What is a Separation Agreement?

A Separation Agreement is a document that two people in a marriage use to divide their assets and responsibilities when preparing for separation or divorce . It includes terms to divide child custody and child support, parental responsibilities, spousal support, property and debts, and other family and financial aspects that you and your partner or spouse may wish to allocate or divide. A Separation Agreement may be submitted to the court prior to the divorce proceedings or can be considered by the presiding judge in the final divorce judgment.

When should I use a Separation Agreement?

Separation Agreements are generally used in three situations: A married couple has decided to separate for the time being but are not ready to divorce. They would like to continue their marriage but wish to live apart temporarily. They choose to create a Separation Agreement so that they can document when they started to live independently and so that they can divide their family and financial responsibilities while they are separated. A married couple has decided to divorce and already know how they would like their assets, debts, properties, and responsibilities for their children broken down. Instead of having a court decide what each spouse's responsibilities will be upon the termination of the relationship, they choose to create a Separation Agreement. The Separation Agreement is usually submitted to the court to be part of the divorce decree. A Separation Agreement can also be used if a married couple would like to live separate and apart permanently, but maintain their legal relationship status of being married.

What is the difference between separation and divorce?

Separation is when you and your spouse are legally married but are no longer engaged in a marital relationship. You may either intend to reconcile, remain separated, or eventually divorce. Often, separated couples use Separation Agreements to dictate which partner is responsible for what and who will be the primary caretaker of the children, if any. Divorce is when a married couple has received a divorce judgment. They are no longer married and are not considered to be a husband or a wife to their ex-partner. Couples who are preparing to file for a divorce often use a Separation Agreement when they have already agreed upon how to divide their marital property and the custody of any children.

What does "living seperately and apart" mean?

Whether or not you and your spouse are considered to be separated depends on your situation and jurisdiction. Living separate and apart does not necessarily mean that each spouse has to live at a different residence. Often, a couple will continue living in the same home due to financial reasons or for children, although they consider themselves to be separated. Some jurisdictions do not allow you to be in the same residence if you are legally separated. Factors that will help you to prove that you are separated include: Separating your finances, assets, and debts Physical separation, including sleeping separately, having meals at different times, and dividing the household tasks in order to limit the interaction with a spouse Disengagement from the marital contract with the intention to divorce

What do we do with our finances during separation?

Typically, once a husband or wife decide to separate from their spouse, they would need to divide their marital property. This includes division of the matrimonial home, all assets, debts, property, and other financial family responsibilities. Your Separation Agreement will only be considered in court if it is fair to both parties, so ensure that you divide all assets and debts in a way that leaves neither spouse unjustly better off than the other. Spousal Support: Spousal support, or alimony, may be included in a Separation Agreement. It is usually paid from one spouse to another to assist in maintaining an accustomed financial lifestyle. The length and amount of alimony depends on: The length of the marriage The health and age of both spouses Standard of living prior to separation Sacrifices and contribution of both spouses during marriage The income of each party The future financial prospects of each spouse If you can come to an agreement regarding the amount and length of spousal support payments, and it is fair and reasonable to both parties, then it's likely the same alimony arrangements will be incorporated in your divorce judgment. Child Support: Child support can be negotiated and included in your Separation Agreement. It must be reasonable and fair to each parent and their financial circumstances. If you can agree upon an amount, the payment dates, and the length of payments, you may include it on your Separation Agreement for consideration. However, the courts will have the discretion to decide what is in the best interest of the child.

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SEPARATION AGREEMENT

THIS SEPARATION AGREEMENT (the "Agreement") dated this ________ day of ________________, ________.

BETWEEN:

______________________
of ______________________

-and-

______________________
of ______________________

BACKGROUND:
______________________ and ______________________ (collectively the "Parties" and individually a "Party") were lawfully married on February 25th, 2021, in ______________________, ______________________. Due to certain differences that have developed between the Parties, they agree to live separate and apart from each other, subject to the terms and conditions in this Agreement.
The Parties have made complete, fair and accurate disclosure to each other on all financial matters reflected in this Agreement.
The terms of this Agreement are intended to settle the matters addressed and may be incorporated into a final decree of divorce, unless specific matters are amended or addressed in a subsequent separation agreement.
The Parties have each consulted an attorney with regards to their legal rights arising out of the matrimonial relationship and the terms of this Agreement.
The Parties have each voluntarily entered into this Agreement and have not been forced by anyone to sign this Agreement, and both the Parties confirm that they are in sound mental health.

