Cohabitation Agreements

How is property divided when a relationship ends?

When a marriage ends, Colorado statutes address how assets and debts are divided with marital property and family laws.

What happens when an unmarried, cohabitating couple end a relationship? Unmarried couples do not have a similar type of marital property or family laws to govern the end of a relationship. Since there are no rules governing the end of their relationship, cohabitating couples are left with a few questions:

• Who will move out of the home?

• Who owns the household items?

• How is home equity divided?

• If the party vacating the home paid rent or contributed to the mortgage, are they compensated?

• How are living expenses paid?

• Who is responsible for debt incurred during the relationship?

To address these concerns, Hardin Waldrip Law, PLLC can prepare a legally binding contract, known as a Cohabitation Agreement. The Cohabitation Agreement documents the living arrangement that a couple agrees upon during the relationship. If the relationship ends, then the Cohabitation Agreement is an enforceable contract which governs the couple’s property and debt division.

It is particularly important for unmarried couples to address whether they want their significant other to make financial and medical decisions on their behalf. Similarly, an unmarried couple should discuss whether they would want their significant other to be a beneficiary of each other’s estate upon death. As with marital property and family laws, unmarried couples also do not have protections in Colorado estate and inheritance statutes or financial and medical statutes without entering into specific contracts.

The attorneys at Hardin Waldrip Law, PLLC can assist you in drafting a Cohabitation Agreement that meets the goals of your unique relationship. Schedule a consultation to further discuss your contract.