
Valuing Property in Your Divorce
If you have taken the decision to separate from a husband or wife, it is tempting to leave sorting out financial and property matters and things can drift. Alternatively, a husband or wife can rush into an agreement, often without first getting accurate or up to date valuations of property and other assets.
Which Property Should be Valued in Your Divorce?
It is assumed by a separating couple that only the family home needs to be valued as part of their separation or divorce. That is not necessarily correct, as it is important that all relevant property is valued.
What then is ‘’relevant property ’’ that should be valued? The honest answer from a Whitefield divorce solicitor is that it all depends on the individual personal and financial circumstances of a husband and wife. However, property can be relevant even if it is owned in the sole name of a husband or wife. Property does not have to be owned jointly to be relevant to divorce proceedings and form part of the family wealth and financial settlement options.
If a husband and wife are splitting up then consider valuing:
The family home ; and
Any second home or holiday home or chalet (including overseas property ) ; and
Buy to let property portfolio; and
Any property owned by a family business. This is because if the property is included in the company business accounts the company shares cannot be accurately valued unless there is an up to date valuation of the property ; and
Any property held within a pension fund, such as a SIPP. This is because the value of the pension fund cannot be accurately ascertained without an up to date value of the property held in the pension fund ; and
Property owned by a third party, for example a family member, if a husband or wife has a beneficial interest in the property.
An expert divorce solicitor will look at the financial disclosure and advise you on what property should be valued and talk to you about the best way to obtain accurate valuations. The solicitor’s advice may depend on a range of factors, for example, the length of the marriage or when a property was last valued. Sometimes an independent surveyor may have recently valued business or pension property for business related or pension administration purposes. That can mean that a further report is not necessary but careful thought should be given to the purpose of the original valuation and the reliance that can be placed upon it.
[related_posts]
Valuing Property in Financial Court Proceedings
The first step in reaching a financial settlement is to find out what the family home and other property and assets are worth. If property and assets are not accurately valued then the financial settlement can result in unfairness to either the husband or wife.
If a couple cannot agree on the value of a property value, a court can order a formal valuation by a surveyor who is a member of the Royal Institute of Chartered Surveyors.
Normally a family judge will say that one surveyor, jointly instructed by the husband and wife, should undertake a valuation of property for use in financial court proceedings. The main advantage of using one single joint expert is there are no conflicting opinions on a property value by different surveyors and costs do not escalate by surveyors going to court hearings to justify their different property valuations.
A single joint expert is:
Independent of both husband and wife ;
Will not of had undisclosed prior dealings with either the husband , wife or the property ; and
Not influenced by whether the property is owned jointly or by the husband or wife or jointly with a third party. This is because the expert is focussed on the value of the property and not its ownership; and
Under professional and court rules on reporting duties to ensure that the report is independent and impartial.
Specialist Whitefield divorce solicitors also recommend that you take advice on the tax implications of the sale or transfer of property so that the tax bill can be factored into the financial settlement to achieve a fair net result.
A divorcing couple can worry about the cost of getting legal advice, property valuations and tax advice. However, given the importance of knowing how much property and assets are worth before looking at the wide range of property solutions, it is always sensible to get expert advice before deciding what to do. The cost of this advice and preparing any legal documentation is tiny compared to the cost and stress involved if something goes wrong without the right valuations and documentation in place.
For legal assistance with divorce financial settlements and representation in financial court proceedings please contact our expert divorce lawyers today
Robin Charrot
Nov 18, 2019
·
5 minute read

How to Reduce the Stress of a Divorce
As leading Cheshire divorce solicitors, we are often asked if there is a simple hack to reduce the stress of a divorce. Many people thought that the government announcement that it intends to introduce ‘’no fault’’ divorce would result in less stressful divorces but most divorce solicitors say most of the stress of a divorce comes from:
Taking the initial decision on whether to separate or not;
Thinking about how you will tell the children about a planned separation or the decision to start divorce proceedings ;
Reaching an agreement about how much time the children will send in each household ;
Breaking the news of your decision to separate to close family or to mutual friends;
Worrying about how you will cope financially after a divorce ; that can either be immediate worries or long term concerns about the effect of getting divorced and the impact on your pension and retirement planning;
Concerns about whether or not you will need to move out of the family home and, if so, how that will affect the children, for example ease of getting to their current schools or seeing friends.
