• Creevey Russell

Have you brought property into a relationship?

If you were in a relationship and you brought into the relationship most of the value of the combined assets at the start of the relationship, the Court would likely find that this was a valuable contribution made by you, which ought to be factored into any final outcome.

In one of the leading cases on this topic, at the start of the relationship, the husband and the wife had assets, liabilities and financial resources of which the husband brought about 95% of the value, comprised mainly of a house.  The Court found that during the relationship, the husband and wife made relatively equal contributions.  The husband made some ‘extra’ contributions after the relationship ended, which the Court took into account.  But the largest factor affecting the outcome was the disparate initial contributions.

In the first Trial, the Judge decided that the pool as at the date of the Trial should be divided 45% to the wife, and 55% to the husband.  The husband appealed this decision.  The Court of Appeal (who can sometimes re-decide a matter) decided that the overall distribution should be 25% to the wife and 75% to the husband.  Both Courts agreed that the husband’s ‘extra’ contributions after the relationship ended was ‘worth’ 5%.  So the balance of his distribution accounted for the difference in the parties’ initial contributions.

For further information please contact Leith Sinclair on 07 3009 6555.

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