We are so pleased to be a part of legal and professional services group Ampa – and the group has now been awarded B-Corporation certification!

Organisations with certified B-Corporation status are legally required to consider the impact of business decisions on their people, customers, suppliers, communities and the environment, ensuring a balance between purpose, people and profit.

The benchmarks in order to achieve accreditation are incredibly high and the auditing process is rigorous, with non-profit B-Lab independently scoring companies across governance, workers, community, environment and customers to determine the business’ social and environmental performance.

In order to achieve certification, a company must:
Demonstrate high social and environmental performance by achieving a B Impact Assessment score of 80 or above and passing our risk review. Multinational corporations must also meet baseline requirement standards.
Make a legal commitment by changing their corporate governance structure to be accountable to all stakeholders, not just shareholders, and achieve benefit corporation status if available in their jurisdiction.
Exhibit transparency by allowing information about their performance measured against B Lab’s standards to be publicly available on their B Corp profile on B Lab’s website.
Dean Orgill, our chief executive partner, said: “This is a key milestone in our ambition to change the world of business for good. We believe we can be both purposeful and profitable and our B-Corporation values are embedded in our business strategy and fully supported from the top-down. We also take great pride in helping our clients achieve their sustainability goals.”

“As we continue to grow our group, we are looking for likeminded professional services brands to join Mayo Wynne Baxter and the wider Ampa group, whether they have B-Corporation status or not, and we can support them in their growth strategy as well as better business practices to people and the planet.”

Ampa also includes the brands Shakespeare Martineau, Lime Solicitors, Marrons, CSS Assure and Corclaim, employing more than 1,300 people over 18 hubs across the UK and is the largest legal and professional services group to have achieved B-Corporation accreditation.

Helen Hay, group head of culture and sustainability at Ampa, said: “This is a huge achievement for us and demonstrates our commitment as a group to use business as a force for good for our people, planet, communities and clients.

“We’re really proud to have achieved our highest score for how we treat our people, including our approach to pay and reward, our wellbeing initiatives and benefits and embedding professional development support and opportunities across the group of brands.

“We keep ourselves accountable through our responsible business ambitions that are constantly tracked and analysed, pushing us to do better and achieve more. So far, we have achieved a number of our ambitions across diversity and inclusion, reducing landfill waste and carbon emissions, as well as supporting young people in our local communities.”

Among other ambitions, in 2022 the group increased racial diversity at a membership (equity stakeholder) level by more than 3%, against a target of 2%, supported more than 400 young people through a variety of career development events, and significantly reduced its paper use.

You may have heard in the recent Autumn statement that the Inheritance Tax Nil Rate Band is to be frozen until at least April 2028.

But what is the Nil Rate Band?
Essentially the Nil Rate Band is the amount of your estate you can pass to your beneficiaries before an Inheritance Tax liability will arise.

If your estate exceeds this value, anything over and above over this is taxed at 40%, in simple terms.

The current Nil Rate Band is £325,000. This figure may be familiar to many because the threshold hasn’t changed since 2009. Of course, as inflation takes effect, the true value of the Nil Rate Band will decrease in real terms. With ever increasing house values, it is easy to appreciate how many more estates will exceed this figure in value resulting in Inheritance Tax being payable.

If the Nil Rate Band had increased in line with the Consumer Price Index, it should have been set at around £465,000 in April 2023 and would have produced a £56,000 Inheritance Tax saving on average.

However, as the government struggles to balance the books and ensure adequate tax income over the next parliament, it has frozen the Nil Rate Band for even longer than originally stated – in turn, this will increase the tax burden on many more estates.

How to preserve your Nil Rate band
For most, trying to ensure they have the full amount of Nil Rate Band available for their executors to offset against their estate is one simple step they can take to reduce their estate’s Inheritance Tax liability.

