Financial Provision in Divorce and Nullity Flashcards

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1
Q

Richardson v Richardson (No 2)

A

Should wife be forced to realise capital in former matrimonial home in order to support two daughters who were unlikely to be fully independent for a further 5 years? Held - although the children were no longer minors, they were still dependent on their mother and therefore the mother’s ability to work was restricted. Sale of the family home was to be postponed until the girls finished their education, and the wife’s periodical payments were extended by another five years.

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2
Q

Chiva v Chiva

A

Marriage lasted 4.5 years, had a 3 year old child. Both parties were professionals, wife had greater earning capacity than husband. Total pool of assets was divided, wife got less than husband, husband was to pay child support and half of nursery fees, and £700pcm spousal maintenance for 24 months. Wife appealed decision, held - not proven that award was too low to meet wife’s needs. Clean break after 24 months was correct as wife had earning power to make up loss of spousal maintenance once child was more independent.

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3
Q

SS v NS

A

Parties cohabited for 5 years, married for 6 years. Had 3 children, all attending independent schools. Wife was pilates instructor, husband was investment banker, although he moved to a lower paid role after cancer. Assets £3m including husband’s shares, wife claimed £60,000pa for 27 ears and 30% of husband’s net bonus (after deduction of school fees) . Held - choices made during the marriage generated wife’s needs. Duration of marriage and presence of children = pivotal, awards usually based on needs unless, exceptionally, compensatory factors present, when needs not connected to marriage any award should only be based on alleviating significant hardship. Clean break = just and reasonable.

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4
Q

Jenkins v Livesey

A

Wife and husband made agreement that she had 50% share in matrimonial home in return for not claiming periodical payments, remarried the same month that the consent order was made. Court could only set aside order if: a serious mistake was made by one of the parties, as a result of fraud/misrepresentation, non-disclosure of material facts, resulting in circumstances where the court had made a substantially different order than it would otherwise have done.

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5
Q

Barder v Barder

A

Parties divorced and home transferred to wife, she killed children and herself, husband made application to set aside consent order and recover the family home. New event within short time period invalidated the basis of the order, and the application was reasonably prompt, therefore it was granted. No prejudice to third parties obtaining interest in good faith.

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6
Q

Sharland v Sharland

A

Parties were married for 17 years and had three children, one with autism. Husband had business, value of which was disputed. Parties reached an agreement, but before it was sealed there were reports that his company was to be sold, increasing its value. Wife claimed order should not be sealed. Evidence was that he knowingly misled her, however it was initially held that the order would not have been substantially different. Supreme Court - rehearing was ordered, wife would have renegotiated her terms had she known about the sale. Court could not make consent order without valid consent. Was wrong to place on wife the burden of proving that the misrep would have made a difference.

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7
Q

S v S

A

“There will come a case… where the circumstances surrounding the prenuptial agreement… might, when viewed in the context of the other circumstances of the case, prove influential or even crucial”

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8
Q

M v M

A

Court were not bound by nuptial agreement, but could look at it and decide how much weight to attach to it.

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9
Q

Crossley v Crossley

A

Husband succeeded in establishing that any financial claim should be decided in accordance with the terms of the pre-nuptial agreement.

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10
Q

Radmacher v Grantino

A

Couple were married for 8 years and had two children. Wife had substantial family wealth, couple signed ante-nuptial agreement under which neither party was to benefit from the property of the other on termination of the marriage. Husband did not seek independent advice. By time of divorce he was a student. Held - for agreement to have full weight, couple must have entered into it of their own free will, without undue influence or pressure, and they had to have been informed of its implications. No black and white rules. Had there been any material lack of disclosure, information or advice? Were the parties fully informed and did they intend for the agreement to be binding? Duress, fraud or misrepresentation could negate the agreement. Circumstances of the parties at the time of the agreement might be relevant, as well as whether the marriage would have gone ahead without the agreement.

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11
Q

V v V

A

Marriage settlement signed agreeing that any property acquired by the husband would be his and not belong to the wife, but property acquired during the marriage would be marital property and would be shared, no provision made for divorce. At first instance she got majority of assets. Held - judge had adopted pre-Radmacher approach, more weight should be given to the agreement that the husband’s pre-marital property should be ring-fenced and not be treated as marital property.

