Public conversations around prenuptial agreements have shifted significantly in recent years. Once viewed as something reserved for the wealthy or high-profile couples, prenups are now increasingly discussed by everyday Canadians navigating debt, second marriages, and long-term financial planning. In a NewsTalk 1010 interview, Shulman & Partners LLP shared insight into why prenuptial and cohabitation agreements are becoming more common, particularly as more couples enter relationships with existing financial obligations.
The discussion explored how debt, assets, business interests, and later-in-life relationships can complicate separations if expectations are not clearly defined from the outset. With nearly half of Canadian marriages ending in divorce and many couples entering relationships with student loans, mortgages, or credit card debt, the interview highlighted why proactive financial planning can play a meaningful role in reducing conflict and uncertainty if a relationship breaks down.
During the interview, it was explained that prenuptial agreements, known in Canada as marriage contracts, are increasingly used by couples who want clarity around how assets and debts will be treated if a relationship ends. This shift reflects changing realities, including rising household debt and the fact that many people now enter marriages or common-law relationships with financial obligations already in place.
They noted that debt is one of the most common reasons couples seek marriage contracts. When one or both partners bring debt into a relationship, a prenup can specify that those liabilities remain the responsibility of the individual who incurred them. In the same way that assets can be excluded from division, debts can also be carved out, providing reassurance to both parties.
The conversation also addressed couples who choose to live together without marrying. In these situations, a cohabitation agreement can serve a similar purpose, outlining how assets, debts, and financial responsibilities will be handled during the relationship and in the event of separation. If the couple later marries, that agreement can typically be converted into a marriage contract.
A main point of emphasis was that these agreements are particularly common among older couples entering second marriages. Often referred to as grey divorces, later-in-life separations raise unique concerns, including protecting assets preserved from a first divorce and safeguarding children’s future inheritances. Many individuals want to ensure that wealth accumulated earlier in life does not unintentionally transfer to a new partner at the expense of their children.
Another key takeaway from the interview was the importance of enforceability. Marriage contracts can be challenged if there is incomplete financial disclosure, lack of understanding, or evidence of pressure or duress. For this reason, it was stressed that agreements should be negotiated well in advance of a wedding and with full transparency from both parties. Rushed agreements, particularly those signed shortly before a wedding, are more vulnerable to being set aside later.
Finally, the interview addressed the lingering stigma around prenups. While some view them as unromantic or a sign of distrust, the firm framed them as a practical planning tool. Rather than predicting failure, a thoughtfully prepared agreement can reduce uncertainty, clarify expectations, and minimize conflict if circumstances change.
Listen to the NewsTalk 1010 segment here.
This media appearance is part of Shulman & Partners LLP’s ongoing contributions to Canadian family law discussions. Explore more of our media features in our In the Media archive.