Manage your lifetime gifting
The total value of any gifts you have made in the 7 years before your death is deducted from the amount of available Nil Rate Band that can be used on your death. For example;

Susan makes a gift of £250,000 in cash to her daughter, Kate on 24th March 2013. Susan dies on 18 August 2018. Susan has died within 7 years of the date of making the gift and as such, her executors only have £75,000 of available Nil Rate Band.
If Susan had lived until 25th March 2020, she would have survived a full 7 years and the £250,000 would not have used any of her Nil Rate Band up, her estate would have benefitted from the full £325,000 allowance.
This is the “7 year clock” you may have heard being referred to when making lifetime gifts.

It is important therefore to make lifetime gifts as soon as possible and as early in life as you can. This will increase the chances of you living the 7 year period.

Needless to say, there are lots of other factors to consider and this is a very simplified example – making lifetime gifts is not a feasible or advisable option for some.

Keep records of your spouse or civil partner’s affairs
If you have survived your spouse or civil partner, it is often helpful to ensure your executors have easy access to a copy of each of the following:

their Will (if there was one);
any inheritance tax returns submitted to HMRC on their estate’s behalf;
their death certificate;
your marriage or civil partnership certificate;
ideally a schedule of their assets and liabilities; and
their Grant of Probate (or Letters of Administration).
It is necessary to have these to hand as it will help your executors establish how much of your late spouse’s or civil partner’s Nil Rate Band can be transferred and offset against your estate. This is know as the Transferable Nil Rate Band.

Your executors should seek advice in this regard. Ensuring the maximum amount of Transferable Nil Rate Band is used could save your estate a further £130,000 of Inheritance Tax. The rules can be complex, particularly if you didn’t inherit all your late spouse’s or civil partner’s estate.

Ensure you leave your estate to the right people
In addition to the Nil Rate Band (and potentially, the Transferable Nil Rate Band), your estate could benefit from an allowance called the Residence Nil Rate Band. This allowance of £175,000 is available to offset against the value of your main residence. To qualify for this additional allowance, the property must be left to direct descendants such as your children or grandchildren.

There is also the possibility of transferring your late spouse’s or civil partner’s own Residence Nil Rate Band too. The rules around this are complex and your executors should seek advice.

The Residence Nil Rate Band and Transferable Nil Rate Band could, together, save your estate up to £140,000 in Inheritance Tax so it is important they are considered.

If you left your estate to a Discretionary Trust, for example, your estate would not, on the face of it qualify for this additional allowance – even if children or grandchildren are named as potential beneficiaries. It will be necessary to consider whether the practical advantages of gifting your estate and property to a trust of this nature outweigh the potential loss of the additional allowances.

In conclusion
Despite the Nil Rate Band dropping in value in real terms since 2009 and despite the fact it will continue to do so until 2028, it is still a valuable allowance to maintain and preserve. If you have any doubts as to what Nil Rate Band your estate may be able to benefit from, get in touch 0800 84 94 101.

We are often asked by clients what they need to do in the first few days or weeks following the death of a family member or friend and the first step is always the same.

It is essential to ascertain very early on whether there is a Will – whether there is or not will determine if individuals need to act as administrators and administer the estate in accordance with the intestacy rules or act as executors and administer the estate in accordance with the Will itself.

Establishing whether there is a Will also determines who will inherit the deceased’s estate i.e., who the beneficiaries are.

So, the initial step is look for a Will

The obvious place to look is the deceased’s home and amongst their paperwork.

A Will may not always be marked up as obviously as you might think and could be less than a page in length. It is important to look very carefully to ensure you haven’t missed what could simply be a sheet of paper.

The original Will should bear the deceased’s “wet ink” signature as well as those of the two witnesses. It is common, however, particularly if a solicitor prepared the Will for the original to be stored with the firm and the deceased to simply have a photocopy of the signed Will at home. You will eventually need to obtain the original.

If you cannot find an original Will or a copy of it, you may instead find a draft, unsigned version. This may have been sent to the deceased from a firm of solicitors. If so, look for any other letters from a solicitor (or will writer). The letters would normally be on the firm’s letterheaded paper, contain a reference number and, of course, contact details.