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12
Q

Luckwell v Limata

A

Husband applied for financial provision on divorce in breach of pre-nuptial agreement. Held - fairness was overarching concern, first consideration was welfare of the children, not to be displaced by prenups. In this case - husband awarded money to buy house, when oldest child reached age of 22 the house was to be sold with 45% of the proceeds returning to the wife.

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13
Q

Calder v Calder

A

Husband’s inheritance moneys increased lump sum payable to wife

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14
Q

K v K

A

Inheritance potential not taken into account as wife’s mother was in good health

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15
Q

T v T

A

Opportunity to improve earning ability - court held that wife should make a real effort to find work, even if location wasn’t ideal and work was not what she would prefer.

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16
Q

B v b

A

No absolute principle of law that payments should be prevented in short marriages.

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17
Q

Attar v Attar

A

Court ordered payment of a lump sum equivalent to a year’s salary, intention that wife could get back on her feet after failed marriage.

18
Q

Miller v Miller

A

3 year marriage with no children. CoA awarded wife £5m because of conduct within marriage (she hoped to have a higher standard of living), HoL upheld the level of the award but held that s25(2)(g) was to be narrowly applied. The award was due to the increase in Mr Miller’s wealth during the marriage, and due to the high standard of living that they enjoyed. Compensation aimed at redressing any significant prospective economic disparity between the parties arising from the way in which they had conducted their marriage.

19
Q

AB v FC (short marriage: Stockpiling)

A

Parties were married for 19 months and had one child. He was professional footballer, she had no immediate earning capacity. Lived in rented property, he had house in Miami. She sought yearly maintenance. Held - he had good earning capacity for at least a few more years, she should be allowed to “stockpile”. order for yearly payments of £164,000 with £36,000 child support and nursery fees. Made as joint life order with review after 7 years.

20
Q

Vince v Wyatt

A

Wife appealed against a decision to strike out a financial claim brought 19 years after divorce. Couple had one child, struggled financially through relationship, she struggled greatly after breakup. He failed to make court ordered payments for 10 years after the order was made. By 2015, had company worth £57m. Supreme Court held that her claim should be heard - mainly due to having to care for child with no financial assistance, and the hardship that she suffered.

21
Q

Wachtel v Wachtel

A

Conduct under s25(2)(g) must be obvious and gross. Denning used mathematical solution - if applicant was to have periodical payments her capital share should be 1/3, if lump sum she should have 1/2. Starting point.

22
Q

Kyte v Kyte

A

Conduct under s25(2)(g) - wife connived at husband’s suicide attempts to try to get his assets.

23
Q

Bailey v Tolliday

A

Conduct under s25(2)(g) - wife committed adultery with father in law.

24
Q

H v H

A

Conduct under s25(2)(g) - husband attempted to murder wife.

25
Q

Tavoulareas v Tavoulareas

A

Litigation misconduct not the same as conduct under s25(2)(g) - this section relates to marital conduct.

26
Q

Fz v Sz

A

Both parties guilty of s25 conduct, husband reported wife’s parents to tax authorities for tax evasion and also failed to comply with financial disclosure requirements, wife wrongly accused husband of domestic violence.

27
Q

O’D v O’D

A

Judges should not use fractions, should consider wife’s position not from “need” but ascertain her reasonable requirements, allot her a maximum sum to satisfy all of her requirements.

28
Q

Preston v Preston

A

It was wrong to adopt a purely mathematical approach, “needs” under s25 equivalent to reasonable requirements.

29
Q

Conran v Conran

A

30 year marriage, 3 children and husband’s children from a previous marriage. Her needs were £230,000 pa. Court eventually ordered lump sum of £6.2m under clean break principle, leaving husband with over £73m. She got far less despite long marriage with support.

30
Q

Dart v Dart

A

Husband’s family invented polystyrene cup, had a 15 year marriage with 2 children, husband had £400-800m. Wife’s reasonable needs - £9m and US house. Court held that it was up to Parliament to change the law rather than the courts.

