My husband and I separated in Dec after 11 years together(married for 5 of those),we have a daughter aged 10.He owns a business,which he changed to a Limited Company in Feb this year. How can I be sure of recieving a fair maintenance from him? I believe he will now be on PAYE but can take dividends? The business despite being in his name only is classed as a joint marital asset.
Also,if he takes a bank loan out now,in his name only are we jointly responsible for this debt? He has told me we are. I have consulted a solicitor but my ex is delaying on the full disclosure and is trying to persuade me to settle this between ourselves to save on fees, but I have very limited trust left in him! Any advice would be great
By changing it to a limited company he may believe that he can protect some of the assets/income from you but he can't.
You will be entitled to a fair share of the business assets - it will be included in the pot to be shared.
However, lets say that as the primary carer of the child you are awarded a greater share of the house (you dont mention 1 so i am assuming at this point), lets say 70% vs 30% to him. Then you must expect a smaller share of the business 30 vs 70 for example.
Then there is the question of income. If you have a need for maintenance (child and/or spousal) then that will be assessed from his income.
His income includes salary, bonus and things like dividends. So he cannot draw income from the company without it being assessed for maintenance.
You are jointly liable for each others debts until the divorce finances and finally agreed and ratified by the court. The only exception is if the money is used for extravagent purchases that benefit only one individual.<br /><br />Post edited by: DownButNotOut, at: 2007/04/25 08:43