Am I entitled to continue the lifestyle to which I have become accustomed if I divorce?

Am I entitled to continue the lifestyle to which I have become accustomed if I divorce?

The end of a marriage often leads to a lot of financial worry for those involved. One factor that many are concerned about is will they be able to continue to afford the lifestyle that they had with their spouse during the marriage. Here, McAlister Family Law Partner, Fiona Wood, looks at what the judges will consider when dealing with the financial aspects of a divorce.

When a financial settlement is made in divorce proceedings the judge will have to look at dividing the capital assets and pension assets in a way that meets both spouse’s capital needs (this is usually housing needs, paying debts and funding retirement – if there are reasonable pension provisions). Once the Judge decides what capital and pension assets the spouses will have, they can then consider if one spouse needs spousal maintenance from the other, or a capital sum in lieu of spousal maintenance, to assist them to meet their needs.

A judge has to consider the lifestyle that the couple enjoyed during their marriage, when considering what a fair settlement is. However, if the couple’s assets and incomes are modest, inevitably both their lifestyles will be negatively impacted by them divorcing. The greater the couple’s assets and income the more likely they will receive a financial settlement that allows them to continue the lifestyle that they had during the marriage.

When dealing with the financial aspects of divorce it is usual for both spouses to state how much they need to buy a house, if they are not saying that they want to stay living in the family home. Where there is less capital, both of the couple may have to downsize as part of their divorce settlement. If there are more assets one may be able to keep the family home and the other purchase another property of a similar value. The value of a house that is suitable for each spouse depends upon the couple’s assets and can be a point of dispute between the couple.

Divorcing spouses also need to state their income needs. Not only does this include essential expenditure such as mortgage payments, food and utility bills, it can also include less essential expenditure such as holidays, entertainment, gardeners etc. Those with significant wealth have huge schedules of income needs, including staff, private jets and the funding of several properties. If the couple cannot agree their settlement and a judge has to adjudicate on the issue, it is likely that they will be asked about their stated income needs and to justify them. To justify them they need to show that this is the level that you and your spouse spent at during the marriage. It is the lifestyle that you had.

Judges are critical of those spouses whose income needs are more of a wish list than a reflection of the lifestyle enjoyed during the marriage. For example if you and your spouse only had one holiday a year in Europe, if you are now saying that you need sufficient money from your spouse to fund several holidays a year, including long haul destinations, a judge is unlikely to say that this is reasonable.

You are not automatically entitled to continue the lifestyle to which you have become accustomed if you divorce, but the lifestyle that you enjoyed as a couple is relevant, and if there is sufficient capital and income it is likely to be maintained,

If you are worried about your financial future if you divorce, you should take advice from an expert family lawyer.

If you or someone you know is affected by the issues raised in this blog post, we can provide you with expert legal advice. For more information, please get in touch with our specialist team at hello@mcalisterfamilylaw.co.uk

We cannot agree on a school – What will the court decide?

We cannot agree on a school – What will the court decide?

If you are separated parents and cannot agree on what school your children should attend there are considerations that both of you need to keep in mind. Here, Jemma Wentworth discusses what happens when a separated couple cannot decide on which school their child should attend, and how the Court’s decision may vary depending on the care arrangement.

If it is agreed between you that one parent is the primary carer, meaning that one parent deals with the day to day needs of the children, and the children’s home is with that particular parent, then common sense must prevail. The school most local to that parent, or the school being selected by that parent, should be first consideration.

If that educational setting is not agreed by the non-primary parent, justifiable reasons must be put forward setting out why another setting should be considered. This is a scenario when obtaining legal advice would be beneficial.

However, if there is a shared care arrangement in place, thereby resulting that both parents’ homes are where the children equally call their home, and if the parents cannot agree on an educational setting, obtaining legal advice is vital and an application to the family court may well be required.

Initially, other forums for alternative dispute resolution to resolve the dispute must be attempted, for example, mediation. If an agreement cannot be reached, a court application should be issued.

The application that would need to be made comes under section 8 of the Children Act 1989 and is for a specific issue application; to specifically address what is the best interests of the children’s education. Within the proceedings evidence shall be put forward by both parents to set out how their proposal is in the children’s best interests.