A good divorce solicitor will tell you that there is no one magic solution to reduce divorce stress, but some simple steps can help:
Take time for yourself
If you are facing a separation or divorce, you may be worried about how your children or family will react to the news. Often your wants and needs are low down on your list of priorities. Whilst that is understandable, it is not healthy. Whilst it is not legal advice, most good divorce solicitors would recommend that you take time for yourself, whether that is taking time for a chat with a friend or a trip to the gym.
Acknowledge how you are feeling
If you are feeling emotional or you think things feel out of control then speaking to a counsellor or to your doctor about how you are feeling can be a good option.
Limit social media
Social media and contact with friends via face book and other social media sites can be a comfort but it can equally be the major cause of divorce stress. That is because content and messaging, especially with a former partner, can quickly become overwhelming and distract you from the things that you do need to sort out.
Talking to the children
Parents are often reluctant to tell their children about a planned separation. That is normally because they want to protect their children for as long as possible. Parents also tend to think that they cannot talk to their children until they themselves know the answers to what the agreed parenting arrangements will be or whether the family home will be sold or not. However, children will pick up on the atmosphere or tensions at home and normally adult stress levels are reduced once children have been told about a planned separation.
Take legal advice
A divorce solicitor will be able to reach an agreement over parenting arrangements, custody and access and your financial settlement options. Practical and pragmatic advice taken either before your separation or at an early stage after your separation can help you reduce divorce stress and the likelihood of contested children or financial proceedings.
[related_posts]
For legal advice on your divorce or dissolution of civil partnership proceedings please contact us.
Robin Charrot
·
3 minute read

Does the Length of a Marriage Affect the Divorce Settlement?
It is tempting to answer the question ‘’does length of marriage affect divorce settlement?’’ by saying that ‘’it all depends’’. However, many would say that reply is a typical politicians or lawyer’s answer and, if you are getting divorced, you want a clear answer, not something woolly.
The reality though is that the length of a marriage is a relevant factor when the court decides how much a husband and wife should get in a divorce financial settlement. Just how relevant the length of the marriage is depends on the couple’s financial and personal circumstances.
The short marriage and the divorce financial settlement
Many people assume that if a couple have only been married for a couple of years then the divorcing spouse will not get spousal maintenance or even a ‘’pay out‘’ or divorce financial settlement but it all depends.
If three couples have each been married for two years the financial settlement will be different for each couple, as highlighted by these three case examples:
Couple 1 Janet and John
Janet and John are both high flyers and each owned property before their marriage. They have no children. The short length of their marriage will be highly influential in reaching a financial settlement and clean break financial court order.
Couple 2 Mariah and Nick
The couple only got together just before their marriage two years ago and shortly afterwards the twins arrived. Mariah left work to look after them as Nick agreed juggling work and childcare was not in the interests of the twins. Although the couple have only been married for two years, the length of their marriage is not highly relevant, as the court will focus on the children’s needs when determining a fair financial settlement.
Couple 3 Bill and Ben
Bill and Ben married two years ago but within a matter of months, Bill realised that he had made a mistake. He has moved out and started divorce proceedings. He has assumed that he will get a clean break financial court order as the couple only lived together for twelve months out of their two-year marriage.
However, before the marriage, Bill and Ben had lived together in a continuous relationship for about fifteen years. The court takes into account pre-marriage cohabitation when looking at the length of the marriage, if it was ‘’seamless living together’’.
Although the marriage may have officially only been of two years duration, the family court could assess it as a long relationship of seventeen years when looking at what sort of divorce financial settlement would be fair to both Bill and Ben.
Does the length of marriage affect divorce settlement?
The case studies show that when a Whitefield divorce solicitor answers the question ‘’ does the length of a marriage affect divorce settlement ‘’ with a ‘’maybe’’ that whilst it may be a woolly answer it is the correct one until more information is available on a couple’s financial and personal circumstances.
For help with your divorce financial settlement please contact our specialist divorce lawyers.
[related_posts]
Robin Charrot
·
3 minute read

Divorce and Dementia
Living with a husband or wife who has dementia can be more than some spouses can cope with, especially when there were marital difficulties for a long time prior to the dementia diagnosis.
Although there is an increasing amount of support available and understanding of the impact of a dementia diagnosis on the family, for some married couples the right option is divorce. That is particularly the case when the breakdown of the marriage is not thought to be due to the personality changes that sometimes occur following the onset of dementia.