Get in touch with the solicitors and request they confirm whether a Will was ever prepared and signed with their assistance.

If the deceased had several properties or a business, it is also a good idea to ensure these additional properties or business premises are searched.

Ask friends and family

Whether you do find a Will or not amongst the deceased’s paperwork it is still always a good idea to speak with other family members or close friends of the deceased to check whether they have any information that may suggest there is a later Will or a Codicil. A Codicil is a document prepared in order to make changes to an existing Will. If there is a Codicil then the deceased’s last “Will and Testament” will consist of both the Will and the Codicil and both must be secured. It is possible to have more than one Codicil.

Ask advisors

If the deceased had an accountant or financial advisor for example, we suggest you also contact them. They may know more than friends and family about the deceased’s arrangements.

What if you still can’t find a Will?

It is important you start thinking about taking other reasonable steps to assure yourself there isn’t one.

You could instruct a search agent who will carry out the above steps either for you or in addition to you, just to be sure.

They can also make enquiries with local solicitors and go further afield, if necessary, for example, if the deceased previously lived in a different area of the country.

An agent may also commission a Will search via a national Will Register. These searches aren’t conclusive as it is not legally required to register a Will on a register of this nature. A negative result for a Will on the register is not evidence in itself that there is no Will but is further evidence that there isn’t one in place.

What do you do next?

If you do find a Will, the next step is to be sure that it is a valid Will. If a solicitor did prepare it and supervised the signing, it is highly likely there will be no issues with validity. However, if the Will was prepared at home by the deceased, the situation may be very different. We suggest you seek specialist advice, and our private client team can help in those circumstances.

Establishing whether there is a Will or not and whether it is valid is essential in all cases. You need to have taken reasonable steps in all the circumstances to satisfy yourself that either there is no Will or if there is one, that it is in fact the last Will.

Administering the estate incorrectly can be costly for you personally so always best to be sure.

If you have any questions or you want to make your own Will, contact the Private Client team.

What happens to our frozen embryos when we divorce?
The number of couples who are deciding to freeze their embryos for personal and medical reasons is ever increasing. As a result, the Human Fertility and Embryology Act was put into force to police this modern innovation, but this new law has some deep flaws which are yet to be resolved.

In particular, what happens to these frozen embryos when the couple that made them decides to divorce?

How long can I store my embryos?
Embryos can be stored for up to 10 years, after which if they have been unused, they must be destroyed (an additional two years of storage was allowed due to the disruption caused by Coronavirus). This limit can also be extended for up to 55 years for individuals who can demonstrate a medical need for prolonged storage.

Does my partner need my consent to store / use the embryo?
Currently, a frozen embryo can only continue to be stored or used in treatment with the consent of both parties. Once the consent of both parties is given, either party is legally entitled to withdraw their individual consent at any time.

However, the withdrawal of consent triggers a 12-month ‘cooling-off’ period, during which the consent of both parties must be given in order for storage of the embryos to continue and consequently any possible use of the embryos in treatment. If both parties do not give their consent within this 12-month period, the embryos will be destroyed. Overall, the entire process of the storage and use of frozen embryos surrounds the consent on both parties involved.

Understandably, this matter is an emotional one for individuals who may see these embryos as their last chance to become a biological parent, despite the breakdown their relationship. Given the historical controversy of the ‘pro-life’ versus ‘pro-choice’ argument, it is shocking to note that, when it comes to frozen embryos, the right to life of the embryo and the right to a family life does not outweigh either of the parties’ right to withdraw their consent.

How can I protect my embryos if I divorce?
In light of these circumstances, some couples try to negotiate the continued storage of these embryos and even agree to sign away the possibility of making any financial claims on any children.

However, even these agreements are certainly not simple and more importantly, not legally binding. With this in mind, we would encourage anyone who is contemplating freezing their eggs to consider their legal position in order to avoid disappointment should their relationship break down during this 10-year period of storage.

