Finances are one of the biggest topics facing a separating family. The exact circumstances will differ for each couple, but every marriage involves a financial commitment which must be untangled as part of a divorce.
Over several episodes in season one of this podcast series, hosts Sam Longworth, Jenny Bowden and Tim Carpenter are joined by other experts in the team to explain the financial process in divorce situations, as well as providing tips on how to achieve a successful outcome.
Episode 3: Divorce finances – an introduction
Jenny is joined by partners Toby Atkinson and Carly Kinch in the first of three episodes focused on the financial aspects of divorce and separation in England and Wales.
The conversation begins with an explanation of what dealing with finances on divorce means. One of the key points is that there is no ‘one size fits all’ for divorce finances, and it is a common myth that one formula is applied in every case. Some clients are surprised to hear that this is a discretionary area of the law, so there are no fixed percentages or solutions.
Factors taken into account include the length of the marriage, the family’s standard of living, contributions made to the family and more. Assets generated during the marriage will be subject to the ‘sharing principle’, explained in more detail in the subsequent episodes.
This episode also outlines the three stages in the process: disclosure, negotiation and implementation (putting the agreement or order into effect). Jenny, Toby and Carly touch on the different routes that can be taken through these steps, which are explored in more detail in subsequent episodes of the podcast.
Episode 4: Divorce finances (2) – process and principles
Matthew Humphries and Harriet Franks meet with Jenny in the second part of this three part introduction on divorce finances.
Once divorce proceedings are issued, either party can start a formal financial court process known as financial remedy proceedings. The main goal of the court in the divorce process is to reach a result that meets the needs of both parties and distributes the assets in a ‘fair’ way.
Going into more detail on the disclosure, negotiation and implementation phases of the process, Jenny, Matt and Harriet explain the documents involved and lay out a timeline of what happens at which stage. The First Directions Appointment involves each party laying out their disclosure at the same time. Following this, the Financial Dispute Resolution hearing offers an opportunity for the parties to negotiate a financial settlement with the input and assistance of a family law judge. If this does not succeed, both parties will make arguments before a judge to make a final, binding ruling.
Other topics covered in this episode include the principles of ‘sharing’ and ‘needs’ and how these determine a divorce settlement, as well as the orders the court can make including maintenance, capital lump sums, property adjustment, pension and clean break orders.
Episode 5: Divorce finances (3) – tips and traps
Wrapping up the finances element of season one, Sam is joined by fellow senior partners Emma Hatley and Adrian Clossick to cover dos and don’ts when approaching the financial elements of separation.
The early stages of these discussions are often about trust and practicalities. Parties involved in a divorce should accept the need to confront the issues head on, and be sure to keep their lawyer and their soon to be ex-partner informed. Sam, Emma and Adrian agree that mutual focus on process and practicalities is essential.
This episode also involves tips and potential pitfalls for the disclosure, negotiation and implementation phases. Long-term thinking is important throughout all of this, as is being prepared to refresh your thinking if necessary to reach solutions.
How to listen and subscribe
Season 1 of the podcast is now available to listen to in full. You can listen to each episode below using our embedded player or all episodes are now live via Spotify, Apple, Google Podcasts, Stitcher and Deezer.
Please click on the link for your preferred platform and subscribe to the podcast for future episode updates. Work on season two is well underway, which will provide a more detailed consideration of specific issues concerning financial and children’s situations on divorce and separation.
You can also listen to more Divorce and Family podcast on our website.
You can find further information regarding our expertise, experience and team on our Divorce and Family pages.
If you require assistance from our team, please contact us.
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