May 19, 2015

Claim against your spouse, 20 years after divorce? You must be joking!

The Supreme Court recently ruled that a wife can make a financial claim against her husband a full 20 years after they divorced.

In this case, the wife made a financial claim against her husband. The husband disputed the claim on the basis that the wife made the claim too late, 20 years after the divorce. Despite the significant length of time that had passed, five Supreme Court Justices unanimously ruled that the wife’s claim should go before a Family Court.

The parties met as students in their early 20’s and married in 1981. They had one son and lived a New Age Traveller lifestyle before their divorce, the Court heard. The husband then went on to set up a company and is now worth an estimated £107 million. Lord Wilson said that the wife who had lived in Suffolk, had raised her son through “16 years of real hardship”. Lord Wilson said that the wife’s claim was “legally recognisable” and not “an abuse of process”. He said, however, that the £1.9 million payout she hoped to secure was too high an amount.

This ruling highlights the fact there is no time limit for ex-spouses to apply to the Court for a financial settlement following their divorce however weak their claim may be.

Even after you are divorced each spouse’s right to make a financial claim against the other remains open unless you are the Respondent in the divorce proceedings and you remarry whereupon your right to make a claim against your ex will be dismissed. Otherwise the claims remain open unless a Court formally dismisses the right to make a claim. If there are no assets or you and your spouse have reached a financial agreement, you can have that agreement incorporated into a legally binding document which can provide for a dismissal of both spouse’s right to make a claim against the other. This is often referred to as a clean break.

A clean break is not always appropriate in every case, however, the Court do have a positive duty to consider whether a clean break is in fact appropriate.

Circumstances often change in the future. A Court Order providing for full and final settlement can be achieved at a modest cost if both parties are in agreement, providing both parties with assurance and security.

If you are considering your own position and circumstances, please contact Carol Toulson, Family Lawyer at Holmes & Hills Solicitors to arrange an initial meeting to discuss your situation. Holmes & Hills have offices in Braintree, Sudbury, Halstead, Tiptree and Coggeshall.

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