Consent Orders
Consent orders
Many people assume that when they become divorced, and the decree absolute/final order is issued, that is the end of the matter. But regarding finances, nothing could be further from the truth.
Any financial arrangements made during a divorce are not legally binding unless they are contained within an approved court order.
If parties are in agreement about the distribution of assets, this agreement can be implemented into what is known as a consent order. A consent order is an order that is agreed by both parties, signed and then approved by the court.
Without the protection of a consent order, either party can make claims on each other later, and contest arrangements, sometimes at a point many years in the future.
With the increasing demand for quick divorces, and divorces being sought online, many couples remain unaware of how divorce alone does not legally cover the division of their assets.
For example, if a couple divorces and simply divides their finances and property by verbal or unofficial agreement, it may be that one party decides in the future to make a claim against the other. Perhaps one person’s financial situation drastically changes, and they come into a large inheritance, windfall or profit from a business venture. Without a consent order in place setting out the financial agreement, the other party can potentially make a claim on the new assets.
A consent order confirms the agreement of both parties on how to divide up: pensions, property, savings and investments, as well as deal with the liability of joint and individual debt within the marriage. The agreement can also include arrangements for maintenance payments, including child
maintenance.
While divorcing couples may reach their own agreements about the division of assets and childcare and maintenance arrangements, they are not legally binding and they leave themselves vulnerable to later claims, which could have detrimental effects on them.
It may be that mediation is required to reach an agreement for the consent order to be put in place. We can support with mediation and help to get both parties working towards the consent order that will provide both parties with financial security and save them both from potential disruption later in life.
Our experienced family law specialists can speak to you about consent orders and help you to cover all aspects of your situation ensuring you are protected both now and in the future.