Contact us:
The Family Team at Mayo Wynne Baxter is prepared to support the modern family through these issues with personal, but pragmatic legal advice. With the leadership of Resolution member, Grant Parker, we encourage our clients, where appropriate, to have amicable and calm conversations to reach an agreement that both parties are happy with.

If you are contemplating divorce, separation or the legal repercussions of fertility treatment, please call 01323 730543 to make an enquiry today or contact us here.

If you are a trustee, you will need to consider carefully if you are required to register the trust.

The changes – which came into effect from 6 October 2020 – mean that all express trusts, even if they are not taxable will need to be registered unless they are excluded. All taxable trusts should be registered.

Do I need to register?
The legislation refers to all UK express trusts and a number of non UK express trusts. It is therefore easier to list the most common examples of trusts that are excluded from registering on the TRS.

Trusts that are excluded from registration (albeit not exclusively) include:

Deceased estates and trusts – those created on death and are distributed within two years. If the trust assets have not been distributed two years from the date of death, the trust must register at that date.
Trusts for vulnerable beneficiaries – bereaved minors and disabled persons trusts.
Bank accounts for minors – where a bank account for a child under the age of 18 has been set up by their parent.
Property ownership trusts – where property is held jointly and the trustees and beneficiaries are the same persons.
Insurance policies and compensation payment trusts – this is where the policy only pays out on death, illness or disability. Single life insurance premium bonds held in trust are not excluded.
Charitable trusts
Pilot trusts – those created before 6 October 2020 and holding less than £100. Any trusts created since that date, no matter the value held are not excluded from registration.
Why has this been implemented?
The reasoning behind this is the “maintenance of accurate and up-to-date information on the beneficial owner” was a “key factor in tracing criminals who might otherwise hide their identity”.

It has long been believed that trusts are used for criminal activities so unfortunately the additional administrative burden on all trusts is now required.

How can we help?
The area has constantly changed and there are many nuances to the registration requirements, we are able to review your trust to check if it needs to be registered and if it does we can request the required information and do this on the trustee’s behalf.

Please contact Jessica Partridge on 0800 84 94 101 or contact us here.

A business, in which one or both of the parties on divorce has an interest, is a financial resource which the court considers when determining a fair financial outcome. This will be determined in accordance with what are called the s25 factors.

S25 Factors: What does the law say?
These are the range of factors set out in s25 of the Matrimonial Causes Act 1973. These factors include; the needs of the parties, the standard of living enjoyed during the marriage, income and earning capacity and contributions made during the marriage.

The court treats business interests as a resource of the parties under section 25(2)(a) of the Matrimonial Causes Act 1973.

The court has two essential functions in financial remedy cases involving businesses:

To establish the value of the parties’ interests in the business.
To decide how that value should be reflected in the final financial distribution.
The decision about whether to value a business in proceedings for a financial remedy may not be straightforward and it is essential to obtain expert legal advice before proceeding with a valuation.

Step 1: Valuing a business
There are several different methods an expert may use to value a business. The expert will value the business taking in account various factors, for example, the assets that the business owns, the business earnings and profit and the way the business established and run.

In valuing a business, an expert may consider issues of liquidity and how money can be withdrawn from the business to fund a settlement, or the extent to which the business provides income to meet ongoing periodical payments (spousal maintenance).

Is divorce settlement money from a business taxable?
There are tax implications to extracting money from a business to fund a settlement and an expert should be asked to consider the most tax efficient methods of raising capital. If a substantial dividend is extracted to allow a party to pay a large lump sum and continue working in the business, both CGT and dividend tax may be payable.

What happens in regards to shares?
In exceptional circumstances, determining a fair financial outcome based on the current market value of shares may not be appropriate. For example, in B v B [2015] EWHC 210 (Fam) the husband was part of the senior management of a pharmaceutical company, in which he held shares and loan notes acquired during the marriage. The shares and loan notes were non-transferrable, and the court found that the wife should share in their future value as and when they were realised, by the husband paying her a lump sum or series of lump sums.

