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What are we each entitled to in our divorce settlement?

What does the law say about how to split the house, how to share pensions and other assets, and how much maintenance is payable.

What steps can we take to reach a fair agreement?

The four basic steps to reaching an agreement on divorce finances are: disclosure, getting advice, negotiating and implementing a Consent Order.

What is a Consent Order and why do we need one?

A Consent Order is a legally binding document that finalises a divorcing couple's agreement on property, pensions and other assets.


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Non-disclosure of potential inheritance

  • Thomasjames
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11 Apr 19 #507150 by Thomasjames
Topic started by Thomasjames
Can an order made by "consent" be set aside if wife can be shown to have failed to fully disclose her financial position?

W & POW have an agreement where 400K is to be paid to W.

W discloses 200k has been received as part of a property investment and that she has spent it all on her family needs.

However, W failed to disclose that an additional 200k is to be paid to her as a gift ("Inheritance") from POW.

Can the Consent Order be set aside based on non-disclosure?

  • rubytuesday
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12 Apr 19 #507154 by rubytuesday
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POW? Partner of Wife? Prisoner of War? Parents of Wife?

If the parents are still alive and well, then a potential inheritance isn't a certainty - people can and do change thier Wills later on, even at the very last minute. It would be difficult for you to argue that a potential future inheritance that isn't guaranteed should be considered when sorting out the marital finances and needs of the parties.

If the inheritance is due shortly because the benefactor is deceased, then you may have a stronger case for arguing that it is taken into account.

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13 Apr 19 #507162 by Thomasjames
Reply from Thomasjames
Apologies PoW = Parents of Wife

POW "Gift (200k) to W as "inheritance" monies

W discloses to court (200K) is "profit" from a building project with the POW"

How can it be both?

  • WYSPECIAL
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14 Apr 19 #507164 by WYSPECIAL
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Maybe it was profit from a building project that they have gifted to her?

Is it related in anyway to the £50k your ex lent her parents?

If it is money that her parents have given her with no strings attached then it is a gift and looks to have been properly declared.

This may be as part of their inheritance planning but to inherit something someone has to die.

What you usually find in these situations is that the parents gift money to their child during the marriage and then suddenly upon divorce it turns out it wasn't a gift at all! It was a "loan" which must be repaid. At least their not trying that, although Courts are never interested anyway.

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14 Apr 19 #507166 by Thomasjames
Reply from Thomasjames
H & W invested 65k of joint marital funds into a build project with POW.

It was Agreed that H&W will receive their 65k back (plus) share of profits. POW returned 65K to W sole account and W spent it on refurbishment of another property owned by POW.

POW agreed 120k of profits would be paid to H&W (POW also agreed to appease H over their under valuation of build project and added 80K) Thus £200K as "build profits"

H&W were given written options and reassurances from POW that they will receive £400K to Buy own house. (i.e 200k "profit" + £200K "Gift to W")

H&W move into another property owned by POW and live rent free. H&W found own house to buy.

POW Then "Gifted" W 200k into sole account, W "loaned" back 50K to POW. POW state the Monies are "loaned" from W's Inheritance Monies"

On this basis W has not disclosed she remains owed the £200 of "Profits from Build"
?

  • hadenoughnow
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14 Apr 19 #507169 by hadenoughnow
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If this was an agreement between both parties and the parents, then it is not so much a question of non disclosure as non payment isn't it? You were party to the agreement so must have known about it.

If a large sum was owed, it should have been covered in the Consent Order and been part of negotiations.

As this was an agreement, it is not W that is owed the money by the parents but you. She has already received her share.

This is not a matter for the family courts. I would seek legal advice on a civil claim.

Hadenoughnow

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14 Apr 19 #507179 by Thomasjames
Reply from Thomasjames
Thank you, you have put my mind to rest, in part.

The complication arises that the original £65k that was loaned to POW for the build project was in turn spent on a refurbishment project of another property owned by POW. Thus as this stage a beneficial interest is created and held by both parties for the 2nd property owned by POW.

The W failed to disclose this beneficial interest and / or disclose the substantial financial detriment suffered by both parties. where H had no control or access of the original marital funds.

The agreement was between W & POW to loan back the 50k, and H was told he has no claim to the return of such funds as they were "gifted" from W's "inheritance" funds.

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