Cohabitation agreements, also known as living together agreements, are a contractual agreement between unmarried couples who have decided to live together. These agreements outline the rights and responsibilities of each party during the course of their relationship and can be used to protect the interests of both parties. When drafting a cohabitation agreement, there are several important issues that should be considered.
1. Property ownership: When couples cohabit, they often accumulate assets, such as furniture, appliances, and even a home. A cohabitation agreement should address who owns what property and how it will be divided in the event of a breakup. This can include specific items of property or entire assets.
2. Finances: Couples living together often share finances, paying household expenses together and splitting other bills down the middle. It is important for the cohabitation agreement to outline how finances will be managed or shared within the relationship. This can include how bills will be divided and who will be responsible for certain expenses.
3. Debt: Many couples cohabit while carrying debt, such as car loans or credit card balances. A cohabitation agreement can address these liabilities, establishing who is responsible for what debts and how they will be paid.
4. Children: For couples with children, a cohabitation agreement can be used to address issues such as child custody and support. The agreement can outline how decisions about the child`s welfare will be made, who will have legal custody, and how financial support will be provided.
5. End of the relationship: While no couple likes to consider the possibility of breaking up, it is important to have a plan in place in the event that the relationship ends. A cohabitation agreement can outline how property and finances will be divided, and can also address other issues such as moving out and finding new living arrangements.
In conclusion, when drafting a cohabitation agreement, it is important to address all of the above issues to ensure that both parties` interests are protected. Such an agreement can provide both parties with peace of mind and help them avoid conflicts and misunderstandings in the future.