The intricacies of managing finances post-divorce often lead to queries such as: whether inheritance money is divided in a divorce, whether one can expend money amidst a divorce, and if an ex-spouse can claim money following the divorce. Here, we unravel the core principles guiding divorce settlements.
The ‘Matrimonial Pot’ Demystified
At the heart of a divorce settlement is an equitable distribution of assets and, when necessary, income provision or maintenance for one spouse. This naturally raises two pertinent questions:
- What constitutes these assets?
- How is a ‘fair’ distribution determined?
The assets up for division, often coined as ‘matrimonial assets’, encompass everything procured during the wedlock, resulting from the collective contributions of both spouses. This means that assets not falling under this umbrella remain with the original owner. For instance, inherited money, not being a product of collective marital efforts, is typically not divided in a divorce. However, exceptions arise when considering the principle of fairness.
The Notion of Fairness in Asset Division
On a level playing field, the matrimonial assets are straightforwardly halved between the spouses. Yet, disparities often exist, particularly when one spouse’s financial needs overshadow the other’s. In such scenarios, a fair distribution might warrant more than half of the matrimonial assets going to the financially needier spouse.
Furthermore, when matrimonial assets fall short of meeting both parties’ needs, non-matrimonial assets, like pre-marital acquisitions and inheritances, might be folded into the settlement.
Regarding spending during divorce proceedings, squandering assets recklessly can diminish the overall pot, potentially disadvantaging one spouse. Thus, courts advise against excessive spending, with exceptions for essentials.
Post-Divorce Financial Claims by an Ex
So, can your ex claim money post-divorce?
Generally, once a financial remedy order is in place, further financial claims are barred, ensuring finality. Such an order, often termed a ‘consent order’ when mutually agreed upon, typically includes a clause nullifying future financial claims, barring extraordinary situations.
Spouse maintenance stands as the exception. Post-divorce, a spouse receiving maintenance might later seek an increment or opt for a lump-sum payment over periodic maintenance.
Maintenance orders usually last till a specified date, until the beneficiary remarries, throughout both spouses’ lifetimes, or until a subsequent order decree its cessation.
Navigating the complexities of divorce finance can be daunting. For a comprehensive understanding, consider exploring our Divorce Finances page. At Adel Jibs & Co Solicitors we offer a service encompassing family law & mediation, divorce law, child-law, and arbitration.
Please note that the information provided here serves general purposes only and should not be considered a substitute for professional legal advice.