What happens if the business is not doing well?
The value of a business is not the same as the value of cash. In Wells v Wells [2002] EWCA Civ 476, the husband retained the majority of shares in the business, which was performing poorly and which the judge had found impossible to value. In addition, he was awarded £695,000 and the wife received around £1.35 million. The husband appealed and the Court of Appeal increased the husband’s share of non-business assets.

Step 2: Achieving a fair financial outcome
To achieve a fair financial outcome, courts may:

Divide the assets in specieto provide each party with a proportionate share of the liquid and illiquid assets
Transfer shareholdings held by one party to the other.
This would particularly be the case where the parties to the divorce are both shareholders in the business and would be in accordance with the ‘clean break’ principle (that former spouses should settle their financial affairs in a way so that financial relations between them completely come to an end).

It would be rare for a court to order the transfer of shares to another party where only one party owns shares in the company as this would go against the clean break principle. It could also cause disruption to the running of the business.

Apply a discount to illiquid assets received by a party.
The court also has the power to order a sale although a court will rarely do so because often, a business will be a source of wealth for the parties that, if sold, would bring an end to the income that it generates. Also, if a substantial part of the family wealth is the business, its liquidity might make it difficult to achieve a clean break.

If you would like any further information on how the court treats business assets on divorce, then please do not hesitate to contact a member of our team for a confidential discussion about your personal circumstances.

An Employment Tribunal has agreed that an electrician experienced sex-related harassment when his baldness was insultingly referred to by his supervisor.

Harassment
Under Section 26 of the Equality Act 2010, a person harasses another person if:

their conduct is unwanted and is related to a relevant protected characteristic; and

it has the purpose or effect of:

violating the other person’s dignity; or

creating an intimidating, hostile, degrading, humiliating or offensive environment for that person.

The relevant protected characteristics under Section 26 are:
age;

disability;

gender reassignment;

race;

religion or belief;

sex; and

sexual orientation.

The case
An electrician was employed by a manufacturer for a number of years before being dismissed.

A couple of years before his dismissal, the electrician got into an altercation with the factory supervisor, who threatened him with physical violence and called him a ‘bald c***’.

After his dismissal, the electrician brought several tribunal claims against the company, including a sex-related harassment claim regarding the comments made by the supervisor.

The Employment Tribunal

The electrician’s harassment claim was successful.

The tribunal found that the language used by the supervisor was unwanted and went beyond the usual ‘industrial language’ of the shop floor by remarking on the electrician’s personal appearance.

It further found that the comment purposely violated his dignity and created an intimidating, hostile or degrading environment for him.

The main question that the tribunal had was whether the comment related to a relevant protected characteristic.

To answer this question, it drew an analogy to another case where a manager’s comment on the size of a woman’s breasts was found to be sex-related harassment.

In that case, it was found that the comments were highly likely to relate to her gender.

Similarly, the tribunal said that because baldness is more likely to affect men than women, calling the electrician ‘bald’ did amount to harassment as it related to his sex.

The level of compensation the firm will have to pay hasn’t yet been decided.

What this means for you?
This case is a reminder to be aware of the dangers of workplace ‘banter’.

Unwanted comments about a person’s appearance (related to a protected characteristic) could be considered harassment.

These comments don’t specifically have to target a protected characteristic to be considered harassment under the Equality Act, they only have to relate to one.

You have a responsibility to take reasonable steps to stop harassment from taking place and to create a safe working environment at your business.

You can do this by implementing an anti-harassment policy that outlines the consequences of commenting on personal appearances and informs employees that you won’t tolerate such behaviour.

You can use the Harassment Policy in our Employee Handbook for this purpose.

LawEasier, Online legal service from Mayo Wynne Baxter

Legally binding agreements can take many forms, some of which may surprise you: emails, messages and even conversations can all count. A recent case has shown that a verbal agreement could be enforced in court.

