Multi-billionaire and chief executive officer of News Corp., Rupert Murdoch recently announced that he filed for divorce from his wife. At this point, it is unclear whether or not Murdoch’s wife signed a prenuptial agreement prior to the marriage, or if she did, what assets she gets during the divorce. What is clear is that Massachusetts business owners have more issues to consider during their divorce.
Every divorce has the potential to get heated and complex. People need to make important life altering decisions while under extreme emotional pressure. While every couple will need to make decisions about property division, child support and child custody, business owners will also need to make decisions about how the divorce will affect the business.
If a couple owns a business together, they will need to decide who will own the business going forward, how it will be run and how to split profits. If only one spouse owns the business, then there may be issues about how to protect the business’s assets. If divorcing spouses cannot make these decisions on their own, then the court may need to step in which may not be in the best interest of the business.
To solve these issues, business owners may want to consider signing a prenuptial agreement or a post-nuptial agreement prior to the divorce. As a Massachusetts family law attorney knows, these documents can help couples makes these important decisions before the parties are too emotional. If drafted correctly many of these issues can be decided before the divorce which can save the couple time and money. This also allows the couple to make the best business decisions possible to help make the divorce as smooth as possible for the business.
Source:Â Entrepreneur, “Why Rupert Murdoch’s Divorce Is a Wakeup Call for Business Owners,” Leah Ingram, June 17, 2013