header-logo header-logo

17 August 2018
Categories: Legal News , Divorce , Family
printer mail-detail

When your ex doesn’t pay enforcement matters

Former spouses who refuse to comply with financial orders could be disqualified from driving or prevented from travelling abroad under measures being considered by the government.

The Ministry of Justice (MoJ) has confirmed that it will tighten up the enforcement of financial orders between divorcing couples. Each year, courts order one spouse or civil partner to pay money or transfer property to another after a relationship breaks down, but these are often not complied with, which causes significant hardship for former spouses and their children.

A 2016 Law Commission report concluded the law was over-complicated and there was a lack of means to apply pressure to debtors who could but didn’t pay.

In a letter to the Law Commission this week, justice minister Lucy Frazer confirmed that measures will be brought forward to improve enforcement. The MoJ is considering legislative reform giving courts wider powers to obtain information from third parties about debtor’s assets; extend enforcement measures to include seizure of pension assets and joint bank accounts; and give courts powers to add pressure on debtors who refuse to pay by disqualifying them from driving or travelling out of the country.

In the meantime, the MoJ will amend the Family Procedure Rules 2010 to make the rules on enforcement easier to use, improve the general enforcement application, publish guidance for litigants on enforcement, make court forms easier for debtors and creditors to understand and streamline the system to cut down on unnecessary hearings.

Law Commissioner Professor Nick Hopkins said: ‘These reforms will help to prevent serious hardship that some face when debtors refuse to pay, and I’m pleased government is taking action to help those most in need.’

Joanna Pratt, family law partner at Thomson Snell & Passmore, said ‘the regime for enforcing financial orders made in family proceedings is complicated, disjointed, and for a lay client almost impossible to navigate’. 

However, she highlighted the slowness of the government in responding to the 2016 Law Commission report.

Toby Hales, family partner at Seddons, said: ‘These proposed reforms are no more than a sticking plaster. Yes, there may be the odd person who feels more confident going to court to enforce financial orders following these changes. But they ignore the elephant in the room: the problem is that people in this situation very often cannot afford legal advice (because of the breach of the order itself), and legal aid is now unavailable in almost all family cases. Clearer court forms are no substitute for expert advice and representation from a matrimonial solicitor.’

John Darnton, family and matrimonial consultant at Bircham Dyson Bell, said: ‘All family practitioners probably agree that the procedure to enforce financial orders is a mess and this undoubtedly enables unscrupulous non-payers to “play the system”.

‘Anything that can be done to streamline the system and to make it more intelligible are to be welcomed. Sadly, changing the rules will only be part of the solution. Court closures and other cutbacks mean that progress through the court can often be at a snail’s pace.’

Categories: Legal News , Divorce , Family
printer mail-details

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