As soon as the parties sign an EPI, they have entered into a binding contract that is not renegotiated at the time of the divorce. The main agreements and relevant sections of the EPI are included in the final divorce settlement (also known as the Divorce Decree). The signed and notarized PPE is filed with the court, along with all other documents required for divorce. Essentially, parties who have a signed PPE during their separation period work under a contract; Once the same parties are divorced, they work under both a contract and a court decision (the final divorce decision). It is therefore important that real estate agreements are developed in the clearest and most concise way possible in order to avoid any misunderstandings. This is another reason why hiring a lawyer to prepare and review the real estate transaction contract is often a good idea. As mentioned above, real estate settlement contracts are legally binding documents. As a result, both spouses must comply with the terms of the agreement. As a general rule, spouses are free to include in the settlement agreement all conditions they deem appropriate, provided they comply. Virginia law states that most property and debt acquired after separation must be considered separate (non-marriage) property. Judges cannot transfer separate property to the other spouse. It is therefore generally preferable for the parties to clarify what they have at the time of separation with respect to their assets and debts.
To avoid often confusing and sometimes very distressing situations later on, parties are well advised as soon as they have decided to divorce to make an accounting of their assets and debts, with values and balances. Parties should also be aware that courts are prohibited from sharing and distributing separate assets. Parties are free to do what they want. A common point of disagreement with respect to transaction agreements is the fact that one spouse conceals the presence of assets from the other spouse. Although a spouse is generally allowed to manage assets on his own and as he or she sees fit (for example. B investments or other financial improvements), real estate comparison agreements require that the spouse acting independently inform at least the other spouse of the existence of such assets. Under Rhode Island law, PPEs are considered a contract between outgoing spouses. This means that the court may not be able to change parts of the agreement, including those relating to the distribution of support and property. This is why it is important to be thorough in creating an PPE, as any omissions or vague languages can create legal disputes in the future.