Financial provision on divorce/dissolution

Our Family lawyers have a wealth of experience in handling cases involving complex personal and business financial situations to obtain the best outcome to suit your needs and circumstances and have a strong reputation for success in the high net worth market.

Our team is one of the most highly respected in the region. This is reflected in the consistent top rating received in the Legal 500 and Chambers directories.

The difference between a good and poor outcome is more than simply what share of assets you obtain: it is achieving that with the lowest emotional and financial cost.

It may be that by careful negotiation we can reach an agreement out of court which is then simply recorded in a binding court order.  In some cases it may be necessary to use the court process so that ultimately a judge can impose an order if no agreement can be reached. By listening to you and understanding your circumstances we can advise on the best outcome and means of obtaining it.

Courts have a wide discretion when deciding how to divide finances on divorce or dissolution of a civil partnership. Our level of expertise and experience in advising separating individuals enables us to give clear advice as to the way in which a judge might use that discretion.

There is a list of factors the court must take into account as follows:

• Above all else the welfare needs of any children of the family
• Each party's income, earning capacity and financial resources now and in the foreseeable future
• Each party's financial needs, obligations and responsibilities both now and in the foreseeable future
• The standard of living enjoyed during the relationship
• The parties' ages and the length of the relationship
• Any physical or mental disability of either party
• Contributions both in terms of money and care for the family which either party has made or will make in the foreseeable future
• Behaviour if it is so bad that the court cannot overlook it
• The value of any benefits (eg a pension) which either party will lose upon dissolution

Different judges will apply that checklist in different ways. There is therefore no one "correct" solution, but a range of potential outcomes. Our experience is therefore crucial in advising you on the way in which judges are currently applying that checklist to divide finances. 

The available orders:

Where couples can agree an outcome they can include agreements that go beyond the range of orders the court could impose. Agreed outcomes can therefore be more flexible and more tailored to individual needs.

Where a court imposes an outcome the orders it can make are quite limited as follows:

• Lump sum: one party must pay a sum of money to the other, sometimes in stage payments
• Periodical payments: generally known as maintenance, the court can order one party to pay money to the other for a defined period or on an ongoing basis. Either party can then make further applications to the court to vary the amount
• Property adjustment order: the court can make orders transferring assets between the parties
• Orders about pensions: the court can make a "pension sharing order" so that a percentage of one party's pension is used to establish an entirely separate fund in the name of the other spouse, or "earmark" one party's pension so that they must give some of their pension income and/ or lump sum to the other, or
• Order for sale: the court can order property to be sold to fund one of the other orders set out above

The Court can make orders for the benefit of each party, but also for the benefit of the children in certain circumstances.

The court process

If it is necessary to bring a court application then the court will impose a timetable. The court process is designed to encourage parties to continue to negotiate. If agreement can be reached at any stage then the court process will stop and the court will make an agreed order (a consent order).

In a typical case the timetable is as follows:

1. one party issues an application; the court will draft a timetable and send a copy to both parties

2. each party has about 10 weeks to fill out a form called "Form E" setting out full details of their finances which are then sent to the court and exchanged between solicitors

3. about two weeks after that the solicitors prepare and exchange documentation for the court setting out a brief history of the relationship, a statement of the issues that a judge might have to decide, and a questionnaire if more information is required from the other party

4. about two weeks after that there will be a First Appointment hearing at court. This is normally largely procedural so that a judge can consider and timetable what further steps each party must take to provide all the information the court will require to deal with the case

5. about one to two months after the First Appointment will be a Financial Dispute Resolution appointment (FDR). At that appointment the court will want to know each party's negotiating position. It is a form of court managed mediation and a judge should give a view on the parties' positions to try and narrow the areas of dispute. The judge's views are not binding and, if no agreement is reached, not recorded on the court file

6. If no agreement can be reached then the court will set a date for a final contested hearing at which a judge will hear evidence and argument before imposing a binding decision.

Cases can take up to nine months (or sometimes longer) from the issue of proceedings to the final hearing date. Our role is to give you clear and firm advice at the earliest possible stage to enable you to reach a fair settlement with the minimum cost that best caters for your situation.