IN CONSIDERATION OF the mutual promises and covenants contained in this Agreement, and other valuable consideration, the receipt and sufficiency of which consideration is acknowledged, the Parties agree as follows:

LIVING SEPARATE AND APART
The Parties will, from the date of execution of this Agreement, live separate and apart from each other. Neither Party will attend the other's living space or work without invitation or approval.
CHILDREN
There are no children of the marriage.
SPOUSAL MAINTENANCE
______________________ will pay spousal maintenance in the amount of $__________ monthly to ______________________ Spousal maintenance payments will commence on February 25, 2021 and will be paid on the 25th day of each and every month until such time as ______________________ remarries or cohabits with another person in a common-law relationship or dies, whichever will come first.
ASSETS
The Parties acknowledge that they have agreed upon a division of all assets, owned or possessed by them as matrimonial property or separate property. The Parties are in possession of all of those assets to which each is respectively entitled. Accordingly, neither makes any claim to any assets in the possession of the other.
DEBTS
The Parties agree that any indebtedness secured against, or attributable to, any item of property that either Party is receiving under this Agreement will be the sole responsibility of the Party receiving the particular property.
Neither Party will incur any further debt or liability on the other Party's credit. Any debt accumulated as of the date of this Agreement is the debt of the individual Party, regardless if the debt was incurred as a result of joint credit.
EQUITABLE DISTRIBUTION RELEASE
The Parties covenant and agree that they are aware of the equitable distribution laws of the State of Alabama and it is their intention that the equitable distribution laws will not apply to the status, ownership, interest and division of their property, either jointly or separately owned, nor to their future property, whether real or personal, and owned by either one or both of them, and the Parties further covenant and agree that it is their desire and intent by the terms of this Agreement to contract out of the equitable distribution laws of the State of Alabama and to make a full and final settlement of all matters of property, both real and personal, previously and presently owned by either of the Parties or to be acquired by either of the Parties in the future.
ESTATE AND TESTAMENTARY DISPOSITION
The Parties renounce all rights each might have in or to the administration of the other’s estate whether under any law of the State of Alabama, or any state of United States of America, or any country in which any part of the estate of the other may be situated and further waive and release the other from any and all rights of every kind, nature, and description that each may acquire as a spouse or a surviving spouse in the property, assets, or estate of the other.
PENSION RELEASE
Except as otherwise provided in this Agreement, the Parties waive and relinquish any and all rights or claims, in law or in equity, to apply to split or in any way share or claim any interest whatsoever, now or at any future time, in IRAs, 401(k) plans, or any defined contribution plan, defined benefits plan, retirement plan or pension, savings plan, or profit sharing plan of any type available through employment, or any benefits thereof, which the other Party presently has or may acquire in the future.
GENERAL RELEASE
Each Party releases all claims whatsoever and however arising, whether under the laws of the State of Alabama or any other jurisdiction, including and without limiting the generality of the foregoing, whether arising by statute or at common law and including actions founded on constructive trust, resulting trust or unjust enrichment, which such Party may now or hereafter have or acquire or be entitled to against the property of the other Party, however and whenever acquired, including and without limiting the generality of the foregoing, real property, personal property, any income from such property or assets of the other Party and any increase in the value of such property, or against the estate of the other Party, but if any such action should be brought the provisions of this Agreement may be pleaded as an answer to any claim asserted and will constitute a full and complete defense thereto.
GENERAL PROVISIONS
The Parties will promptly sign and give to the other all documents necessary to give effect to the terms of this Agreement.
This Agreement contains the entire agreement between the Parties about their relationship with each other. It replaces any earlier written or oral agreement between the Parties.
Should any portion of this Agreement be held by a court of law to be invalid, unenforceable, or void, such holding will not have the effect of invalidating or voiding the remainder of this Agreement, and the Parties agree that the portion so held to be invalid, unenforceable, or void, will be deemed amended, reduced in scope, or otherwise stricken only to the extent required for purposes of validity and enforcement in the jurisdiction of such holding.
The Parties may only amend this Agreement in writing signed by both of them after both Parties have obtained legal advice on the changes.
In the event that a dispute arises regarding this Agreement, the Parties will try to resolve the matter through negotiation or mediation, prior to initiating a court action.
Notwithstanding that the Parties acknowledge and agree that their circumstances at the execution of this Agreement may change for any reason, including but without limiting the generality of the foregoing, the passage of years, it is nonetheless their intention to be bound strictly by the terms of this Agreement at all times.
This Agreement creates a fiduciary relationship between the Parties in which each Party agrees to act with the utmost of good faith and fair dealing toward the other in all aspects of this Agreement.
The Parties agree to provide and execute such further documentation as may be reasonably required to give full force and effect to each term of this Agreement.
The headings of this Agreement form no part of it, and will be deemed to have been inserted for convenience only.
This Agreement will be binding upon and will enure to the benefit of the Parties, their respective heirs, executors, administrators, and assigns.
If the Parties reconcile, the terms of this Agreement will remain in effect unless the Parties revoke it in writing signed by both of them.
The laws of the State of Alabama will govern the interpretation of this Agreement, and the status, ownership, and division of property between the Parties wherever either or both of them may from time to time reside.