The building blocks of a legally binding agreement
For an agreement to be legally binding, it must contain 4 elements: offer, acceptance, consideration, and an intention to be bound by the agreement.

Offer means that one party offers to do something for, or give something to, the other. Acceptance means that the other party accepts the offer unconditionally.

It doesn’t matter how big or small the offer is or how difficult or easy it is to do.

Consideration refers to something of value that is gained through the agreement.

Each side must promise to give or do something of value (or not to do something) in return for what the other promises to give or do (or not do).

What each party promises to do or give doesn’t have to be of equal value, as long as the offer is accepted unconditionally.

Once the first 3 elements are present, the only remaining – and crucial – requirement is that both parties intend to be bound by the terms of the agreement. In other words, each party intends the other to hold them to the agreement and to be able to legally force them to stick to it.

The medium of a legally binding agreement
To be legally binding, an agreement doesn’t need to be signed or in any particular format – as long as all 4 elements are present.

In fact, it doesn’t even need to be in writing (besides a few exceptions).

However, it’s much easier to confirm that an agreement is legally binding if there is something in writing (e.g. an email, written statement, letter etc.) to confirm exactly what terms were agreed.

When an agreement is verbal and its terms are disputed, the terms may be so uncertain that the agreement becomes too vague to be enforceable. Other evidence can be used to determine what terms were agreed and helps avoid this situation.

A case in point
A recent High Court decision confirmed that even a phone conversation can result in a legally binding agreement.

The case
A property developer had an agreement with a construction company to build student accommodation.

The project didn’t go to plan. Both sides blamed each other for delays and felt they could make a legal claim.

The directors of the 2 companies discussed the dispute by telephone.

The construction company claimed that the conversation resulted in a legally binding agreement between the 2 companies not to pursue their respective claims.

The property developer, however, denied this and proceeded with their claim.

The High Court
The court had to decide whose perspective was a true reflection of the conversation. They could only do this using witness accounts of the immediate actions of each party after the conversation; documents; internal correspondence; and the follow-up exchanges between the parties.

The court found the construction company’s evidence of the conversation to be more credible as they’d communicated what they believed to be the agreement to colleagues immediately afterwards. Based on the evidence, the court felt that the telephone conversation had included an offer, acceptance, consideration and an intention to create legal relations.

As a result, the property developer wasn’t allowed to proceed with their claim.

What this means for you
Don’t assume that the lack of a traditional written contract means there’s no agreement.

Legally binding agreements are created every day in many ways and often without much thought, e.g. in person, over the phone, by email etc.

If the 4 elements are present, you may be entering into a legally binding agreement whether you’re aware of it or not.

This case also demonstrates that when you knowingly enter into a verbal agreement, it’s important to have other (especially written) evidence to prove exactly what the terms of the agreement were and that it’s legally binding. We have a range of documents available to help you do just that.

This way, if the other party breaks the terms of the agreement, you’ll be in a better position to act.

Why is the law changing?
Under current law, married couples need to evidence the irretrievable breakdown of the marriage by relying on one of five ‘facts’ – unreasonable behaviour, adultery, desertion, two years separation with consent or five years separation. Because the minimum period of separation is two years (with consent) or more, couples must either rely on ‘unreasonable behaviour’ or ‘adultery’ to evidence the irretrievable breakdown of the marriage. That can sometimes put couples in a difficult position and cause a strain on what may be a civil relationship.

In 2018 the Court of Appeal unanimously rejected an appeal by Mrs Owens (Owens v Owens 2018) to divorce her husband following their 39-year marriage, despite being ‘desperately unhappy’. Mrs Owens’ was forced to remain married to her husband until they had been separated for five years, when she no longer needed to obtain her husband’s consent. The unusual ruling of the Court of Appeal called for a new system to be introduced.

