header-logo header-logo

26 June 2015 / Edward Heaton
Issue: 7658 / Categories: Features , Family
printer mail-detail

A licence to spend?

Edward Heaton considers a surprising case that illustrates how difficult it is to run a successful add-back argument

This article considers the recent High Court decision in the case of MAP v MFP [2015] EWHC 627 (Fam), [2015] All ER (D) 251 (Mar), in which Mr Justice Moor considered, among other things, the extent to which heavy expenditure by the husband, post separation, should be taken into account in the distribution of assets on divorce.

The case highlights the difficulties involved in running a successful “add-back” argument and may come as a surprise to the casual observer.

Background

The husband was 62 and was the managing director of a property maintenance company in which he had a 95% shareholding. The wife was soon to be 61 and was both the company secretary and the financial control manager of the company. She owned the remaining 5% of the shares.

The parties were married in 1972 and had separated some 40 years later in 2012.

The entirety of the financial resources available to the parties had been generated during the course of the marriage. Moor J

If you are not a subscriber, subscribe now to read this content
If you are already a subscriber sign in
...or Register for two weeks' free access to subscriber content

MOVERS & SHAKERS

Gateley Legal—Jack Kelly

Gateley Legal—Jack Kelly

Gateley Legal expands Midlands residential development team

Gibson Dunn—Richard Surtees

Gibson Dunn—Richard Surtees

Gibson Dunn adds employee benefits and executive compensation practice in London with partner Richard Surtees

Laytons ETL—Alec Cameron

Laytons ETL—Alec Cameron

Laytons ETL appoints new partner and head of intellectual property disputes

NEWS
A series of recent decisions has clarified important principles across property law, from perpetuities to lease renewals and public rights over land
Employers cannot rely on wellbeing services alone to defend workplace stress claims after a High Court decision awarding almost £1m to an overworked employee
Andy Burnham's brand of 'Manchesterism' could offer fresh thinking on legal aid and access to justice if it reaches Westminster, according to Roger Smith, NLJ columnist and former director of JUSTICE
The constitutional fallout from a change of prime minister, rather than the politics, is under scrutiny as questions arise over the limits of executive authority in a leadership transition
The legal profession is undergoing a fundamental shift from selling services to creating technology-enabled products, according to Professor Luke Mason, Head of School of Law at Regent's University London
back-to-top-scroll