SCALES Contrats Final

What are the 3 conditions in Gross that state prenuptial agreements are valid and enforceable when these three conditions are met:

1. They are entered freely, without fraud, duress, coercion, or overreaching

2. There is full disclosure or full knowledge and understanding of the nature, value, and extent of each party’s assets and

3. if the terms do not promote or encourage divorce or profiteering by divorce

what does duress or coercion refer to?

Duress or coercion: If you can prove you were pressured, threatened, or forced into signing the agreement against your will, a court might not enforce it. Examples include being pressured to sign right before the wedding or facing an ultimatum.

what does uconscionability refer?

Unconscionability: If the terms of the prenup are considered unfairly one-sided or would leave one party in severe financial hardship, a court might find it unconscionable and unenforceable. 

Does simply not reading a prenuptial agreement invalidate it?

In summary, simply claiming you didn't read a prenuptial agreement is unlikely to automatically invalidate it. However, if you can demonstrate that the signing process involved fraud, duress, or other unfair practices that prevented you from understanding the agreement, you may have grounds to challenge its enforceability. 

What does Gross say about how the parties should act in good faith and high degree of fairness and disclosure in a prenuptial agreement?

The parties in a prenuptial agreement are in a fiduciary relationship to one another and thus, are under a mandatory duty to act in good faith with a high degree of fairness and disclosure of all circumstances which materially bear on the prenuptial agreement.

Does marital misconduct invalidate an agreement? (Gross)

No, misconduct by a spouse does not invalidate the agreement unless the contract explicitly says it does.

True or false: Even a valid prenuptial agreement must still be consionable at the time of divorce, espically regarding sustenance alimony? (gross)

True, courts must assess fairness at the time of enforcement, not just when the agreement was signed.

Do the courts extend the same standard to good faith, full disclosure, no overreaching? (gross)

yes

How is Overreaching defined in Gross exactly?

Overreaching includes artifice, cunning, or significant disparity in understanding the nature of the agreement.

What are 2 ways full disclosure can be satisfied? (gross)

1. attaching a list of assets to the agreement

2. showing that disclosure was made by other means like the parties had full understanding of the nature, value and extent of both of their assets.

Should courts substitute their own judgment or modify terms regarding property divisions? (gross)

No, as long as the agreement was valid at the time it was made and the property division was fairly agreed upon.

True or false: Even if an agreement is valid when signed, courts must review alimony provisions are not unconscionable at the time of divorce?

True, changed circumstances (like increase in wealth, shift in standard living) can make an alimony clause unconscionable and thus viodable.

What does the spouse challenging the alimony have?

They have the burden of proving that it is unconscionable at the time of divorce

True or false: Because the parties are entering into a marriage, they owe a fiduciary duty to one another and must act in good faith with a high degree of fairness and transparency.

true

What did Gross conclude about the consideration of provision?

Upon the consideration of provisions relating to the division or allocation of property at the time of a divorce, the applicable standards must “relate back” to the time of the execution of the contract and not to the time of the divorce. As to these provisions, it is found that the parties have freely entered into a prenuptial agreement, fixing the property rights of each, a court should not substitute its judgment and amend the contract.

true or false: It is not unconscionable for a prenuptial agreement to waive rights to property brought into the marriage by the other spouse, especially if the waiving spouse had no role in acquiring it

true, gross said this in the waiver of premarital property rights and it is usually valid.

true or false: Agreements that waive all rights to property acquired during the marriage can be unconscionable, especially if one spouse contributed (even as a homemaker).

true, Cited case: Ranney v. Ranney (Kansas 1976) — wife left with house + car but no share in jointly acquired assets = unenforceable and unfair.

true or false: Homemaking is recognized as an economic contribution; failure to recognize this in a contract is sexist and unjust

true

true or false: While the majority allows courts to modify unconscionable alimony, it does not allow courts to invalidate unfair property division unless the original agreement lacked good faith

true

What did Rowland say about overreaching?

Even if there is no fraud, duress, or coercion, and agreement may be invalidated of one party overreached during the formation of the agreement

Overreaching includes:

• Disparity in age or experience
  
  

• Lack of independent counsel
  
  

• One-sided drafting by the more powerful party
  
  

• Failure to disclose rights being waived

What 2 things must a lawyer do if they represent both parties? and what might happen if they dont?

1. fully disclose the implications of joint representations

2. Advise each client of their right to get independent counsel

Failing to do so can invalidate the agreement due to conflict of interest and lack of informed consent.

