Personal Law > Family > Financial Settlements

Financial Settlements

Whilst there is no obligation for you to deal with your finances upon divorce or dissolution of your civil partnership, we would advise you to do so to avoid future problems.

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You should seek advice before you enter into any agreement with your spouse/ civil partner.

No two cases are the same; which is why we try to understand all of your needs and become familiar with the specific circumstances of your case in order to achieve a resolution that works best for you and puts your mind at ease. If parties cannot agree on a way forward, they may wish the Court to make this decision and to apply for a Financial Order. However, before an application to Court can be made, in most cases, the parties are required to attend mediation. Mediation can assist in agreeing a financial settlement which we can then assist in transferring into a legally binding Order. Alternatively, if mediation fails, a MIAM Certificate will be issued which will allow you to proceed with your application to the Court. Attempting mediation and acquiring a MIAM Certificate may not be necessary in some circumstances, for example, if you have been a victim of domestic abuse within the relationship.

Should the court be asked to resolve financial issues following the breakdown of a marriage, they will consider various factors set out under S25 of the Matrimonial Causes Act 1973.

Taking into account the circumstances of your particular case and with the first consideration being the welfare of any children of the family who are still under 18 years of age.

Those factors are as follows:

  • The income, earning capacity, property and other financial resources (both present and future) of you both.

  • The financial needs, obligations and responsibilities (present and future) of you both.

  • The standard of living enjoyed by the family before the breakdown of the marriage.

  • The age of each party to the marriage and the duration of the marriage.

  • Any physical or mental disability of each of the parties to the marriage.

  • The contributions which each of you have made (or is likely to make in the foreseeable future) to the welfare of the family. This includes any contribution by looking after the home or the children of the family.

  • The conduct of either of you, but only if the court feels it would be inequitable to disregard it.

  • The value to each of you of any benefit which, by reason of the dissolution or annulment of the marriage, you will lose the chance of acquiring.

Our family lawyers can provide tailored advice on the above factors and talk you through your options to obtain the best outcome to meet your needs.

Financial Settlements for unmarried couples

Unmarried couples do not have automatic rights to each other’s property like married couples do and disputes can arise, for example where one party is the legal owner of a property and the other party has a beneficial interest in that property due to making financial contributions towards the deposit or mortgage payments. In such cases, it may be appropriate to make a claim under the Trust of Land and Appointment of Trustees Act 1996 (commonly referred to as a “TOLATA” claim).

This can be a complex area are you should obtain specialist legal advice.

We can assist in assessing your claim and advising on the way forward.

TESTIMONIAL

"I am very grateful for the advice and support I received from From Foys Solicitors. Jayne Kirtley provided clear, professional, and well-considered guidance regarding my divorce proceedings."

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Frequently Asked Questions

The Court often begins with a 50/50 split of matrimonial assets although this can vary based on needs, length of marriage and other factors. The Court will also consider whether one party should pay maintenance to the other.
Key factors that the Court will take into account include the financial needs and obligations of each party, standard of living, age, duration of marriage, health and contributions.
The Court can order a sale, a transfer of ownership or allow one party to remain in the family home until a certain pre-defined event occurs (eg, children attaining 18 years of age or finishing education).
A Consent Order which incorporates the terms of settlement agreed by parties can be approved by the Court within a few months. No Consent Order can be approved until a Conditional Divorce Order has been obtained by one of the parties. If terms of settlement cannot be agreed then a case may take 12 to 18 months if not longer to be finally determined by the Court.
A Court application will only need to be made either to secure a Consent Order or an outcome determined by the Court. Unless an application is to be made for a Consent Order then, with limited exceptions, you must attend a mediation information assessment meeting (MIAM) to see if mediation is appropriate before applying to Court.
A Financial Order that ends all financial ties between spouses including the termination of any future maintenance payments. Should you wish to discuss any of the matters raised above in more detail then please contact a member of the Family Team.
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