- Another Brexit warning for divorcing couples
Another Brexit warning for divorcing couples
Another Brexit warning for divorcing couples16th November 2020 - Published by Kuits family team
Finances after divorce
The law surrounding finances after divorce varies significantly from country to country, even in the UK itself. The fact that the courts in England have traditionally been seen as more generous towards the economically weaker party, has led to it becoming known as the “divorce capital of the world”.
As a consequence, high net worth individuals with connections to both the UK, however tenuous, and an EU member state will try and action a divorce in England as they perceive it will help secure a more favourable outcome.
They can currently do this by taking advantage of a mechanism which prevents the EU country from dealing with the divorce, if proceedings were issued first in England.
However, when the Brexit transition period comes to an end on 31 December 2020, this automatic mechanism ceases. This means that if the divorce proceedings are commenced in England after that date, the court will have to concede jurisdiction to that of an EU country where, for example, there are more significant links.
It is therefore imperative that high net worth couples with links to both the UK and the EU obtain legal advice as to the most beneficial country in which to commence their divorce before proceeding.