Divorce proceedings and dementia
Whether the dementia diagnosis has played any part in the reasons for the marriage breakdown there are likely to be feelings of guilt about the divorce and worry about how a spouse who is ill will face the future.
A diagnosis of early onset dementia can be particularly cruel when a husband or wife is relatively young. However, a spouse can find the situation at home equally unbearable.
As a Whitefield divorce solicitor, I have advised a number of spouses who have contemplated separating or divorcing after there has been a diagnosis of dementia. Many are loath to take legal advice, as they fear judgement by family, a solicitor or the court. It is an impossible situation to be in and I recommend that legal advice is taken so that you know what your options are.
Financial settlement and dementia
If you decide to separate, it is important that you get specialist legal advice. This is because in some financial and pension circumstances it will be in both of your interests not to get divorced. In other financial and pension circumstances it will be important to get divorced, rather than just live apart, so the court can make a pension sharing order.
When you are thinking about a separation or a divorce most people do not want to base their decision on whether to get divorced or not on financial considerations but the impact of not getting expert advice can have a massive impact on your retirement and personal and financial circumstances.
Many people worry about how a dementia diagnosis will affect a financial settlement. The court takes a number of factors into account when deciding what a fair and reasonable financial settlement is. One of those factors is the health of the husband and wife. A dementia diagnosis means that a spouse’s needs will be carefully considered by the court. However, the court will aim to make a financial court order that meets the needs of both husband and wife.
Dementia and taking part in divorce and financial settlement court proceedings
People also worry about whether a spouse will understand divorce and financial proceedings and think that they cannot get divorced if their spouse cannot play a part in court proceedings and instruct a solicitor. If a spouse does not have capacity to instruct a solicitor or make decisions you can still get divorced and reach a financial settlement. That is because court rules provide for your spouse to be represented in the court proceedings and their interests protected.
[related_posts]
How can Evolve Family Law help?
The decision to separate or divorce is never easy. It is even harder when a spouse is ill. In my experience as a Whitefield divorce solicitor, it is possible to divorce with dignity after a diagnosis of dementia as in many situations, whilst a spouse cannot cope sharing a home, they want their spouse to be provided for. The first step is to look into your options so you can make an informed decision about what is right for you.
For advice about separation or divorce or financial settlement options please contact us.
Robin Charrot
Nov 04, 2019
·
4 minute read

Dealing with Debt in Divorce or Separation
Divorce and debt sounds a depressing topic. However, it is a subject that has to be discussed by many couples who are thinking about separating or getting divorced.
Putting off a separation or divorce because you are in debt is rarely a good idea unless you think that the marriage still has a chance of working. If you think your judgment is impaired by the debt, it is sensible to take advice on your options.
Debt and divorce proceedings
Many Whitefield divorce solicitors find that debt is one of the major reasons behind the decision to start divorce proceedings. For example:
A spouse may have hidden spending from their partner so they have lost trust in them;
Family debt has arisen and because of financial pressures, arguments have escalated.
Debt issues can be included in a divorce petition based on a spouse’s unreasonable behaviour. There is often a reluctance to agree to a divorce if allegations are made about debt and spending.
When a couple agree that a marriage is at an end the simplest solution is for the respondent to the divorce proceedings to agree to the divorce and to say that they do not accept the debt allegations in the divorce petition. That way the husband and wife avoid the cost of contested divorce proceedings. However, the respondent to the divorce petition can argue his or her case in any later financial court proceedings.
Debt and financial disclosure
If you are negotiating a financial settlement or asking the court to make a financial court order, it is vital that all debt is disclosed. In financial court proceedings, financial disclosure involves giving information about assets and debts.
Debt can include joint debt and individual borrowings. Debt is not just overdrafts and loans but includes credit and store cards, gambling debts, money owed to family or car loans and hire purchase commitments.
As well as providing details of the debt, it is important to disclose how much is repayable each month and the debt repayment date. Without that additional information, financial settlement options cannot be explored.
Am I liable for the debt in my spouse’s name?
If your spouse took out loans or debt in his or her name then the person or organization owed the money cannot pursue you for recovery of the debt unless it is legally assigned to you.
However, in family court proceedings the judge can take into account debt in one spouse’s sole name. The court may have to decide if the debt is ‘’family debt’’ or ‘’non-family debt’’. For example, if a wife took out a credit card to pay for family holidays and clothes for the children the court is likely to class the loan as family debt even if the husband did not agree with all the spending. However, if a loan was used to buy presents for a new partner or furniture for a new house it is likely that it would be viewed as non-family debt.