The Divorce, Dissolution and Separation Act 2020 introduced no-fault divorce to enable married couples to divorce without having to lay blame on one another. The new legislation comes into force on 6 April 2022 and should encourage a more constructive approach to divorce and separation.

What is no fault divorce?
From 6 April 2022 married couples will no longer need to prove the breakdown of the marriage by citing one of the above five facts. Couples will also be able to jointly file for divorce rather than it being solely down to one person to bring the case.

Under the current system, one person submits a divorce petition, and the respondent must confirm whether they contest the proceedings or not. The new procedure will take away this option to ensure we do not have any further situations like the above case.

The current wording of the divorce process is also considered archaic so that is being brought up to date and terminology such as ‘Decree Nisi’ will become the ‘conditional order’ and ‘Decree Absolute’ will become the ‘final order’.

How can I apply?
Between 1 April and 5 April, the online divorce portal will be offline. Any applications submitted on or before 5 April will be dealt with under the existing law. On 6 April people will be able to apply online via the www.gov.uk website.

If a sole application is made a copy of the application will be sent to the respondent. From the date of issue of the application the parties will need to have a ’20-week cooling off period’ before they are able to apply for the Conditional Order. From the date of the Conditional Order being made, the parties must then wait 6 weeks before applying for the Final Order to conclude the marriage.

How much will it cost?
The current cost of issuing divorce proceedings is £593. There is no information yet that this will change.

Will the Court consider how we separate our finances?
Splitting the finances is an unavoidable task if you want to provide security for yourself. Although much more streamlined and conciliatory, the divorce process itself will not resolve how you will go about splitting the matrimonial finances and/or protecting yourself once a Final Order has been granted.

If you cannot reach an agreement either directly or via mediation, negotiations through solicitors may be required and/or an application to the court.

How do I know what I am entitled to?
It is important you understand the options available before deciding how to deal with the financial arrangements between you. Married couples have the right to make financial claims against each other in respect of the following;

Property adjustment orders (i.e. orders for sale of properties or transfer of ownership)
Lump sum orders (payments of capital)
Maintenance (i.e. income payments)
Pension sharing orders
Regarding the financial arrangements between spouses, the court takes various matters into account when considering what orders should be made. The Court considers all the circumstances of the case, gives first consideration to the welfare of any children of the family under the age of 18 and in particular, the Court has regard to the following matters which are set out in Section 25 of the Matrimonial Causes Act 1973;

The income, earning capacity, property, and other financial resources which each spouse has or is likely to have in the foreseeable future including, in the case of earning capacity, any increase in that capacity which would be in the opinion of the Court reasonable to expect a person to take steps to acquire.
The financial needs, obligations, and responsibilities which each spouse has or is likely to have in the foreseeable future.
The standard of living enjoyed by the family before the breakdown of the marriage.
The ages of each spouse and the duration of the marriage.
Any physical and mental disability of each spouse.
Contributions which each spouse has made or is likely to make in the foreseeable future to the welfare of the family, including any contribution by looking after the home or caring for the family.
The conduct of each spouse, if that conduct is such that it would be in the opinion of the Court to be inequitable to disregard.
The value to each spouse of any benefit which one spouse because of a divorce will lose his chance of acquiring (most usually pension provision).
The aim of the Court is to achieve fairness. A key factor when determining matters is the reasonable needs of yourself and your spouse. The Courts also take into consideration the concepts of ‘needs’, ‘compensation’ and ‘sharing.’

Before you can fully understand how the matrimonial finances should be divided there should be some form of financial disclosure between you. That will enable you/your solicitor to understand exactly what is in the matrimonial pot to be shared and the most appropriate way of doing so in order to meet your respective income and capital needs.

Once you are happy that you understand both of your financial positions you can consider putting forward proposals for settlement.

What if we can’t agree how to split the finances?
If you are unable to agree between you and solicitor’s negotiations prove unsuccessful, an application to the court for financial remedy may be required. This should not be considered as a hostile step as it will ensure a timely resolution to proceedings.