However, if one parent has taken matters in their own hands and begins the process of changing the children’s school without the other parents’ consent, that parent would need to issue an urgent application to the family court to prevent the children’s removal from that school. This also comes under section 8 of the Children Act 1989 and would be for a prohibited steps order; to prohibit the children’s removal from the school without a court order to do so. In this case, any order of the court would need to be provided to the school as well as all those with parental responsibility.

In all cases and at all times parents are strongly encouraged not just to communicate their wishes, but to co parent effectively for the best interests of their children.

If you need advice on this topic, or any other matters concerning children issues, please get in touch with our private child team at McAlister Family Law.

Divorce and school fees – Will the court make my spouse pay?

Divorce and school fees – Will the court make my spouse pay?

One of the difficult parts of resolving financial issues in a divorce or separation is that, for most people, the lifestyle that they lead, their home and their expenditure is commensurate with the income which they have as a couple / family. Here, Lisa Brown breaks down how a financial dispute within a divorce can effect the school fees of children stuck in the middle. 

When the couple split, that same income must suddenly run two homes rather than one and it is often the case that something has to give.

That might mean a change in the standard of holidays or cars or a smaller home but what happens when it is your child’s education at stake?

For some people trying to make the maths work on a separation, a private education becomes something which is perhaps no longer affordable and / or they may feel that other family expenditure should be prioritised. If both parties agree then potentially there is no issue but very often that is not the case.

Children, on the whole, are an emotional issue when parties separate and it may feel to one party that it is of the utmost importance that a child’s education and some consistency and normality be preserved.

On the other hand, fees for day schools are likely to be in the region of £15,000 per child per year.  Boarding school will be more.  Bearing in mind children can potentially be in education for 14 years this could mean a commitment in excess of £200,000 for each child. This is significant and very often there may be more than one child to consider.

So, what is the court’s view

At the outset I should say that the fundamental question of what school a child attends is not dealt with as part of the resolution of financial claims. The court on an application about finances can only resolve the issue of who pays. That may ultimately settle the dispute if the court declines to make an order and the person who wants the children to attend private education has no other method of paying but sometimes the objection is not just about the fees but the principle too.

If there was an issue whereby one party was saying that even if it were affordable the children would be better off in state education, then this would be an issue to be determined under the Children Act 1989 in line with the child or children’s best interests.

In circumstances where the only question is fees the court test is slightly different and although the children will always be the court’s first consideration there are a number of factors to look at known as the “section 25 factors” to consider and set out below:

(a) the income, earning capacity, property and other financial resources which each of the parties to the marriage has or is likely to have in the foreseeable future;

(b) the financial needs, obligations and responsibilities which each of the parties to the marriage has or is likely to have in the foreseeable future;

(c) the standard of living enjoyed by the family before the breakdown of the marriage;

(d) the age of each party to the marriage and the duration of the marriage;

(e) any physical or mental disability of either of the parties to the marriage;

(f) the contributions which each of the parties has made or is likely in the foreseeable future to make to the welfare of the family, including any contribution by looking after the home or caring for the family;

(g) the conduct of each of the parties, if that conduct is such that it would in the opinion of the court be inequitable to disregard it (although this is not usually considered in reality in the vast majority of cases)

The primary issue with school fees is likely to be balancing income and needs to see whether it is affordable for school fees to be paid whilst also ensuring housing and other needs can be met.

Where the court feels school fees are affordable, they will make what is know as a “school fees order” obliging one or potentially both parties to pay all or a portion of the fees.  This obligation is on top of any child maintenance and any spousal maintenance payable.

Can capital be set aside to pay for fees by the court?

The short answer is no.  The court has no power to force parties to ring-fence a sum to pay for school fees.  Parties can and do agree to do this or to put funds into trust for that purpose and, indeed, one of the benefits of coming to an agreed settlement is that it can be more sophisticated than the court which can be a blunt instrument.  Legal advice should, however, be sought when considering this type of structure.

Grandparents have always paid- can the court force them to continue?

Again, the short answer is no.  The court has no power to force a third party continue to meet school fees although it is possible, they will consider the way school fees have been met historically when making any decision overall.

