Page 13 - Oxted Local October 2024

Cohabitation law reform has been long
on the political agenda. Family lawyers in
England and Wales have been lobbying
for change for many years. More and more
people are choosing to cohabit rather
than marry.
Married couples, upon divorce, have the
protection of the financial claims available
under the Matrimonial Causes Act 1973. A
cohabitee has no such protection.
There is no such thing as the common law
husband or wife, a misconception of many.
Often, people think the longer they cohabit,
the more the rights they have and this too is
incorrect.
If a cohabiting relationship breaks down,
and the parties own a property together,
the division of the net equity upon sale is
based on trust and property law. There are
no other financial claims for the cohabitee.
Therefore, couples who cohabit should
endeavour to put in place documents that
may assist in protecting their respective
financial positions in the event of their
relationship breaking down.
When buying a property together, a
Declaration of Trust should be entered into.
This will define the beneficial interest that
each party has in the property. This will also
enable the parties to make provision under
their Will in accordance with their wishes, if
the property is held as Tenants in Common.
In addition to this, they can also enter into
a Cohabitation Agreement. This document
can set out other financial aspects of their
relationship including matters relating to
payment of bills, car ownership, treatment
of debts, etc.
If parties come to a relationship with pre-
acquired wealth or anticipate inheriting
substantial monies in the future, and
intend to marry, it is always a good idea to
enter into a Pre-Nuptial Agreement. This
can be an unromantic topic, but it enables
the parties to endeavour to ensure that
pre-acquired monies or inheritance do not
form part of the marital acquest in any later
divorce proceedings.
The Family team at Morr & Co are
experienced lawyers who can advise on
the range of legal options available, not just
when a relationship comes to an end, but
at the beginning and during the relationship
when the parties wish to formalise their
financial arrangements.
WHO SAID ROMANCE
IS DEAD?
The law firm for business and life
If you need assistance with any of the
above, contact our Oxted team on:
01883 779312
oxted@morrlaw.com
12 Station Road West, Oxted,
Surrey, RH8 9ES