IN WITNESS WHEREOF the Parties have duly affixed their signatures on this ________ day of ________________, ________

SIGNED by ______________________ In the presence of:

______________________________ WITNESS
	______________________________ ______________________

______________________________ WITNESS

SIGNED by ______________________ In the presence of:

______________________________ WITNESS
	______________________________ ______________________

______________________________ WITNESS

ACKNOWLEDGMENT

THE STATE OF ALABAMA
COUNTY OF____________________

I, Attorney, within and for said County and State, do certify that on this day came before me, ______________________, personally known to me, whose name is signed to the foregoing Separation Agreement and so acknowledged their signatures on this Separation Agreement and that ______________________ entered into this Separation Agreement on their own free will and volition without force or duress by any Party.

Given my hand and seal this ___ day of ____________________, ________.

_____________________________
Attorney

ACKNOWLEDGMENT

THE STATE OF ALABAMA
COUNTY OF____________________

Given my hand and seal this ___ day of ____________________, ________.

_____________________________
Attorney

CERTIFICATE OF INDEPENDENT LEGAL ADVICE

THE STATE OF ALABAMA
COUNTY OF____________________

I, _______________________________, of the City of ___________________________, in the State of Alabama, Attorney, DO HEREBY CERTIFY:

THAT I was this day consulted in my professional capacity by ______________________, named in the within instrument, being a Separation Agreement, separate and apart from ______________________, as to their legal rights and liabilities under the terms and conditions of it, and that I acted solely for them, and explained fully to them the nature and effect of this foregoing Separation Agreement and they did execute it in my presence, and did acknowledge and declare that they were executing it of their own volition and without any fear, threats, compulsion or influence from ______________________ or any other person.

DATED at the City of _________________, in the State of Alabama this ___day of _________, 20___.

________________________
Print Name: ____________
Attorney

I, ______________________, the person named in the annexed Agreement, hereby acknowledges the foregoing this ____day of ______________20___.

________________________
______________________

CERTIFICATE OF INDEPENDENT LEGAL ADVICE

THE STATE OF ALABAMA
COUNTY OF____________________

I, _______________________________, of the City of _________________________, in the State of Alabama, Attorney, DO HEREBY CERTIFY:

THAT I was this day consulted in my professional capacity by ______________________, named in the within instrument, being a Separation Agreement, separate and apart from ______________________, as to their legal rights and liabilities under the terms and conditions of it, and that I acted solely for them, and explained fully to them the nature and effect of this foregoing Separation Agreement and they did execute it in my presence, and did acknowledge and declare that they were executing it of their own volition and without any fear, threats, compulsion or influence from ______________________ or any other person.

DATED at the City of __________________, in the State of Alabama this ___day of _________, 20___.

________________________
Print Name: ____________
Attorney

I, ______________________, the person named in the annexed Agreement, hereby acknowledges the foregoing this ______day of ______________20___.

________________________
______________________

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