Whenever we speak to a new client, we always talk them through dispute resolution options. The aim is to keep the couple out of the Court room, avoiding the lengthy time and significant cost of such proceedings.
The Family Court is significantly backlogged with cases – a recent case of mine where one spouse issued a financial application in October has its first hearing in May this year. If it continues through the Court, it is likely going to be running for around 18 months!
Dispute resolution, if successful, will bring a quicker, and in turn cheaper, end to concluding matters.
The main options available are:
DIY
Here a couple sit down together with their financial information in front of them, and work out the division of assets, liabilities etc. If they can reach agreement, solicitors can be instructed to just prepare the appropriate binding paperwork to reflect their settlement terms for the Court’s approval at the time of a divorce.
This route does need each person to have a full understanding of their financial position, and to be comfortable in dealing directly with their spouse in this way. Each must also be confident in their decision making, as the solicitors are not usually going to be able to provide advice.
Mediation
In mediation the couple are still having face to face discussions but this time with an independent mediator who will oversee any financial disclosure and facilitate the discussions between the couple.
A lawyer mediator can also provide legal information if needed, whilst maintaining a neutral role – any legal advice remains the domain of any solicitors instructed.
If settlement proposals are reached, solicitors prepare the necessary binding paperwork for the Court’s approval.
This process has a good success rate and provides support to each spouse.
Collaborative law
This also involves face to face discussions, but with each spouse’s collaborative lawyer attending the meetings too; providing a good level of support to the couple, particularly where perhaps there are more complex financial or emotional issues.
Legal advice is “on tap” during the meetings. The collaborative lawyers set up the meetings to ensure all four in attendance are working together – collaboratively – to discuss all the options available.
Solicitors’ negotiations
In this instance each spouse works with their own solicitor, and it is the solicitors who are corresponding with each other, exchanging financial disclosure etc. and working towards an agreement being reached either in correspondence, or perhaps through a “round table” meeting taking place.
This process can particularly assist where, for one reason or another, the couple are unable to meet face to face.
Arbitration
This is the instruction of a “private judge” to decide the disputed issues for the couple. It has many similarities to the Court process – the arbitrator gives a binding decision and can conduct a Court-style hearing where evidence is given for example. However, it is a bespoke process to fit the individual circumstances of the couple and is far quicker, and so cheaper, than the Court process – most could likely be
dealt with in around 4-6 months.
If you have any queries about the options available, please just give either myself or Deepika a call.
Justine