5 minute read

Money Matters

from Sussex Living February 2022

from Sussex Living February 2022, page 99

Spotlight Events

DIVORCE

During the early days of wedded bliss, few couples expect their union to end in divorce, but many do, and as Lisa de Silva explains, the divorce laws are being reformed this spring

Statistics from the Office of National Statistics show 42% of marriages in England and Wales will fail and a third will have ended before the 20th wedding anniversary.

From April 2022, the biggest reform in divorce law comes into force and here, we explore how the divorce process in England and Wales is set to change.

THE DIVORCE PETITION To begin the divorce process, you must be married for at least 12 months, have a permanent home in the UK and your marriage must be recognised in the UK. Currently, one spouse issues a Divorce Petition (the petitioner) against their partner (the respondent). The Divorce Petition seeks to prove the marriage has broken down by citing one of five reasons – adultery; desertion; unreasonable behaviour; separation of two years with consent or separation of five years with no consent required. THE INTRODUCTION OF NO-FAULT DIVORCE From 6th April 2022, No-Fault Divorce will be introduced in England and Wales. This will mean one party no longer needs to blame the other for the relationship failing and there is no need to apportion responsibility for the breakdown of the marriage. The five reasons for divorce will no longer be relevant.

Couples will be able to divorce if they both agree that the marriage has broken down and be able to apply for divorce jointly, removing the option for one person to contest the reasons why the marriage broke down. It is hoped that this will reduce the amount of conflict between divorcing couples.

THE DECREE NISI & DECREE ABSOLUTE The Decree Nisi is a conditional decree of divorce pronounced once the court is satisfied that the marriage meets the legal and procedural requirements to obtain a divorce. It’s like having a certificate confirming you are legally entitled to divorce. To simplify things, the Decree Nisi will be known as a Conditional Order of Divorce from April. Under current law, once this has been issued couples must wait a further 43 days before applying for the Decree Absolute, which legally ends the marriage. Under the new reforms, couples will have to wait a minimum of 20 weeks before applying. It is hoped that this longer period of reflection will counter concerns that the reforms will make marriages quicker and easier to end. From April, the Decree Absolute will become known as the Final Order of Divorce. While a Decree Absolute legally ends a marriage, freeing you both to marry other people, it does The Decree Nisi will be known as a Conditional not free you from your financial connections. Without a legally Order of Divorce

The Decree Absolute will become known as the Final Order of Divorce

binding financial settlement an ex can come after your money and assets years after your divorce. FINANCIAL SETTLEMENTS Once you have agreed the division of any money, property and pensions, a solicitor will draw up a Consent Order to document the financial settlement you have agreed. This is used to obtain a Financial Court Order to prevent any future claims against each other. Alternatively, if you have no joint assets, money, or children, you may be able to obtain a Clean Break Order, stating that neither of you are entitled to claim any money from each other. Some couples choose to delay applying for a Decree Absolute until the financial settlement has been agreed. ALTERNATIVE DISPUTE RESOLUTION (ADR) To help couples avoid the stress, time and money involved in deciding their issues in court, the government are keen to encourage alternative ways of resolving problems resulting from family breakdown. These include mediation, collaborative law, and arbitration, all of which can help you reach agreements on children and finances in a less confrontational and more amicable manner, which will ultimately help you both to move on. l

Why is a will important?

Making a will means you can be sure that your property will be properly taken care of when you die. The executors and trustees will be chosen by you.

If you don’t prepare a will – if you leave it to chance – this may result in unsuitable people dealing with your estate after your death. Do you want to make sure your children and dependants are provided for – or to appoint legal guardians for your children? What about if you are an unmarried couple? We are able advise you so that you are able to make provision for your partner on your death. Do you want advice on inheritance tax or making a gift to charity? Again, we can help. You may want to set up a trust in your will (e.g for a disabled beneficiary). We are able to advise on all aspects of trusts and setting up a trust in your will.

Don’t leave it to chance. Speak to a professional while you can.

If you would like further information, please do not hesitate to contact Aileen Francis at Percy Walker. Aileen is a solicitor and specialist in this area of law and a full member of the Society of Trust and Estate Practitioners.