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Jun 27, 2024 · The UK Supreme Court ruled that financial claims in divorce proceedings end upon the death of a spouse, highlighting a legal gap that prevents posthumous settlements. This decision impacts especially older couples and necessitates swift legal action to secure financial settlements before a spouse's death.
- The Background
- What Did The Consent Order Say?
- Did Marissa Have Her Own Claim?
- What Did The Court Decide About The Deed of Covenant?
- What About Marissa’s Claim For Reasonable Financial Provision?
- What Was The Final Outcome?
- What Can We Learn from This Case?
Sheila Sismey (Sheila) and David Sismey (the Deceased) met in 1984 and began a relationship very shortly thereafter. The Deceased purchased a property in Belper, Derbyshire (the Property) in his sole name in 1986 and the couple were later married in February 1988. Following their marriage, Sheila moved into the Property and in 1993 they had a son, ...
The Consent Order contained a recital confirming the Deceased’s undertaking “irrevocably to execute forthwith a Deed in the form annexed this order covenanting with [Sheila] to leave by will to [Thomas] [the Property] so as to be binding upon his personal representatives”. On the same day, the Deceased executed a Deed of Covenant (the Deed of Coven...
In response to Thomas’ claim, and in the event that he was successful in enforcing the Deed of Covenant, Marissa issued her own claim for reasonable financial provision under the Inheritance (Provision for Family and Dependants) Act 1975 (the 1975 Act). Marissa relied on section 11 of the 1975 Act which provides that if the Deceased contracted to l...
Having considered the wording of the Deed of Covenant, the Court held that it was an enforceable document and that it complied with the provisions of section 2(1) of the Law of Property (Miscellaneous Provisions) Act 1989.
In order to succeed in her claim, Marissa first needed to establish that the Deceased intended to defeat an order for financial provision under the 1975 Act by entering into the Deed of Covenant. In considering this issue, the Court held that it was necessary to consider the Deceased’s intention when he was negotiating the terms of the Consent Orde...
Thomas succeeded in his claim to enforce the Deed of Covenant and was therefore able to compel Marissa, as the personal representative of the Deceased’s estate, to transfer the Property to him. Marissa was not able to establish the necessary elements of the test under section 11 of the 1975 Act to bring the Property back into the estate and, so, gi...
This is an important decision as it highlights the uncertainty which can arise if agreements are reached in a divorce to leave property in a will. This is the first time that section 11 of the 1975 Act has been considered by the Courts and demonstrates that a contract resulting from a divorce may be open to attack if the requirements of section 11 ...
Lord Justice Moylan overturned the ruling, which was handed down in December 2017, in mid-December last year in the XW v XH Court of Appeal judgment.
- 47 sec
- Maya Oppenheim
Sep 18, 2015 · One of the things that the family court seeks to do when divorce settlements are being made is to achieve finality. Where a settlement has been agreed by th ...
Death of a former spouse does not automatically invalidate the original financial remedy order. The person seeking to set aside the order will have to show that there has been a Barder event – a supervening event that invalidates the fundamental assumption on which the order was made.
Aug 24, 2016 · However, in the event of one spouse dying during or shortly after divorce proceedings it can bring an added element of complication. Although this is thankfully a very rare occurrence, there are options to consider depending on the stage divorce proceedings have reached.
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Mar 27, 2022 · However, concerns have been raised that a more speedy divorce could lead to rushed financial settlements. Former pensions minister Sir Steve Webb, a partner at LCP, and barrister Rhys Taylor argue that couples looking for a swift divorce may receive unfair shares of their partner's pension.