Based on the code of professional responsibility cited in Rowland

true or false: An agreement waiving statutory rights — like inheritance, alimony, or property division — must be fully understood by the party giving up those rights. A mere opportunity to read the agreement is not enough.

true

true or false: An agreement may be invalid if one party was significantly disadvantaged — for example, through lack of independent legal counsel, unequal bargaining power, or failure to understand the rights waived (Rowland v. Rowland, 74 Ohio App.3d 415).

true

true or false: In Ohio, a court cannot uphold a prenup solely based on general contract validity (age, literacy, voluntariness); it must affirmatively find good faith and fairness between parties in a fiduciary relationship.

true

true or fase: In a case involving a prenuptial agreement, the court must find evidence of good faith and fair dealing, not just absence of fraud.
— Rowland, 74 Ohio App.3d at 424

Rule: The court must find affirmative evidence of good faith and fairness — silence or relying only on lack of coercion is not enough.

true

true or false: The process — including advising by the other party's attorney and lack of informed counsel — can be proof of overreaching as a matter of law, even if the terms themselves seem fair.

true, Even without threats, if the process was unfair (e.g., one-sided legal advice, rushed signing, misunderstanding), the agreement may be invalid due to overreaching.

true or false: “[The] mere absence of counsel, without more, is not sufficient to make the agreement invalid as a matter of law.”
— Dissent, Rowland, 74 Ohio App.3d at 428

true, The absence of legal counsel is only one factor in evaluating fairness or overreaching — not a per se rule of invalidity.

true or false: A prenup is not unconscionable simply because one party earns significantly more than the other at the time of divorce — especially in short marriages with no children and no drastic changes in lifestyle or circumstances.

(Saari v. Saari)

true

what are the 10 things the courts must consider when evaluating spousal support at the time of divorce?

1. Ohio R.C. § 3105.18(C)(1) sets out the 10 factors courts must consider when evaluating spousal support at the time of divorce, including:
   
   
   

1. length of the marriage

2. each spouse’s income and earning

3. standard of living during the marriage

4. contributions to the marriage

5. age and health of each spouse

6. property divisions

7. needs of each spouse

8. future earning capacity

true or false: each party is responsible for their own attorney fees relating to drafting/executing a prenup?

true if the agreement says so courts cannot reassign those fees

true or false: Separate property deposited into a joint account becomes joint property

true, and withdrawing from a joint account without notifying the other party can violate the prenup

true or false: Debts incurred for a spouse’s child are not the other spouse’s responsibility

true, if the prenup clearly disclaims any financial obligation for that child.

true or false: Credit card debt for general household items (like groceries) may be split equally even if the prenup excludes responsibility for a spouse’s children — if no proof shows the charges were exclusively for the children.

true

Unconscionability of spousal support may be found if there is…

• a serious health problem requiring costly care

• major change in employability

• added burdens like caring for children

• big change in cost of living

• extreme disparity in standard of living that rreturning to pre-marriage status would cause hardship

A mere disparity in income is not enough to make a waiver unconscionable especially in…

• short marriages

• second marriages

• no shared children

• no drastic lifestyle changes

true or false: funds in accounts solely in one spouse’s name are separate property unless and until transferred into joint accounts.

true

true or false: If neither party presents clear evidence of what a joint account charge was for, and the expense could plausibly be an ordinary household item (groceries, clothing, etc.), court may order a 50/50 split.

true

true or false: Courts must enforce the prenup as written unless clear and compelling evidence shows it’s invalid or unconscionable.

If the trial court deviates without a basis, appellate courts will reverse and remand to enforce the agreement properly.

true

Factors for spousal support?

3. Factors include:
   
   

   • Income, earning abilities, age, health, retirement benefits
     
     

   • Duration of the marriage
     
     

   • Standard of living during the marriage
     
     

   • Education and assets
     
     

   • Contributions to each other’s careers
     
     

Any other relevant and equitable factor
(See ¶10–11 for full list)

true or false: The wedding was small and informal, could have been postponed.

• → Mere timing (1 day before) does not amount to coercion if postponing was an option.
  (See also Fletcher v. Fletcher, 68 Ohio St.3d 464, 1994)
  
  

true (Mann v. Mann)

Courts must apply the R.C. 3105. 18 (C) (1) factors when determinig conscionability

• ncome and assets of both parties
  
  

• Earning abilities, education, and retirement benefits
  
  

• Health, age, and marriage duration
  
  

• Contributions to the other’s earning ability
  
  

• Childcare or career sacrifices
  
  

• Change in standard of living
  
  

And any other relevant factor (catch-all provision)

1. Spousal support waivers in prenuptial agreements are enforceable unless they are….
   

Unconscionable at the time of divorce.
(Citing Gross v. Gross, 11 Ohio St.3d 99, 109 (1984))

The central legal test:
"Have there been changes during the marriage that render the support waiver unconscionable?"

• The change must not have been foreseeable when the agreement was signed.
  (Gross, fn.11)
  Examples from Gross:
  
  

• Major health problems or disability
  
  

• Major drop in employability or income
  
  

• New dependents or caregiving burdens
  
  

• Sudden jump in living costs
  
  

• Hardship caused by a dramatic decline in standard of living
  
  

What did Leach emphasized about full written disclosure?

