Finances on Divorce

The aim of a financial settlement is to divide the marital resources fairly so that each of you can move forwards independently as soon as possible, whilst being able to meet your income and housing needs and those of any children. What is “fair” will be based on your particular circumstances.

When you’re able to agree the terms of a financial settlement you’ll need to prepare a draft Consent Order setting out the agreement for the court’s approval. The sealed Order from the court will be a watertight document. If you can’t agree the terms voluntarily you may need to consider arbitration or a financial application to court.

The financial settlement will cover all of the financial claims arising at the end of a marriage, including claims relating to the division of assets, income, pensions, property and moveable items, such as cars, artwork and jewellery. It may also deal with maintenance for a spouse and/or children.

The court process begins when you issue a financial application. Upon receipt the court will give directions on progressing your case. This will include directing you and your spouse to exchange financial disclosure in a Form E.

A financial application usually involves three court hearings, as set out below. At the Final Hearing the judge will make an Order deciding the terms of a financial settlement. However, most parties settle between the first and second hearings or shortly afterwards. We will always aim to reach a negotiated settlement at the earliest opportunity even once proceedings have been issued.

Financial dispute resolution hearing

This is where a judge will review the information which has been given and encourage you and your spouse to consider whether you can reach an agreement. If this isn’t possible, the matter will continue to a Final Hearing.