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FAMILY LAW SERVICES

FINANCIAL PROCEEDINGS

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Following a divorce (or dissolution, judicial separation or nullity), you can apply for a Financial Order to ensure you are adequately financially supported. This can include the division of property, payment of spousal support, and the payment of child support. A financial remedy order is often obtained as part of a divorce settlement, and can help to ensure that the financial aspects of the divorce are settled fairly and in a way that meets the needs of both parties. The financial affairs of divorcing spouses are not finalised without an order being in place. 

Mediation in Financial Remedy Proceedings

Family mediation is usually cheaper, faster and is a far more amicable way to organise your finances without having to go to Court; however, mediation relies on you and your ex-partner to be willing to negotiate civilly and effectively in order for it to work. Before you can apply for a financial order, you will need to attend a MIAM (Mediation Information Assessment Meeting) with your ex-partner to determine whether or not your matter can be settled through mediation, unless one of the exemptions apply. If mediation is unsuccessful, then you will need to go to Court.

FAQs

The majority of couples will have to attend a MIAM, but there are some exemptions. For example, you will not have to attend a MIAM if domestic abuse was present in the relationship, or if you have a disability which makes attendance difficult.

Financial remedy proceedings may result in one of the following financial orders which will be made by the Court:

  1. A lump sum order.
  2. A transfer of property order.

– This transfers property in sole or joint names to the other party.

iii. A periodical payments order.

– These could be maintenance payments for one of the separating parties or child support payments.

  1. Maintenance pending suit order.

-Maintenance for one of the separating parties or the children could be payable depending on the outcome of the case.

  1. A pension sharing or compensation order.

– Transfer of a pension or part of a pension to the other party.

  1. A variation order.

– Alters a previous order

vii. Avoidance of disposition order.

– Prevents a party from dealing with some property.

viii. A legal services order.

– Provides for payment of legal costs.

The Judge will also be considering if a Clean Break can be made, which would mean you and your former husband/wife would have no financial claim against the other . Any children will be considered first and foremost in order to make their housing arrangements and decide on their maintenance.

Other things taken into account will be:

Age

Ability to earn

Property and wealth

Living expenses

Standard of living

Role within the Marriage/Civil Partnership.

  1.     Financial Settlement by Consent Order

If you and your ex-partner can come to an agreement yourselves (either through mediation or informal discussion), we can assist you in preparing a consent order which details the agreement between you. It is then submitted into Court and considered by a Judge. The Application fee would be £53.

  1. Financial Settlement by Court Order

You will need to petition for a divorce online and can then submit your Form A. Once the application has been issued, the Court will issue a notice of first appointment (Form C) which will set out how the proceedings will begin. It will include a schedule of when relevant documents should be completed and submitted, so you can begin to prepare your argument. Usually, the Court will serve the Form C directly onto the respondent, though the applicant can choose to serve the respondent themselves if preferred.

Before commencing the application for Financial Proceedings, I would like to explain the stages of the proceedings. So that you can have an idea before you embark on the journey.

There is a duty on parties to consider mediation before making any such Application for Financial Remedy Order and any Applicant will be asked by the Court to confirm that they have attended a Mediation Information and Assessment Meeting (MIAM) in most cases. The Court may adjourn Proceedings for mediation if appropriate.

  •    Proceedings are commenced by filing a Notice with the Court called “Form A”. The Application fee would be – £275
  •   The Court issues a Court Appointment – known as the First Appointment.
  •   This appointment must be between 12 1o 16 weeks from the time of submitting your application.
  •   Each party must then no later than 35 days before the date of that hearing file with the Court a completed and sworn Form E (Financial Statement) and must serve a copy of it on the other party.
  •   No later than 14 days before the First Appointment there are further documents which must be filed with the court and served on the other party.:-

        Chronology – this is a brief outline details such as the parties dates of birth, date of marriage, dates of birth of any children, date of separation or divorce proceedings etc.

        Statement of Issues – a concise summary of the financial issues in dispute between the parties.

        Questionnaire – this will often arise from the Form E where further clarification or information may be required. This provides an opportunity to request further documents from the other party where needed.

·   By the First Appointment both parties should know about each other’s finances and the matters about which they agree and disagree.

  •   Both parties must attend.
  •   The appointment is before a District Judge. The hearing is held in private, the only persons present being the Judge, the parties and their legal representatives.
  •   The object of the hearing is to consider what facts are agreed and not agreed between the parties.
  •   The District Judge accordingly may do one or more of the following:
  • Give further directions on how the case is to proceed, e.g. further information might be needed through the answering of questions and producing further documents, an independent joint valuation may be needed where there is disagreement between parties as to the value of an asset, further evidence may asked for from either party
  • Refer the matter to an FDR (Financial Dispute Resolution Hearing) (Stage 3)
  • Adjourn the case for the parties to go to mediation if it is considered appropriate.
  • If the matter is not going to be capable of resolution by mediation or FDR hearing, fix the case for a final hearing as quickly as possible (Stage 4).
  •   Both parties must attend, neither is required to give evidence
  •   The objective is for the Court and the parties to try and reach an agreement.
  •   The Judge is able to give an indication of how they would divide the matrimonial assets and encourage parties to reach an agreement. Therefore, the Court needs to be notified of all offers, proposals and responses that either party has made to the other to settle the matter. The Judge can discuss these proposals openly with you.
  •   At the FDR the District Judge may do any of the following:
  • Adjourn the hearing if appropriate
  • Make a Consent Order if parties reach a settlement
  • Give further directions if parties have not settled and further information or clarification is required.
  • Fix a final hearing if there is no settlement.
  •   Both parties must attend and give oral evidence if required.
  •   They may also be subject to cross-examination by the other party’s legal representative.