Leach emphasized that full written disclosure is not always required and that oral disclosure and actual knowledge can be enough to meet the second Gross prong

What is Boilerplate language? (leach)

In Leach it included boilerplate language and the clause stated “Omitted assets won’t invalidate the agreement unless their value exceeds 50% of the assets listed”

What did the Appellant argue about her business not being listed?

Argued this clause voided the agreement because Wife didn’t list any assets (Exhibit C was blank) and her business (Vita) was worth more than 50% of her listed assets ($0).

The court ruled that: The blank exhibit was not fatal because Appellant had actual knowledge of the Wife’s assets (including Vita)

The agreement itself said it only provided an approximate list of assets—not an exclusive one

What did the court say in leach about “full knowledge” and what did they rule on?

Even without a full written list of assets, the prenup was valid because:

• The contract recited that both parties had months to inquire about the other’s property
  
  

• The Wife disclosed her assets orally
  
  

• The Husband knew about her business and had personal involvement with it (e.g., delivering goods, helping with setup)
  
  

• The trial court found his support role was part of a “courtship ritual,” not a business partnership
  
  

Result: The Gross disclosure requirement was satisfied through actual knowledge, even though asset lists were incomplete.

What 4 things do you need for recession for unilateral mistake

1. Material Mistake

The mistake must be serious and about an important part of the contract, not a small or minor detail.

2. Grave Consequences

The mistake must have big effects, like causing someone to lose a lot of money or creating an unfair contract.

3. Reasonable Diligence

The person who made the mistake must have acted reasonably and carefully. If they were careless or ignored obvious warning signs, they probably can’t undo the contract.

4. Ability to Restore the Parties to the Status Quo

The person asking to cancel the contract must be able to return things to how they were before the contract — meaning, give back any money, goods, or benefits they received.

Do tax consequences automatically require property adjustment?

No, unless there’s abuse of discretion

Do blank exhibits or omitted assets void a prenup?

No, if the party challenging it knew about the other’s property

The Gross standard is flexible- knowledge is just as valid as written disclosure

true or false: A party can't rescind a prenup for a one-sided mistake unless it’s very serious and they acted reasonably

true

true or false: Using a spouse’s losses on joint returns doesn’t make them owe reimbursement later

true

Under 16 V.I.C. Section 104 what 2 things do you need for a divorce to be warranted? (In Slack v. Slack)

1. Marital relationship has irreparably broken down, and

2. No realistic chance of reconiliation

What is motion for summary judgment on a prenup validity?

is a request for the court to rule on whether a prenuptial agreement is legally binding without a full trial, based on the presented evidence and legal arguments. Essentially, one party argues that the undisputed facts and applicable law demonstrate the prenup is either valid or invalid, and thus the court should issue a judgment accordingly

What is an example of duress?

A wife faced wedding cancellation if she refused to sign the prenup, and it was signed last-minute without notice

What does duress require?

1. an improper threat

2. and leaving the victim no reasonable alternative

what did the court say about duress in Slack v. Slack, considering the prenup was signed and wife believed she suffered duress because he threatented if she didn’t sign it the wedding would be canceled.

Court’s Ruling:
Even if last-minute, canceling a wedding is not an improper threat—it’s a reasonable alternative. Other courts (e.g., Iowa) agree: avoiding embarrassment is not legal duress.

No duress found.

true or false, you must have FULL knowlwedge of your sposues assests and not SOME

correct

true or false: Negligence by a party is not usually enough to block recission. But courts draw the line at gross negligence.

true

Claim: Mr. Gartrell (a lawyer) said he did not read the final prenup before signing it and that his attorney didn’t either. (Gartrell v. Gartrell)

• Mr. Gartrell made substantive edits to the agreement and had time/opportunity to review it.
  
  

• As a 20-year licensed attorney, his failure to read the final draft before signing rose above ordinary negligence.
  
  

❌ Rescission barred by his own gross negligence.

What are some ways a prenuptia agreement can be invalid when it encouraged divorce or profiteering?

• Granting substantial financial gain to a spouse after a short marriage

• Creating an incentive to end the marriage quickly for material benefits

(Gartrell v. Gartrell)

What are the 2 things about marital property divison? (gomer v. gomer)

1. Property must be divided equally unless an equal division would be inequitable, then

2. the court may divide it equitably based on circumstances

What is the definition of marital property?

includes all property acquired by either or both spouses during the marriage.

What about Division of retirement acoounts in prenups?

• Courts may consider retirement benefits in property division, but
  
  

• Social Security benefits cannot be divided except as relevant to public pensions.
  
  

• Using social security benefits to justify reallocating private retirement accounts is an abuse of discretion.

(Gomer v. Gomer)