure of the other’s property and financial obligations, or they must voluntarily waive this right in a signed writing.
Each party must have the opportunity to consult with their own independent legal counsel before signing. While hiring an attorney is not mandatory, the lack of this opportunity can be used to challenge the agreement’s fairness.
The agreement’s terms must not have been unconscionable when signed. A court can also review a spousal support provision later if its enforcement would cause unforeseen hardship.3Justia Law. Colorado Revised Statutes Section 14-2-309 (2024) – Enforcement
Steps to Create a Prenuptial Agreement in Colorado
The process begins with an open discussion between partners about their finances, assets, debts, and what they want the agreement to accomplish. This ensures both parties are aligned before involving attorneys.
Next, each partner should retain their own independent attorney. This step is important for demonstrating that the agreement was entered into voluntarily and that both parties understood its terms.
Attorneys will then facilitate the formal exchange of financial information, providing the required disclosure of assets and liabilities. They will negotiate and draft the final document to reflect the couple’s wishes while complying with Colorado law.
After a final review, both parties sign the agreement. This should be done well before the wedding day to avoid any appearance of duress.