[related_posts]
What happens to non-family debt in divorce and financial court proceedings?
If you can establish that a spouse has incurred debt purely for their benefit then a divorce solicitor can argue that the debt should be ‘’added back’’ to the assets of the person who incurred the debt.
Normally the divorce court will only add back non-family debt to the family asset pot if the expenditure was wanton and reckless.
Non-family debt can be a highly emotive topic. However, it is always important to weigh up the extra legal costs involved in analysing the debt and the benefits to be gained from pursuing the legal argument.
Your divorce solicitor should help you stand back from the situation to work out if it is in your financial interests to pursue the argument. It will all depend on the amount involved, how ‘’reckless ‘’ the expenditure was and the potential additional legal costs.
For help with divorce proceedings or financial settlement solutions and financial court orders please contact our divorce lawyers today.
Robin Charrot
Oct 14, 2019
·
4 minute read

Can I Give Property To My Relative During Divorce?
It is difficult if you are getting divorced or are contemplating separating from your husband or wife, to answer the question "Can I give property to my relative?’’. On the one hand, you do not want your marital troubles to affect your decision to give money or property to a relative. On the other hand, you do not want your actions to appear as if you are deliberately trying to give assets away so your husband or wife will not be able to make a financial claim against the asset in any subsequent divorce and financial proceedings.
Our Manchester divorce solicitors acknowledge that it is a tricky issue. What can be a genuine gift to a relative can be perceived as a clever ploy to reduce a divorce financial settlement. In other cases, a gift of property or money to a relative can easily be seen as a clumsy attempt to try to defeat a spouse’s financial claim. Take the case example of a husband transferring his share in a property investment portfolio to his wealthy brother, the week before the husband leaves his wife. If a husband or wife wants to make a claim against the property given away to an elderly or impoverished relative, the spouse can be viewed as greedy. Take the case example of a wealthy husband and wife, where the husband paid for his parent’s council home so his parents could own their own home and have security.
There are many examples of where either a husband or wife has given money to a relative, only to find that their spouse challenges the gift in later divorce financial proceedings. Take the real life case of lawyer, Melanie Panzone and her former husband and banker, Jonathan Read. He bought a holiday apartment in Panama for £300,000. Fair enough, you might think. However, ownership of the apartment was put in his mother’s name. Mr Read said it was a thank you for all his mother had done for him.
A family judge ruled that Mr Read beneficially owned the apartment. This meant the asset was brought into the equation in the divorce financial settlement. Mr Read’s mother disagreed with the ruling of the first and second family law judges. She has appealed the decision to the court of appeal. If the court of appeal agrees with Mrs Panzone’s mother in law, then the holiday home apartment may be transferred back to her.
[related_posts]
Property division in divorce: Can I give property to my relative?
The case of Mrs Panzone and her ex-husband, Mr Read, and Mrs Panzone’s mother-in-law demonstrates what can happen if you give money or property to a relative, even if the transaction takes place prior to the breakdown of the marital relationship.
Our Manchester divorce solicitors recommend that if you are contemplating a separation or are already going through divorce proceedings that you take expert legal advice before giving property or money to a relative. That is because if the gift is thought, by your ex, to be a device to reduce the size of their financial settlement, they could ask the court to set aside the property transfer and your relative could be invited to intervene in the divorce financial proceedings. That can add to the cost and the complexity of the financial proceedings.
Sometimes giving money to a relative whilst in the midst of divorce proceedings is the best way to resolve a financial impasse with your husband or wife. If you are not able to reach an agreement over whether a spouse should receive £x or £y as their financial settlement, the solution may be to give the difference to the adult children to fund a house deposit or to pay off part of their mortgage. After all, you may find with a bit of communication between husband and wife that they both planned to help their adult children with a lifetime gift.
