HF 5422

as introduced - 93rd Legislature (2023 - 2024) Posted on 04/25/2024 10:44am

A bill for an act
relating to marriage; modifying and updating provisions governing antenuptial
and postnuptial agreements; requiring procedural and substantive fairness; amending
Minnesota Statutes 2022, section 519.11.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

Section 1.

Minnesota Statutes 2022, section 519.11, is amended to read:

519.11 ANTENUPTIAL AND POSTNUPTIAL CONTRACTS AGREEMENTS.

Subdivision 1.

Antenuptial contract agreement.

A man and woman (a) Two individuals
of legal age may enter into an antenuptial contract or settlement agreement prior to the
solemnization of marriage which shall be valid and enforceable if (a) there is a full and fair
disclosure of the earnings and property of each party, and (b) the parties have had an
opportunity to consult with legal counsel of their own choice. An antenuptial contract or
settlement the agreement meets the procedural and substantive fairness requirements under
subdivisions 1b and 1c.

(b) An antenuptial agreement made in conformity with this section may:

(1) determine what rights each party has in the marital and nonmarital property, as those
terms are defined in section 518.003, subdivision 3b, upon a dissolution of marriage, or
legal separation or after its termination by death and;

(2) provide for spousal maintenance, as defined in section 518.003, subdivision 3a;

(3) determine the rights that each party has in the estate of the other as otherwise conferred
upon them by chapter 524; and

(4) may bar each other of all rights in the respective estates not so secured to them by
their agreement. This section shall not be construed to make invalid or unenforceable any
antenuptial agreement or settlement made and executed in conformity with this section
because the agreement or settlement covers or includes marital property, if the agreement
or settlement would be valid and enforceable without regard to this section.

(c) The marriage itself is adequate consideration for an agreement made in conformity
with this section.

(d) An agreement duly acknowledged and attested is prima facie proof of the matters
acknowledged in the agreement.

(e) If an antenuptial agreement unambiguously permits severability, the court may sever
any unenforceable provision and enforce the remaining provisions of the agreement.

Subd. 1a.

Postnuptial contract.

(a) Spouses who are legally married under the laws of
this state may enter into a postnuptial contract or settlement which is valid and enforceable
if it:

(1) complies with the requirements for antenuptial contracts or settlements in this section
and in the law of this state, including, but not limited to, the requirement that it be
procedurally and substantively fair and equitable both at the time of its execution and at the
time of its enforcement; and

(2) complies with the requirements for postnuptial contracts or settlements in this section.

(b) A postnuptial contract or settlement that conforms with this section may determine
all matters that may be determined by an antenuptial contract or settlement under the law
of this state, except that a postnuptial contract or settlement may not determine the rights
of any child of the spouses to child support from either spouse or rights of child custody or
parenting time.

(c) A postnuptial contract or settlement is valid and enforceable only if at the time of its
execution each spouse is represented by separate legal counsel.

(d) A postnuptial contract or settlement is presumed to be unenforceable if either party
commences an action for a legal separation or dissolution within two years of the date of
its execution, unless the spouse seeking to enforce the postnuptial contract or settlement
can establish that the postnuptial contract or settlement is fair and equitable.

(e) Nothing in this section shall impair the validity or enforceability of a contract,
agreement, or waiver which is entered into after marriage and which is described in chapter
524, article 2, part 2, further, a conveyance permitted by section 500.19 is not a postnuptial
contract or settlement under this section.

Subd. 1b.

Procedural fairness.

(a) For purposes of this subdivision, "full and fair
disclosure" means that each party has provided a reasonably accurate description of all
material facts of their income and good faith estimates of the value of their property and
discloses the basis for these disclosures. A party must not waive the full and fair disclosure
requirement under paragraph (b), clause (1).

(b) An antenuptial agreement is procedurally fair if:

(1) there is full and fair disclosure of the current income and property of each party;

(2) each party has had a meaningful opportunity to consult with independent legal counsel
of the party's choosing;

(3) the agreement is in writing, executed in the presence of two witnesses, and
acknowledged by the parties before a person authorized to administer an oath under the
laws of this state;

(4) the agreement is entered into voluntarily and free of duress; and

(5) the agreement is entered into and executed no less than seven days before the marriage.

(c) An agreement entered into and executed at least seven days before the date of marriage
is presumed enforceable and the burden of proof is on the party seeking to set aside the
agreement. An agreement that is entered into and executed less than seven days before the
marriage is not presumed enforceable, and the proponent of the agreement has the burden
of proof.

