Financial agreement for an apartment between same-sex couples
Israeli law does not regulate the status of same-sex couples as married couples. As a result, the personal property, the capital they have accumulated during their life together, the issue of custody and alimony – are also not regulated. In order for a same-sex couple to be legally recognized and for its legal and economic affairs to be settled, it must make a financial agreement.
When same-sex couples who have not made a financial agreement want to end their relationship, they may encounter a situation where one of the spouses is left with nothing because he thought he deserved certain rights, but in practice, he did not deserve anything. On the other hand, a spouse may suddenly find that he or she is financially committed to his or her spouse, in a way that he or she never thought was indebted to.
It should be noted that same-sex couples who have married in other countries, where the marriage has legal validity and have been granted a marriage certificate, can register with the Israeli Ministry of the Interior as married for all intents and purposes. In these cases, it is also important and desirable to make a financial agreement, as with any married couple, so that the couple knows in advance what they do and don’t deserve in case of God forbid a separation. Sometimes the couple needs a prenuptial agreement to prove the relationship and the legal relationship that exists between the couple. There are bodies such as the National Insurance Institute and banks, which require evidence for the existence of the relationship.
The importance of a financial agreement in the eyes of the National Insurance Institute
There are several situations in which a married couple receives “benefits” from the National Insurance Institute, same-sex couples can receive the same “benefits” when their relationship is proven in a financial agreement. For example, in the event of the death of one of the spouses, God forbid, the remaining spouse is entitled to a survivor’s pension. Also, when one of the spouses is disabled and his or her spouse is unemployed, an additional allowance can be received for the disabled spouse.
The importance of a financial agreement with the bank
Religiously and legally married spouses do not have to prove the relationship in any way in front of the bank, a same-sex couple who has not entered into a prenuptial agreement, will have to prove the stability of the marital status in order to get the same mortgage. When a same-sex couple presents a financial agreement, it will be a kind of reference for having such a relationship.
The importance of a financial agreement with the tax authority
A prenuptial agreement that constitutes a kind of marriage certificate will indicate a long-term relationship, and then the tax authority will recognize this in the whole issue of rights and obligations in the tax authority.
The importance of a financial agreement in the Ministry of Construction and Housing
Same-sex couples who have made a financial agreement can present it to the Ministry of Construction and Housing and be considered common-law couples for the purpose of participating in the ministry’s lotteries for housing benefits and special acquisition terms.
The importance of a financial agreement with the local authority
Sometimes one of the spouses is entitled to a tax rebate, but as long as the rebate is for the couple, the spouse will have to prove it and a financial agreement is considered a reliable proof of this.
It should be noted that beyond all the benefits mentioned, when it comes to same-sex couples, then the financial agreement has another notable advantage and is in the process of adopting each other’s children if the couple so desires. The agreement will be a proof that there is a couple system between the two for all intents and purposes.
How do you validate a financial agreement?
In the case of a same-sex couple, it is enough for the two spouses to sign the agreement in order to give it validity. However, it is highly recommended to verify the financial agreement in court in order to give it a sub-validity and it is also possible to give the agreement the validity of a judgment.
In what situations will the court annul the financial agreement?
The financial agreement will be revoked in cases where the court has the impression that it is an apparent agreement, or when it was activated by one of the parties due to unfair pressure or when there were defects in its execution.
A prenuptial agreement has many benefits. Beyond the emotional aspect, a prenuptial agreement helps to avoid lengthy litigation, as it pre-arranges all the acute issues, which often form the heart of the dispute between the spouses. It is worth emphasizing that a prenuptial agreement is very important when there is a large economic gap between the spouses (the agreement protects both parties).
On the one hand, it protects the property of the financially stronger spouse and on the other hand, it protects the financially weaker party by stipulating certain benefits in order not to be left with nothing). It is important to make a prenuptial agreement even when there are no assets because it is not known what assets and property rights will bring the married life to the couple.
