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Family Law

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12 DEC 2007

BANKRUPTCY: Hill v Haines [2007] EWCA Civ 1284

(Court of Appeal; Sir Andrew Morritt C, Thorpe and Rix LJJ; 5 December 2007)

A property adjustment order made in ancillary relief proceedings, whether following a contested hearing or by consent, was made for consideration in money or moneys worth and could not therefore be set aside as a transaction at an undervalue. The order quantified the value of the applicant spouses statutory right to apply for financial provision by reference to the value of the money or property to be paid or transferred by the respondent spouse to the applicant spouse. Parliament could not have intended that a court order of this type be capable of automatic nullification on the suit of a bankrupt spouses trustee in bankruptcy.

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