It has recently been announced that philanthropists Bill and Melinda Gates are ending their 27 year marriage.
Bill Gates is the co-founder of Microsoft and owns 1% of the company, worth an estimated $146 million. His total worth is estimated to be $130 billion. He is fourth on Bloomberg’s list of the world’s richest people. The divorce settlement could very well set a record for the largest ever. When Amazon chief Jeff Bezos and his wife Mackenzie separated in 2019, their settlement was in the vicinity of $38 billion.
Bill met Melinda after she joined Microsoft as a product manager in 1987.
It has been reported that the Gates’ did not have a prenuptial agreement, (in Australia we call them a Financial Agreement) This could mean that Bill will be compelled to hand over a significant amount of his (their!!!) wealth to Melinda in their property settlement, particularly because they have had a long marriage and three children.
A Financial Agreement can be used for those in de facto relationships or marriages and can go some way to ensuring that the assets you bring into the relationship remain yours in the event that the relationship breaks down. These agreements are not just helpful if you are a billionaire. Anyone who has assets they have brought into a relationship that they have earned or inherited can be protected in a Financial Agreement. This can also include future inheritances.
There are strict requirements in law for the Financial Agreement to be binding so if you are contemplating commencing a relationship and you have assets you want protected if you and your partner go your separate ways, talk to us.
