Prenuptial Agreement Set Aside as Unfair (KA v MA 2018)
In a recently reported case, a wife successfully argued that she should not be held to the terms of a pre-nuptial agreement which limited her entitlement to c£1.6m. Instead, she was awarded:-
- A housing fund of £1.35m; and
- Capitalised spousal maintenance of £1.6m
The parties had met in 2000 and married in 2008. By then they had one four-year-old child together and the wife had given up her career to care for him. They were living together in the husband’s pre-owned substantial property in Berkshire and his business interests were worth in the region of £30m.
The husband’s case was that the wife should be bound by the terms of the pre-nuptial agreement. The wife’s case was that the pre-nuptial agreement was unfair and failed to meet her reasonable needs.
The Judge found that the terms of the pre-nuptial agreement were unfair and should not be upheld in circumstances where:-
- The parties had enjoyed a budget of £1m a year during the marriage, of which up to £250,000 was spent on holidays.
- The husband would continue to be able to draw £1.5m net from the business each year.
- The family home was worth just over £3.5m.
KA v MA  EWHC 499 (Fam)