31
Q

White v White

A

30 year marriage, successful, jointly run farming business. Had assets of £4.6m. Initially wife was awarded £800,000 based on her reasonable needs, CoA raised this to £1.5m. House of Lords - agreed with the award but not the reasoning. Held that where there are assets/capital in excess of the parties’ needs, the yardstick of equality is the measure against which the court should check the proposed settlement.

32
Q

Cowan v Cowan

A

Reasons which could displace the yardstick of equality - where a spouse exercising special skill and care has gone beyond what would ordinarily have been expected and beyond what the other spouse could ordinarily have hoped to do for himself/herself, had the parties arranged their family lives and activities differently. Husband invented drawstring bin liners, court recognised his entrepreneurial flair, inventiveness and hard work - got 62%.

33
Q

Lambert v Lambert

A

Yardstick of equality not displaced, marriage was partnership, money was made during marriage, wife could have done no more to justify award of 50%, would not be right to describe husband as genius.

34
Q

Sorrell v Sorrell

A

Wife got 40%, departure from equality based on husband’s special contribution in the form of exceptional business talent amounting to genius.

35
Q

McFarlane v McFarlane

A

Couple had been married for 16 years and had 3 children, they agreed that she would give up her successful career to look after the children while he focused on his career. Initially periodical payments were ordered of £250k, these were reduced to £180k on appeal, Court of Appeal restored higher amount on the basis that she should be able to accumulate capital, reduced to five year order instead of joint lives. Held - general principles = need, compensation and sharing. Inappropriate and potentially unjust to replace joint lives order with five year order. It would be appropriate to assess the parties’ position and consider the possibility of a clean break, but it would be more appropriate to do that by the husband applying for a variation order.
Three years later - applied for variation and got high percentage of his income. His second wife worked full time - to pay the maintenance?

36
Q

S v AG, MR (Financial orders: lottery prize)

A

Wife won £1m from lottery, shared equally with her friend. Bought tickets with her own money without the knowledge of her husband. She used money to buy a house in her sole name where her and her husband lived. Held - winnings were non-matrimonial as wife bought ticket from own income without husband’s knowledge, however husband got share of house at 15-20% as winnings which were converted into matrimonial property could be considered by the court.

37
Q

K v L (Non-matrimonial property: Special contribution)

A

Wife’s grandfather left her shares which grew in value throughout the marriage and divorce, and they had lived on the dividends of the shares relatively frugally. Husband sought award far higher than his needs. Was it correct to limit his award where the assets were all pre-marital in origin? Held that departure from equal sharing could be justified based on wife’s sole contribution to family finances. At no time had wife’s shares become part of matrimonial assets, they remained her sole property.

38
Q

Lawrence v Gallagher

A

Relationship for 11 years, marriage for only 7 months. L had salary of £200k pa, cash value of £580k. G was actor with uncertain income and a small pension which was already being drawn. Cohabited in flat belonging to L. Holiday cottage was bought while they were together, G ran small B and B business from there to support income. Held - G got small award, L should have London flat and G the holiday cottage. Next step - consideration of whether a balancing payment was needed to take account of disparity in property values - G needed more money, payment of £350,000 made.

39
Q

Charman v Charman

A

When parties initially married, had no assets and lived with wife’s parents. On separation husband had £150-160m. Wife claimed 45%, however there was recognition of his special contribution and “genius”. Wife eventually got around 37% of the total.

40
Q

Work v Gray

A

Confirmed Miller and Charman on special contribution. Wife supported husband. There was an increase in wealth during the marriage. Rejected submission of special contribution of husband, made it clear that there should be no discrimination between husband and wife and their respective roles. Equal sharing ordered.

41
Q

Chai v Koo Kay Peng

A

Wife was given 40% under sharing principle, she got slightly less as a lump sum leaving him with non-liquid assets.

42
Q

AAZ v BBZ

A

Wife awarded 41.5% under sharing principle. She previously offered to settle for 33% but he did not respond so the case was litigated for a better settlement for her.