Divorce and Property Division: Understanding How Assets Are Split
Dividing property and assets is one of the most important and complex aspects of a divorce or civil partnership dissolution. It is also one of the most significant areas of contention. In this article, our family law team examines property and asset division in divorce and highlights some essential points in this stage of the process.
How will property and assets be split?
In the United Kingdom, divorce and property division are primarily governed by Section 25 of the Matrimonial Causes Act 1973. This legislation outlines the principles courts must consider when dividing assets between spouses. While the law provides a framework for equitable distribution, each case is unique, and outcomes can vary based on individual circumstances. The division of assets and property is typically done via a financial remedy order, a process managed separately but alongside the divorce. Where possible, your family law solicitor can help you finalise a financial settlement alongside the divorce process and without entering contested proceedings in court.
Find out more about financial settlements and divorce in our previous article:
Property and Financial Settlements in Divorce: FAQs and Specialist Family Legal Advice
If you are looking to commence the divorce process, or need advice on a financial remedy order, our family law solicitors, based in Stevenage and assisting clients in Letchworth, Welwyn Garden City, and Hitchin, would be more than happy to assist you. Talk to Tollers at 01483 901 095 or fill out a contact form.
What types of assets are included in a financial remedy order?
When you go through a divorce or civil partnership dissolution, it is important to understand that assets such as property (like your family home), investments, pensions, savings, businesses, and personal possessions could be subject to division. Therefore, it is crucial to identify and value these assets accurately. Seeking specialist advice from a family law solicitor can help ensure that any division of assets is fair and in the best interests of you and your family.
Are there any legal considerations for property division in divorce?
While it is often assumed that assets, including property and finances, will be split 50/50 between ex-spouses, several aspects influence how assets could split in divorce, especially if the court becomes involved in financial settlement proceedings:
- Contributions: Each spouse’s financial and non-financial contributions to the marriage could be considered. This includes income, inheritance, childcare, homemaking, and career sacrifices made for the family’s benefit.
- Needs and Responsibilities: Courts consider each spouse’s financial needs and obligations, including housing, childcare, and ongoing living expenses. The well-being of any children from the marriage is also the first consideration. Any mental or physical disability could also be considered.
- Duration of the Marriage: The length of the marriage can influence the division of assets. Longer marriages typically involve a more significant intertwining of finances, which may affect how assets are allocated.
- Standard of Living: Courts aim to ensure that both parties can maintain a standard of living similar to that enjoyed during the marriage to the extent that this is possible on separation.
These are only a few examples of the factors which could be considered, and financial settlements on divorce can be complex, so it is crucial to seek advice from a family law professional to gain a full understanding.
Reaching an agreement outside of the court process
In many cases, divorcing couples can reach a mutually acceptable agreement regarding property division through negotiation or family mediation. This collaborative approach can help avoid lengthy and costly court proceedings. If an agreement is reached your solicitor can formalise the terms of agreement by submitting an order to the court. This can give both parties security against further financial claims being made in the future.
When couples cannot agree on asset division, the court may be asked to intervene to decide on their behalf. In such cases, the court will consider all relevant factors before issuing a ruling.
Matrimonial Settlement Agreement Solicitors
Remember, seeking professional legal advice tailored to your specific circumstances is essential when navigating divorce and property division matters. Tollers family solicitors will always aim to minimise conflict in dealing with your family matters as far as possible. If you require assistance and want to look at ways of reducing conflict…Talk to tollers on 01604 258558. Our experienced family team is on hand to guide you through and facilitate your financial settlement.
This blog post is not intended to be taken as advice or acted upon, and information may have changed since publication. If you are seeking family law legal advice, don’t hesitate to contact our team of solicitors.