(d) A power of attorney does not satisfy the requirements of paragraph (b), clause (3).

Subd. 1c.

Substantive fairness.

(a) In determining if an agreement under this section
is substantively fair, the court shall consider whether all or part of the agreement is
substantively unfair as to be unconscionable to a party either by the agreement's terms or
as the result of drastically changed circumstances originally not foreseen when the agreement
was created, such that enforcement would no longer comport with the reasonable expectations
of the parties at the time that the parties executed the agreement.

(b) The agreement need not approximate a division of marital or nonmarital property,
or award of spousal maintenance, consistent with statutory law regarding property division
or spousal maintenance. A deviation from statutory standards does not in itself make an
agreement unconscionable.

Subd. 1d.

Postnuptial agreement.

(a) Spouses who are legally married under the laws
of this state may enter into a postnuptial agreement, which is valid and enforceable if the
agreement:

(1) complies with the requirements for antenuptial agreements in this section and in the
laws of this state, including but not limited to the requirement that the agreement be
procedurally and substantively fair except that subdivision 1b, paragraph (b), clause (5),
does not apply; and

(2) complies with the requirements for postnuptial agreements in this section.

(b) A postnuptial agreement that conforms with this section may determine all matters
that may be determined by an antenuptial agreement under the law of this state.

(c) A postnuptial agreement is valid and enforceable only if at the time of its execution
each spouse is represented by separate legal counsel.

(d) A postnuptial agreement is presumed to be unenforceable if either party commences
an action for a legal separation or dissolution within two years of the date of the agreement's
execution, unless the spouse seeking to enforce the postnuptial agreement can establish that
the postnuptial agreement is fair and equitable.

(e) Nothing in this section impairs the validity or enforceability of a contract, agreement,
or waiver that is entered into after marriage and that is described in sections 524.2-201 to
524.2-215. Further, a conveyance permitted by section 500.19 is not a postnuptial agreement
under this section.

Subd. 2.

Writing; execution.

Antenuptial or postnuptial contracts or settlements shall
be in writing, executed in the presence of two witnesses and acknowledged by the parties,
executing the same before any officer or person authorized to administer an oath under the
laws of this state. An antenuptial contract must be entered into and executed prior to the
day of solemnization of marriage. A power of attorney may not be used to accomplish the
purposes of this section.

Subd. 2a.

Amendment or revocation.

An antenuptial contract or settlement agreement
may be amended or revoked after the marriage of the parties only by a valid postnuptial
contract or settlement which agreement that complies with this section and with the laws
of this state. A postnuptial contract or settlement agreement may be amended or revoked
only by a later, valid postnuptial contract or settlement which agreement that complies with
this section and with the laws of this state.

Subd. 3.

Filing; recording.

An antenuptial or postnuptial contract or settlement which
by its terms conveys or determines what rights each has in the other's real property and sets
forth the legal description of the real estate granted or affected by the agreement may be
filed or recorded in every county where any real estate so described is situated, in the office
of the county recorder for the county or in any public office authorized to receive a deed,
assignment or other instrument affecting the real estate, for filing or recording.

Subd. 4.

Effect of recording.

Any antenuptial or postnuptial contract or settlement not
recorded in the office of the county recorder or other public office authorized to receive the
document, where the real property is located, shall be void as against any subsequent
purchaser in good faith and for a valuable consideration of the same real property, or any
part thereof, whose conveyance is first duly recorded, and as against any attachment levied
thereon or any judgment lawfully obtained at the suit of any party against the person in
whose name the title to the property appears of record prior to recording of the conveyance.

Subd. 5.

Evidence; burden of proof.

An antenuptial or postnuptial contract or settlement
duly acknowledged and attested shall be prima facie proof of the matters acknowledged
therein and as to those matters, the burden of proof shall be and rest upon the person
contesting the same.

Subd. 6.

Effective date Application.

This section shall apply applies to all antenuptial
contracts and settlements executed on or after August 1, 1979, and shall apply to all
postnuptial contracts and settlements executed on or after August 1, 1994 agreements
executed on or after August 1, 2023.

Subd. 7.

Effect of sections 519.01 to 519.101.

Nothing in sections 519.01 to 519.101,
shall be construed to affect antenuptial or postnuptial contracts or settlements agreements.

EFFECTIVE DATE.

This section is effective August 1, 2023, and applies to agreements
executed on or after that date.