The key to successfully giving property to a relative is to:
Take legal advice before making the gift – this applies whether or not you are contemplating a separation at the time that money or property is given away;
Discuss your plans to give property to a relative with your spouse and other key family members;
Record the agreement and the basis of the transfer of property to the relative – although the record of the agreement will not mean that your spouse cannot challenge the transfer it is evidence of the rationale behind the gift;
If you are concerned that your spouse might challenge a large gift of money or property to a relative or the transfer of a large part of wealth into a discretionary trust then take legal advice on the option of a post nuptial agreement. The agreement could simply record that your spouse accepts that the transfer is a genuine gift to your relative or could be more wide ranging and set out how your remaining assets will be divided between you if you later decide to separate or divorce. A postnuptial agreement is just part of sensible estate planning, in the same way as making tax efficient lifetime gifts to relatives or making a Will.
For legal help with financial settlements and divorce, for help in intervening in financial proceedings or for advice on drawing up a postnuptial agreement please contact us
Robin Charrot
Jul 24, 2019
·
5 minute read

No Fault Divorce Bill
The government has acknowledged that its plans to bring in legislation to introduce no fault or no blame divorce proceedings and dissolution of civil partnership proceedings in England and Wales may result in an increase in divorce proceedings.
The Secretary of State for Justice, David Gauke made a statement recently saying that people were holding off starting divorce proceedings until the new UK divorce law comes into force. The government thinks that when the new divorce law is brought in there may be a spike in the divorce rate but the divorce rate will then level off and ultimately will be about the same.
Manchester divorce solicitors have welcomed the Divorce, Dissolution and Separation Bill as the Bill, when it becomes law, will remove the requirement to make allegations about spousal behaviour in divorce petitions.
Proposed new divorce law
The government is plans to change divorce law and civil partnership dissolution to:
Remove the ability of a husband or wife or civil partner to oppose a divorce or dissolution of civil partnership in court;
Make ‘’irretrievable breakdown’’ of a marriage or civil partnership the only ground for divorce or dissolution of civil partnership. There will be no need to prove one of the current ‘’facts’’ to get a divorce, such as unreasonable behaviour. Instead the spouse or civil partner seeking the divorce or dissolution of civil partnership will have to provide a statement of irretrievable breakdown;
Keep the two-stage decree nisi and the decree absolute divorce process;
Provide a minimum timeframe of six months from start of the divorce petition stage to final decree absolute of divorce or civil partnership. This six month period is to allow time for reflection before the divorce proceedings or dissolution of civil partnership proceedings are finalised;
Allow couples to jointly start divorce or dissolution proceedings should they elect to do so.
Although the government minister has said that couples who are thinking about starting divorce proceedings or dissolution of civil partnership proceedings may delay their court proceedings until the divorce law reforms become law, divorce solicitors say that for some couples a delay in starting divorce or dissolution proceedings may not be in their interests.
The current divorce law
Currently there is no such thing as a ‘’no fault’’ divorce or dissolution of civil partnership. If you want to get divorced, without waiting, in England, you have to show that your marriage has ‘’irretrievably broken down’’ and cite either adultery or unreasonable behaviour. A civil partner can only cite unreasonable behaviour in a dissolution of civil partnership petition.
Avoiding an acrimonious divorce
The top Manchester divorce solicitors believe that, in most cases, experienced divorce solicitors can help avoid any acrimony when starting divorce proceedings, based on adultery or unreasonable behaviour, by:
Giving advice that in most situations the basis for the divorce proceedings or civil partnership proceedings will not affect the custody arrangements for the children or who gets the house ; and
Preparing the divorce paperwork in a way that avoids unnecessarily inflaming any tension between a husband and wife or civil partners; and
Helping a couple look at the major issues that need resolving, such as access and contact arrangements for the children, payment of child support and spousal maintenance and sorting out a financial settlement and financial court order.
[related_posts]
Should you delay your divorce?
Some couples are already asking top Manchester divorce solicitors if they should delay getting divorced now to avoid having to say that their partner has committed adultery or behaved unreasonably in the divorce petition. The top Manchester divorce solicitors say that:
Starting divorce proceedings because of a spouse’s unreasonable behaviour or adultery does not have to increase animosity between a couple if there is a an explanation given by divorce solicitors of why you are having to include the allegations in a petition;
In some family situations, it is vital to start divorce proceedings without delay. For example, if you are worried that your spouse could start divorce proceedings in another jurisdiction or if you are concerned that a delay in starting divorce proceedings could reduce the amount of a financial settlement. For example, a spouse could spend a pension lump sum payment or a spouse could transfer or hide assets.
Top Manchester divorce solicitors recommend that if you are contemplating a divorce or dissolution of civil partnership that legal advice is taken on the timing of starting court proceedings. That is because new legislation is not the only way of ensuring that you can get divorced without acrimony, as a lot depends on your choice of solicitor and willingness to communicate and compromise where appropriate.
