Dealing with finances is an imperative part of a divorce. However, most couples often go by the misconception that financial assets are automatically separated at the time of divorce. Consent orders play a vital role to make a financial agreement between the two parties at the time of divorce legally binding and enforceable.
What is a Consent Order?
Often referred to as a Financial Remedy Order, a Consent Order is a legally binding document that records the court’s financial agreement between the divorcing couples following their separation. It elaborates on the division of capital assets, money, and liabilities, including savings, property, pensions, debts, investments, and the like. Such agreements may also include arrangements for any child or spouse maintenance.
A draft order is prepared by a solicitor, which details the terms of the agreement filed at the court and a Statement of Information form, which contains both the parties’ financial information, including all their capital assets, income, liabilities, and pension valuations. Though the parties do not need to provide any supporting documents, they have to sign a ‘Statement of Truth’ to ensure that they are not misleading the court and to confirm that they have given full disclosure of the facts.
Once the documents are duly submitted, the pending decision is upon the court to consider whether the agreement exhibits fair and complete financial provision for the parties. All the circumstances of the case are looked upon while taking the decision. If the judge is satisfied that the agreement is just and fair, then the court will seal the order. If not, then the forms will be returned for further clarification, or the parties may be called to attend a hearing.
Therefore, the applicant must correctly draft the consent order. It reflects what has been agreed by both parties to provide a clean break if applicable.
What is a clean break?
A clean break is a financial settlement following a divorce agreed by both parties and approved by the court. According to the agreement, neither party has any ongoing financial obligation to the other. According to the situation, a clean break can be granted after certain actions have been undertaken, such as certain payments made or properties transferred or immediately.
Why do you need a consent order?
Many times people believe that they do not require a consent order by stating the following reasons:
- We have resolved our financial matters internally between ourselves.
- We have nothing to share or have agreed not to make any claims against each other.
- The cost and efforts of filing for court documents are not worth it.
In any of the cases above or otherwise, a consent order is important to ensure that the settlement is final, legally binding, and enforceable. In the absence of such an order, unless the parties have remarried. Either party can visit the court and make a financial claim against the other in the future post the divorce. Alternatively, if one of the parties does not keep up with the terms of the settlement, the other party will need to seek the court’s help to take further steps to enforce the settlement. However, this is only possible if the settlement is incorporated in a court order for any legal actions to be taken by the court.
How Can Osbourne Pinner Help You?
At Osbourne Pinner, we are a team of highly experienced and qualified divorce lawyers in London providing top-level legal services for a divorce settlement. If you are looking for legal assistance from a professional for your financial settlement or have any doubts regarding a consent order and why is it essential for you, feel free to connect with Osbourne Pinner. Book an appointment for our legal consultation today!
If you require legal advice on any of the issues raised by this article relating to Consent Orders then please do not hesitate to contact our expert team at Osbourne Pinner for more information on 0203 983 5080 or email [email protected] to book your consultation for help.