This is the simplest marriage agreement, but perhaps not the fairest or simplest. In the “without provision” option, all property acquired or accumulated before the marriage belongs to the person who acquired or accumulated it, to the person who acquired it. This also applies to debt and liabilities, and each party may, in its will, enter into any agreement it wishes with regard to the assignment of its estate. If you do not have an ANC, you will automatically be married in a property group. This means that there is an inheritance between a husband and a wife. Everything is shared equally between the spouses, including debts. However, in the case of a marriage contract, the estates of each spouse remain separate. The difference results from adding the provisioning system. Couples who do not wish to apply the provisions regime to their marriage must indicate this in their marriage contract. This results in a separation of the property of the two spouses.
Contact our lawyers in Johannesburg for competent legal advice and assistance with your marriage contract. The concept of provision is intended to harmonize the conditions of competition for the dissolution of marriage, so that if one of the parties was a housewife, she is entitled to the succession of the other parties without being held liable for the debt of the other parties. Simply put, the party that acquired the most during the marriage must share part of the fortune with the other party. Only property acquired during the marriage is part of accrual accounting. None of the parties should therefore leave the marriage with less than the one with whom they entered the marriage, and everything that was built during the marriage must be shared. For couples who opt for the provision system, it is a question of “sharing our wealth, but not our debt”. An essential advantage of marriage from the community of property without birth is that the partners have no responsibility for the debts of the other. This can prove to be a blessing if the marriage breaks down with a partner who is about to go bankrupt or has a serious delay with different accounts. The other party, which may have impeccable solvency, is able to maintain its good financial capacity. This can be particularly striking if the wife has to take care of the children and the burden of paying her husband`s debts, if distributed equitably, would cause serious hardship to the family. In this case, the absence of provision can be beneficial.
In addition, each party can manage its own estate as it sees fit; If a party owns real estate and wishes to sell it, they are free to do so without consent. 2 The system of provisions provided for in Chapter 1 of the Matrimonial Property Act No 88 of 1984 (“the Act”) does not apply to their intended marriage; The decision to marry in community of property or with a marriage contract determines who receives what in the event of death or divorce. The wrong decision can lead to great emotional distress, delays and frustration. This is an important issue that must be carefully considered by all premutils. A marriage contract sets out the rules and conditions governing the division of property, both during the marriage and at the time of its dissolution. THE NSAs do not apply to marriages in community of property, because in this type of matrimonial regime, this means that the parties group their respective estates together and become a common succession. In this scenario, there is no change in the ownership of previously owned assets, as described above, but everything that was acquired after marriage is considered part of the common estate and is distributed equitably in the event of divorce. It is important to note that this includes any increase in the net worth of each person`s estate….