What Role Does A Property Settlement Agreement Play In Divorce

There are three basic components of any divorce - no matter what the jurisdiction:1) The financial disclosure document, which outlines the income and expenses of the individuals of the marriage and the combined assets and debts of the marriage.2) The filing forms, which include the petition or complaint, judgment or decree and other required legal documents that make the case for the couple to be granted a divorce.We have focused or will focus on these first two components in other articles posted here.The third and most central component of any divorce is the Property Settlement Agreement - sometimes referred to as a Separation Agreement in some jurisdictions. The purpose of the Property Settlement Agreement is to detail the division of assets and debts of the marriage and to communicate to the Court that the couple is in agreement of the terms of the settlement. If a divorcing couple has minor children together, a Child Care Plan is included to cover the rights and responsibilities of the parents regarding the children. (The Property Settlement Agreement will be referred to a "PSA" for the remainder of the article.)The PSA begins with setting out the names of the parties, the jurisdiction and the names and ages of any minor children. Next, a summary of the contents of the PSA is listed to lay out and organize the documents. A statement that the entire document is agreeable to both parties in full resolution of the issues of their marriage follows.Next, if minor children exist, a detailed division of the rights and responsibilities of the parents regarding the children is listed.These areas include the two aspects of custody - physical and legal. Legal custody refers to decision-making regarding the children in the areas of health, education and general welfare. Physical custody relates to where the children are and when. A comprehensive Child Care Plan seeks not only to identify the immediate agreement of the parents, but attempts to look as far into the future as possible to identify areas of possible conflict and craft agreements on those items to prevent conflict in the future when the situations of the parties changes in predictable ways.Next are the financial issues. These include real property (real estate), vehicles, bank accounts, retirement accounts, securities, household furnishings, business interests, cash value life insurance, debts, miscellaneous financial issues, maintenance (spousal support), court costs and other fees. In the PSA, the couple divides all of these assets and debts in a mutually agreeable manner and details this division for the Court.A comprehensive Property Settlement Agreement (and Child Care Plan, if applicable) is the best insurance against a post-divorce dispute. Listing every item of significant value in the division of assets and debts guards against one party claiming something that was not accounted for by the parties. Specifying clear and concrete holiday visitation schedules and week-to-week schedules prevents many post-divorce parenting conflicts - especially when new spouses or significant others come into the picture. A reputable divorce site can assist with the completion of such a comprehensive PSA.(Nothing in this article should be considered to be "legal advice." An online divorce site can give you the tools to complete your divorce but, there is no substitute for sound legal advice from a lawyer from your jurisdiction looking at your situation strictly from your point of view when seeking a divorce.)