Financial remedy claims still available many years after divorce

The recent Supreme Court decision in Wyatt v Vince has served as a timely reminder that it is extremely important for divorced or divorcing couples to resolve their financial matters with an order to prevent claims much later on when one or both parties financial positions might have changed considerably. 

Briefly this case concerned a Husband and Wife who met and married in 1981. At that time neither had any assets and they relied on state benefits to live. The Wife had a child from a previous relationship, who was treated as a child of the family and they later had a son together. The Husband’s case was that they separated in 1984 but the Wife said that they stayed together until sometime later. In any event she divorced him in 1992. 

The parties went on with their lives, with the Wife bringing up the children and both continuing to have minimal income and assets but then in the mid 1990’s the Husband began a very successful business which was soon worth millions. In 2011, some 19 years after their divorce, the Wife brought a claim against the Husband seeking £1.9 million. Her case was initially struck out by the Court of Appeal, who said there were no reasonable grounds for bringing it, but she appealed to the Supreme Court. 

The Supreme Court reversed the decision and said that the Wife was allowed to bring her claim against the Husband. The Court said that whilst the Wife’s claim might be weak due to such matters as the lengthy delay in bringing the claim, the short length of the marriage, her lack of any contribution to the Husband’s wealth and the low standard of living during the marriage, she did have a right to be heard and for all the factors to be properly considered by a Judge hearing all the evidence. Her strongest argument being her greater contribution to the upbringing of the children which may merit some award, although the Court suggested this would be more modest than the £1.9 million sought. 

The family department at Griffith Smith Farrington Webb understand that you want to resolve your marital breakdown as quickly and cost-effectively as possible. If you and your former spouse are able to agree financial matters between then that is one way to keep the costs down, but don’t be tempted to cut corners and just leave it as an informal agreement. As this case shows that could be very costly in the long term; even though the Wife’s claim in this situation maybe a poor one the Husband incurred significant legal costs dealing with it. It is likely he will also be advised to offer a settlement to her to avoid the further costs of a contested claim. 

Please get in touch with us for advice as to how your agreement can be turned into a binding order offering you protection against any future claims. Similarly if you are already divorced but did not obtain a financial order contact us to discuss whether now is the time to do so. 

Author: Verity Eunson-Hickey – Family Department

Contact Griffith Smith Farrington Webb on: 01273 324041 or enquiries@gsfwsolicitors.co.

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