With the decline in marriage rates, and subsequently divorce rates, related to economic factors, more couples are cohabiting as they delay marriage.
But since many states do not recognize “common law marriage,” cohabiting partners are left with little protection in the event of a breakup, Cordell & Cordell co-founder Joseph Cordell told the St. Louis Post-Dispatch.
As Cordell explains, the law treats ex-lovers like business partners dissolving their company: the only thing that matters is what’s on paper.
So if the girlfriend solely owns the house, it does not matter if the boyfriend helped pay the mortgage if there wasn’t a contract listing him as joint owner. He would have no claim to any equity since oral agreements aren’t enforceable in real estate.
Cordell said cohabiting partners could protect themselves through separate contracts, sometimes called “cohabitation agreements.” But this type of asset protection is complicated and requires a family law attorney’s assistance.
Read the full St. Louis Post-Dispatch article on asset protection.
Written by Joseph E. Cordell
Joseph E. Cordell is the Principal Partner at Cordell and Cordell, P.C., which he founded in 1990 with his wife, Yvonne. Over the past 25 years, the firm has grown to include more than 100 offices in 30 states, as well as internationally in the United Kingdom. Mr. Cordell is licensed to practice in the states of Illinois and Missouri and received his LL.M. from Washington University in St. Louis, Missouri. Joseph E. Cordell was named one of the Top 10 Best Family Law Attorneys for Client Satisfaction in Missouri.