What will a school fees order cover?

Standard wording might often cover “reasonable invoiced extras” perhaps specifically excluding exceptional items such as trips, but it is sensible to give consideration to what the expectation is.  Are buses covered, lunches, uniform and so on?

Conclusion

There is no easy answer to this question, and it very much depends on the circumstances of the case including income / assets, how many children there are and where they are in their education.

It is important to look at the bigger picture and the outcome of your case generally.  For example, carving out a school fees fund might seem attractive because it secures your child’s future, but it might prejudice your position overall if it is the case that those fees should really be being paid from your spouses’ income and the monies set aside in the fund should be divided between you meaning you would receive more capital.

Before reaching any final financial settlement whether in relation to school fees or anything else you should always speak to an experienced family solicitor.  If you have any questions about this issue, or any other family law matter, please contact our team who would be happy to assist.

A Child’s Wishes and Feelings in Children Act Proceedings

Divorcing Family Trying To Divide Child Custody

A Child’s Wishes and Feelings in Children Act Proceedings

When proceedings concerning a child need to be issued at Court it can not only feel like an arduous task, but also overwhelming in an already worrying time. Here, Jemma Wentworth looks at how the wishes and feelings of a child are taken into consideration when a court decides what is in their best interest, and how factors such as age and understanding play a role in the decision-making process. 

Proceedings may be necessitated for various reasons, for example, the need to define the time that the child spends with both parents, to address a specific issue surrounding the child such as changing their name or deciding which school they should attend, or even to determining whether permission should be given for leaving the jurisdiction.

Within Children Act proceedings, and as part of the Court process, the child’s welfare is of paramount importance and various factors need to be taken into account. These factors form the ‘Welfare Checklist’ and one of these factors is the ascertainable wishes and feelings of the child concerned, considered in light of their age and understanding.

If there is a disagreement between parents or those with parental responsibility, the Court may be asked to make decisions. In doing so, the Courts overriding objective is what is in the child’s best interests? Often, the most effective way to ascertain this is to speak with the child. This is where the child’s age and understanding plays particular significance.

An organisation called CAFCASS, the Child and Family Court Advisory and Support Service, shall be appointed by the Court and the officer dealing with the case shall speak with the child as part of the assessment process. In so doing, consideration of the Welfare Checklist forms their role, and the officer shall give full consideration to each individual child’s ability to express their view in light of their age and understanding.

Children as young as four or five shall be spoken to by the CAFCASS officer, but it shall be fully appreciated that a child of such young age is clearly limited in terms of their ability to communicate or form a viewpoint on significant life matters. Generally speaking, the older a child becomes, the more their expressed views will have relevance to the decision-making process.

Generally speaking, by the time a child is approaching High School age their viewpoint will be competently and pragmatically considered by CAFCASS, who in turn will file a report to assist the Court.  Each case is determined on its own merit, but the important factor is not only a child’s age, but also their level of maturity and understanding of what is being proposed and how such decisions will affect them.  These are all considerations that will be considered by CAFCASS within their report for the Court.

However, it is important to remember that not every child is the same and every case will be different.  These issues need to be discussed openly by the parents with an understanding that just because a child may express a certain view, does not automatically mean that the Court will make an Order on that basis.  The voice of the child is critically important to the Court, and it is only right that the child should be able to say what they would wish the Court to order.  However, it is a balance of factors that the Court must take into account, and the ascertainable wishes and feelings of a child is only one of those factors.  The older the child, the more the Court will consider their wishes and feelings in their decision making.

It is also incredibly important for parents to be mindful that regardless of where their child is at, developmentally, intellectually and emotionally, it is the Court who ultimately makes the decisions and therefore providing a child with the burden of the decision making could have a negative impact upon them as for some children that burden of having to ‘choose’ between parents is ultimately too much for them to carry.

If parents, and those with parental responsibility, are unable to agree important decisions for a child’s future, the Family Court alongside the involvement of CAFCASS, may well be the last resort. Having the right support and the right legal advice is crucial.   Here at McAlister Family Law we have an experienced and large Children Team who will be able to navigate you through what can be a difficult and emotionally charged process.

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