Tuesday 18 February 2014

Divorcing couples to fast-track agreements over finances

Sir James Munby, President of the Family Division of the High Court, is to publish draft rules that will make it possible for divorcing couples to fast-track agreements over finances by arbitration and then have them confirmed by the courts.

In a letter to family lawyers outlining reforms that will create a new single family court in April, he says he "wants to move forward" in arbitration and other ways of resolving family disputes.

Sir James says that, pending general rule changes in disputes, he plans to issue a draft rule drawing on a judgment in the S v S case, involving a couple who split in 2012 after 26 years together. They reached the decree nisi stage of divorce and agreed to refer their financial settlement to arbitration. Their assets were between £1.5 and £2m.

James Pirrie, who acted in the case, and is a member of the national committee of Resolution, the association of family lawyers, commented: "Anyone involved in family law should welcome this judgment, which highlights the many advantages of arbitration and builds confidence that an arbitrator's award will help in resolving a dispute.

In this case, the matter was resolved within eight weeks from the signing of the agreement to arbitrate to the issue of the award, anonymity has been retained, and the costs to both parties are a fraction of what they might have otherwise been.

(source: The Times)