Reaching a financial settlement within divorce or dissolution proceedings can often be the most complex aspect of your separation. Specialist legal advice is invaluable in ensuring you understand your options and the extent of the court’s powers, whilst not losing sight of what is fair and proportionate.
It is also imperative that before reaching a settlement, you are fully aware of each other’s financial positions. Negotiations should only be undertaken when you have a full understanding of what you each have financially.
When a settlement is reached, which in many cases is by agreement, it should be properly documented alongside your divorce/dissolution to ensure it is legally binding.
Call one of our family law specialists on 0161 930 5151, e-mail us on familyteam@gorvins.com or complete our online form to discuss your financial and property matters upon divorce and how to protect you and your family.
Main points to consider when reaching a financial settlement
There are number of issues that need to be considered when reaching a financial settlement. Although not an exhaustive list, these usually include (and start with) how housing and day to day needs are going to be met fairly.
If the family home is owned, consideration needs to be given as to whether it needs to be sold and if so when it should be sold.
It may be that one of you can take over responsibility for the property rather than selling it. In such circumstances, it may be appropriate / necessary for any property transfer to be in return for a lump sum payment to the other.
If the family home is mortgaged, that will also have a bearing on what orders are appropriate, for example if there is a joint mortgage, can the person seeking to retain the property release the other from the mortgage.
In relation to day-to-day needs, can financial independence from one other be achieved immediately or does it need to be at a point in the future?
Should child maintenance be paid? The living arrangements for any child(ren) will have a bearing on whether it should and if so, how much.
Pensions should also be taken into account and if there is a disparity between the pension provisions that you and your spouse each have, a pension sharing order may be necessary.
What other assets should be considered?
Any financial interest you have, whether owned/held solely, jointly with your spouse or with a third party, should be disclosed. It then depends upon your and your spouse’s financial circumstances as to whether it has a bearing on the terms of settlement and whether it should fall into “the matrimonial pot” for distribution.
This could include, business interests, an interest in a trust, investments, valuable personal items such as an antique collection etc.
Each case should be determined on its own circumstances.
In some cases, the type of asset can add to its complexity and specialist legal advice from Gorvins’ other legal teams, such as corporate, employment, property, private client and the family business teams can be invaluable. The instruction of certain experts may also be necessary such as accountants, surveyors and pension actuaries.
In summary, when dealing with the finances on divorce, there can be a wide range of possible outcomes and therefore specialist advice at the outset is essential. At Gorvins we have an experienced legal team who can advise you upon all eventualities and ensure you are fully informed upon the options available to you and the costs, whilst also providing you with sensible and realistic advice.
How can Gorvins Help?
If you need help or advice on your financial and property matters or are thinking of divorce then speak to us on 0161 930 5151, e-mail us on familyteam@gorvins.com or fill in our online form at the top of this page.