The court will make directions as to the evidence required from both of you and set dates for when the evidence should be provided. There will be various hearing dates set to progress your case through to resolution.

What do we do if we have reached an agreement between ourselves?
If you have reached an agreement, you are both happy with, you should contact one of our expert family law advisors who will be able to convert the agreement into a legally binding Consent Order and prepare the accompanying documents for the court’s consideration. Approval of the Consent Order is not a rubber-stamping exercise, so it is important your agreement is presented in the best way possible to explain any imbalance.

What are the risks if we do not formalise our financial agreement?
Even if you do not have any marital assets to split, it is still important to file a Consent Order with the court to provide for a clean break between you. If you do not you leave yourself open to a claim from your former spouse at any time. This is particularly important if your financial position changes further down the line.

What should I do if I want to deal with the divorce myself but need help to resolve the financial aspects of my marriage?
Our family team are experts in our field and that means you can come to us knowing we have the attitude and professionalism to make your situation better. Whether you have reached an agreement between you, or you need advice on what you should do, we will be able to advise you on how best to deal with your situation and reach a timely resolution.

To find out more about the services we can offer, please do contact our experienced Family team at Mayo Wynne Baxter by telephone on 0800 84 94 101.

With over 100,000 female solicitors currently practicing in the UK, it is hard to imagine a time when women were not allowed into the profession. And yet it was only 100 years ago in 1922 when the very first female solicitor was admitted to the roll in England.

Carrie Morrison was enrolled in the profession following the Sex Disqualification (Removal) Act 1919 coming into force, which paved the way for women’s entry into the legal profession for the first time. This followed several previous legal attempts to allow women entry into the profession, most notably Bebb v Law Society, which challenged the Law Society to admit females to its preliminary exams, on the basis that women came under the definition of a ‘person’ in the Solicitors Act 1843.

The 1919 Act was momentous legislation which meant that Morrison, together with Mary Pickup, Mary Sykes and Maud Crofts, were able to complete their Law Society examinations and finally qualify as solicitors.

Morrison’s career as a solicitor was very much one of standing up for those unable to defend themselves. During the years following her qualification, she spent her time working as a Poor Man’s Lawyer, a service that was established in 1891 and was the inspiration for our current legal aid system. Morrison often represented prostitutes in court and was the solicitor for the Women and Children’s’ Protection Society.

Most notable was her work towards the Divorce Law Reform and Morrison was the first lady solicitor in living memory to represent a woman petitioner, under the Poor Person’s Rules. Together with her ex-husband, also a solicitor, she advocated to make the divorce process more reasonable and fairer for both parties, as the law required that the process should be adversarial, with one party ‘placing blame’ on the other. It is particularly poignant that we celebrate Morrison in the same year that the divorce law is finally leaving behind this archaic legislation and moving towards a more amicable process based on ‘no-fault’.

In 2020, the Law Society honoured Morrison by having a room, currently known as the Old Bookshop, renamed in her honour at its historic headquarters in Chancery Lane.

In Scotland, Madge Easton Anderson became the first female solicitor in the UK when she was admitted to the roll in 1920. Anderson also practiced as a Poor Man’s Lawyer within her community in Glasgow and in 1937, she qualified as a solicitor in England, making her the first woman to qualify in two jurisdictions in the UK. She established the first all-female law firm in London with two other women, Edith Annie Berthan and Beatrice Honour Davy, proving her to be a true pioneer.

We owe a great deal to the likes of Carrie Morrison and Madge Anderson. They fought with sheer determination for women to have the right to work in law, a profession that was dominated by men at the time and is now, according to the Law Society, 51% female.

The coat of arms of the first female President of the UK Supreme Court, Baroness Hale, carries the motto ‘Omnia Feminae Aequissimae’, which means “women are equal to everything”. Carrie Morrison and Madge Anderson proved this to be true and as female professionals working within law, we are proud to continue to strive towards this.