How can Evolve Family Law solicitors help?
For advice on starting divorce proceedings or dissolution of civil partnership proceedings or for children law or financial settlement advice contact us
Appointments available in Manchester and Holmes Chapel, Cheshire
Louise Halford
Jun 26, 2019
·
5 minute read

Should We Separate or Divorce?
Deciding whether to separate is never straightforward, whatever your circumstances. Sometimes the decision is not of your making and that can be as difficult to come to terms with.
At Evolve Family Law, we talk to clients who are:
• Not sure of what they want to do; or
• Clear that divorce is the right option for them; or
• Have been separated for many years and want advice on changing or enforcing financial or children court orders.
Many people are wary about taking divorce advice because they think they should know what they want to do before they see a solicitor. That is not the case. Experienced solicitors always like to discuss options so you can make an informed decision about what is right for you.
Should we separate?
That is a tough decision that only you can make. As experienced Manchester divorce solicitors, we can talk to you about your legal options and potential outcomes. Many people canvass views from friends and family when deciding whether to separate. Everyone has his or her own experiences and agenda but what Evolve Family Law will not do is push you into a separation or divorce.
When should I tell my partner?
Timing can be crucial, as you may want to think about making sure that you have access to funds, your paperwork and possessions before talking to your partner. You may also want to make sure that you or your partner can have space away from one another. For some people that involves making sure they can stay with friends or family or that their partner can do so. If you are worried about your partner’s reaction, you may need an injunction.
Talking to the children
Ideally, parents should talk to children together so that the children know that both parents are going to continue to look after them, but in separate households. There is a lot of information and support available for both parents and children to help parents answer children’s questions in an age appropriate way.
Leaving the family home
It is always sensible to take legal advice from a Manchester divorce solicitor before leaving the family home. Many people think that if you leave the family home you will lose your claim to a share of the property. That is not the case but the decision to leave the family home can have a big impact on the children and on how long it can take to reach an agreement. Legal advice is therefore key to making the right decision, rather than feeling pressurised or desperate to leave, as you do not know your options.
Secure your computer and your documents
If you take the decision is taken to separate you may want to keep some information private. Think about changing passwords for your phone, laptop or computer.
At a later stage, you will need to provide your financial documents and paperwork. If you are concerned that your partner may remove your paperwork make sure that you put it in a safe place as it can take time to obtain duplicate information.
Joint bank accounts and credit cards
If you and your partner have joint bank accounts and credit cards you may want to think about making sure that funds are not taken from the accounts. Ideally, this is something that should be agreed. However, if you fear that funds could be taken then accounts can be frozen or overdraft or credit facilities reduced.
Many couples who are able to split up on an amicable basis continue to use a joint account until they reach a financial settlement. This is not appropriate for all families.
[related_posts]
Maintenance and child-support
People worry about paying bills if they split up from a partner. Ideally, after taking legal advice, you and your partner will discuss financial support to include spousal maintenance or child maintenance until you decide, on a long-term basis, how assets and property should be split.
Taking advice from a Manchester divorce solicitor will help you know what is fair and reasonable. If you cannot reach agreement then mediation may help you sort out temporary financial arrangements. If you and your partner struggle to agree then the court can make temporary financial support orders.
Whether you decide to separate, divorce or stay Evolve Family Law can help you explore your legal options so you can make an informed decision.
For legal help with divorce proceedings and financial claims or childcare arrangements please call Contact Us Today
Robin Charrot
Feb 19, 2019
·
4 minute read

Enforcing Financial Court Orders
As a Manchester divorce and family finance solicitor I spend my days negotiating financial settlements or representing clients in divorce and financial court proceedings. However, after many years of experience in family law, I appreciate that even after you have secured a financial court order it is not over until a husband or wife has received their divorce financial settlement.
The high profile case of Farkhad and Tatiana Akhmedova really emphasises just how difficult it can be to enforce a court order and get the money after a divorce financial settlement.
The case of Farkhad and Tatiana Akhmedova
In 2016, an oil and gas tycoon, Mr Akhmedov, was ordered to pay about 40% of his wealth to his wife, Tatiana. The award by the high court in London was hailed as one of the biggest divorce settlements at the time that it was made .That is because the Russian billionaire had been told by a London judge to hand over about 453 million to his ex-wife.
