The most practical, comprehensive authority on matrimonial finance available
This work provides an unrivalled source of advice and expertise, dealing with day-to-day problems and delivering practical solutions. Written by a leading family law barrister, the author meets the requirements of the modern practitioner, offering detailed coverage of all major issues.
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The function of a loose-leaf work like Matrimonial Property and Finance is not only to state the law as it is, but also to look at where it may be heading in, say, a couple of years’ time. In the latest update (24) I draw attention to two developments, both of which I believe will have a profound effect on shaping our law.
The first is the decision of the Court of Appeal in Jones v Jones [2011] 1 FLR 1723. The story is the familiar one of a man who brings a thriving business into the marriage; it continues to prosper; then after separation, he sells it at a premium – here, £25m. What part of this belongs to the wife? One-half, a third, or something less? Is the court applying science, or holding a finger in the air? In a copious judgment at first instance, Charles J analysed the ‘springboard’ effect of the husband’s contributions and found that 60% of the pot was non-marital in origin. The remaining 40% would be divided equally and so the wife received £5m. On appeal, her award was uplifted to £8m, for reasons that are not germane. The important point is that, for the first time, the Court of Appeal has erected a clear (albeit to some extent optional) demarcation line between matrimonial and non-matrimonial property, going much farther in this respect than §66 of Charman, which, as you will recall, blurred the distinction. In future, it seems more likely that if non-matrimonial property is found to exist, it will be attributed 100% to one party, thereby taking us a step closer to Continental doctrines of separate property.
The second, and I think exciting, development is in the growing use of private FDRs and, more recently, the setting up of the Family Law Arbitration Group (‘FLAG’). This body, composed of eminent family lawyers and at least one retired High Court judge, is accredited by the Chartered Institute of Arbitrators and enjoys high-level backing from MoJ, the Family Justice Council, and the professions. It aims to provide a service whereby, in lieu of going to court, parties can pick their own panel arbitrator and set the terms of reference. This will cost money, of course, but is infinitely preferable to marching through the courts at enormous and wholly unpredictable expense. Imagine! Four months, or six at most, from claim to final hearing; no more ‘wild card’ judges; no updating valuations or tactical adjournments; interlocutory applications ad lib; lawyers, valuers and accountants competing to offer their services; and so on. It will be like booking your own surgeon for a private operation, instead of relying on the vagaries of the NHS. Furthermore the end result, a polished arbitrator’s award, will or should prove enforceable through the courts, at home and abroad, with only a limited right to appeal on points of law.
These are but two of the interesting changes considered in the current edition.
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