Divorce Without a Prenup: What to Learn from Bennifer

The importance of prenuptial agreements has become a major topic of discussion in celebrity and entertainment news, particularly highlighted by reports surrounding Jennifer Lopez and Ben Affleck's relationship. Near the end of August 2024, Lopez filed for divorce from Affleck, just two years after their Georgia wedding.

Media outlets have sparked conversations about financial planning in high-profile marriages after reports emerged suggesting the couple may not have had a prenuptial agreement in place. The discussion brings attention to how even experienced celebrities, who have navigated previous marriages and substantial assets, sometimes approach matrimonial financial planning. Both Lopez and Affleck brought significant individual wealth to their union, with Lopez's empire including her music, film, and beauty businesses, while Affleck's portfolio spans his extensive acting and directing career.

Reality television has further amplified conversations around prenuptial agreements, with a Love Is Blind UK couple disagreeing on whether to have a prenuptial agreement. These shows should work to normalize conversations about prenups, showing that they're not just for celebrities but can be valuable tools for any couple seeking to protect their individual assets and establish clear financial expectations.

Many celebrity divorces have highlighted the importance of prenuptial agreements, with the splits of Kelly Clarkson and Brandon Blackstock and Kim Kardashian and Kanye West being notable examples. These cases demonstrated how complex property division can become without clear prenuptial terms, especially when dealing with intellectual property rights, business holdings, and future earnings.

In this blog, we aim to discuss why prenups are such a big deal in divorce cases. We also discuss how having a marital agreement can help offer you peace of mind in the now and in the event of a divorce.

No Prenup? No Wealth Protection.

Jennifer Lopez has an estimated net worth in the hundreds of millions from her music, acting, and business ventures, while Ben Affleck has amassed significant wealth through his acting, directing, and producing career. Their marriage in 2022 represented the merging of two substantial entertainment empires.

While people should have a prenup regardless of their current wealth, it is even more important in cases involving couples with high-assets and high-net-worths.

A prenuptial agreement serves as a vital financial planning tool that can protect both partners' assets and earnings before and during marriage. This legal document allows couples to clearly outline how their wealth will be handled in the event of a divorce, including the preservation of existing assets, future earnings, business interests, and inherited property.

For high-net-worth individuals or business owners, a prenup can safeguard their professional ventures and intellectual property rights from potential division. The agreement can also protect future income streams, such as:

• Royalties
• Investment returns
• Business profits that may be generated during the marriage

Lopez filed in California, which is a community property state, which means that earnings and assets acquired during the marriage equally belong to both spouses and are subject to equal division. While Pennsylvania is an equitable distribution state, couples without prenups can still expect their marital assets to be divided, not evenly but fairly. When couples cannot agree on the terms of their property settlement agreements, the court considers a range of factors like each party’s debts and income, the length of the marriage, and the ability of each party to support themselves.

The Importance of Prenups in Second or Subsequent Marriage

Both Lopez and Affleck have children from their previous marriage, and kids are a key factor in encouraging couples to have a prenup. These agreements can help ensure that children from prior marriages maintain their inheritance rights and financial security, protecting assets that parents specifically want to preserve for their children's futures. Without such protection, the division of assets in a potential divorce could significantly impact the financial legacy intended for existing children, potentially reducing their inheritance or complicating the transfer of family wealth.

Marital agreements can also be important in second marriages for the following reasons:

• Greater number of accumulated assets: When you marry again, you may have built up even more wealth and assets like retirement accounts, investments, and trust assets.
• Other financial obligations: If you have existing alimony payments, child support, and other financial entanglements, you can avoid placing other undue burdens on yourself in the event of a divorce using a prenup.

Other Concerns with the Lopez-Affleck Divorce with No Prenup

Bennifer put their marital home on the market during the summer, and Affleck purchased a new home, which fueled rumors that the couple was split. Without a prenup, it is not advisable to buy, sell, or transfer ownership of assets while a divorce is pending or looming.

Another concern is that alimony can be left open as a possibility for either party. Lopez’s petition states she does not wish to receive or pay alimony. However, Ben may have different opinions, as there is no prenup; he can ask for alimony (if he is the lower-earning party).

No Prenup? Filing Uncontested Can Involve More Steps.

While sometimes people challenge a prenup’s validity or have other issues arise, in many cases, having a prenup can make filing an uncontested divorce petition so much easier. Without such an agreement, you will have negotiated the terms of the divorce with your spouse in the present day, when tensions and emotions may be running high. It is not impossible to do, but imagine how much quicker and stress-free your divorce can be with a prenuptial agreement.