Roll on two years; Mr and Mrs Akhmedov have hit the headlines again. Mrs Akhmedov has finally received some of her divorce financial settlement. The path to her getting the money has been far from straightforward. Mr Akhmedov reportedly did not agree with the court decision, believing it to be wrong.
That left Mrs Akhmedov with a financial court order that said she should get a 90 million-art collection, property in England worth 2.5 million, a £350,000 car and a 350 million cash payment. However, the reality was that she had little more than a piece of paper from the court that was only worth anything if it could be enforced.
Applying for a freezing order after the settlement
As Mr Akhmedov had not complied with the financial court order and handed over the cash and property in accordance with the financial court order Mrs Akhmedov applied for a freezing order. She then employed specialist asset tracers to try to locate and unravel ownership of assets to ensure that she got her financial settlement.
Although the figures for Mr and Mrs Akhmedov are eye watering it is nonetheless the case that freezing orders have to be considered either during or after financial court proceedings. After all, there is little point in obtaining a financial court order if it cannot be enforced because the assets have disappeared through sale or transfer to third parties.
Recovery of assets after the divorce settlement
The asset tracers employed on behalf of Mrs Akhmedov have recovered a helicopter that was used to transport people to Mr Akhmedov’s yacht. It is reported that the sale of the helicopter has raised just under 5 million. The yacht is impounded in Dubai. There is ongoing legal argument over seizure of the 300 million super yacht and the recovery of other assets.
Enforcing the court order
You may wonder why Mr and Mrs Akhmedov are locked in such an expensive court battle. The rationale behind Mr Akhmedov’s objection to complying with the London financial court order is, at its simplest, that he does not believe the London high court had jurisdiction to make the financial court order for a variety of reasons. Furthermore, Mr Akhmedov maintains that the assets are held in trust or by companies and therefore the financial court order cannot be enforced against them.
Enforcing court orders: getting the money after a divorce financial settlement
You may question how the case of Mr and Mrs Akhmedov is of relevance to anyone other than Russian oligarchs. However, the principles of enforcing court orders and getting the money after a divorce financial settlement are just the same whether you are seeking to recover multi millions or thousands of pounds.
[related_posts]
Tips on enforcing court orders after a financial settlement
In my experience when it comes to getting your money after a financial court order it is sensible to:
Plan ahead : ideally you should take legal advice before you separate so that you know where you may stand financially ;
Get a tenacious solicitor : you will need a solicitor who is proactive and a specialist family lawyer if you need to try and find assets during the financial court proceedings and recover assets after the financial court order has been made;
Think about enforcement and recovery when negotiating the financial settlement: sometimes you want the holiday property in Barbados as part of your divorce settlement. It does however reap rewards if you think about how easy it will be to enforce the court order before you finalise the financial settlement;
Take advice on injunctions to preserve assets: if you fear your spouse will deliberately sell or transfer assets to defeat your financial claims you can apply for what is known as a section 37-injunction order;
Take care with the wording of the financial court order: make sure that the order is expertly drawn up to help with enforceability. For example , if the court order says the family home is to be sold anticipate issues and have clauses put in about how the sale price will be determined or what happens if you receive offers on the property and cannot agree on the sale price;
Do not delay: if you have a financial court order and it has not been complied with in the court ordered timetable do not delay in enforcing the court order. Delay may be very prejudicial to you, for example if your spouse is at risk of bankruptcy or might leave the UK making it harder and more expensive to trace assets.
It goes without saying that as well as needing a tenacious divorce and family finance solicitor you also need to be equally tenacious and patient. These are skills that Mrs Akhmedov has probably had to learn since her 2016 financial court order.
For legal help with financial claims in divorce proceedings or enforcing financial court orders please Contact Us Now
Robin Charrot
Feb 11, 2019
·
5 minute read
Can't find what you're looking for?
Getting in contact with Evolve Family Law could not be easier.
We put a lot of legal information on our website and if you have a single question about your situation, you should find an answer in our blog here.
If you need a greater level of help, please use this form and one of our team will call you to make an appointment. Please note that we cannot offer Legal aid.
Unfortunately due to the level of single question enquiries we receive, we cannot guarantee to provide written answers to individual questions posted via this enquiry form.
1
Call us on 0345 222 8 222
2
Email us at info@evolvefamilylaw.co.uk