Divorce payouts to be settled by new mathematical formula?
Under the current law in England and Wales if separating couples cannot agree how to divide their assets then it is up to a Judge to make Orders.
New proposals from the Law Commission would mean that Husbands and Wives could calculate how much money they would receive in a settlement using a new formula.
The mathematical formula divides up couples assets based on income and how long they have been married. Launching the consultation Professor Elizabeth Cooke said:
“When two people bring their marriage or civil partnership to an end it is vital that the law is able to help them resolve their financial arrangements as quickly and fairly as possible. The current law creates too much potential for uncertainty and inconsistency. We are seeking consultees’ views on a range of short- and long-term reforms, with the aim of bringing as much certainty as possible to this difficult area of law.”
The review is looking at two specific aspects of the law relating to financial provision on divorce:
- To what extent one spouse should be required to meet the other’s financial needs, and what exactly is meant by needs; and
- What happens to property that one of the partners owned before the relationship or acquired during the course of it.
The review which is due to be published next year will also consider whether family homes should be left out of divorce settlements if they were inherited or acquired before marriage.
It is therefore hoped by the Law Commission that couples will be able to make settlements between themselves and that this in turn would lower costs.
emeryjohnson have a team of specialist solicitors and clerks who can assist you with any queries you may have which involve divorce. Should you require any advice or representation please contact our Family Team on 0116 2554855.