Can we still reach a financial settlement in our divorce during lockdown?

Q. Can we still reach a financial settlement in our divorce during lockdown?

A. Whilst the coronavirus lockdown may have put a temporary pause on going out and about and enjoying life as we know it, not everything needs to be put on hold, including resolving matrimonial finances on divorce or separation.  

The usual way to reach an agreement in respect of the matrimonial finances is to enter into full and frank financial disclosure, which is done by both parties completing a Form E. The Form E sets out the parties’ full financial position clearly. There is no reason why a Form E cannot be completed during lockdown. In fact, the Form E is quite an onerous form and can be time consuming to complete, so there may be no better time to complete it.  

Whilst the current government guidance is to avoid all unnecessary contact with others, the majority of financial institutions are now accessible online or over the phone, so  parties are able to collect the supporting financial evidence for their Form E’s (such as bank statements and pension valuations), albeit delays are expected.  

In terms of the matrimonial home, if an updated valuation is required, it is possible to seek desktop market appraisals, or possibly even agree that this information will follow and to ensure you can proceed with the valuation pending. An agent can then visit as soon as they are able. 

Once the Form E is completed, it is usually exchanged with your spouse at the same time. Both parties then have the opportunity to consider the other’s financial position with their solicitors.  Whilst financial disclosure is typically exchanged in the post, there is no reason why this cannot be completed by email. Although, with post offices still open and skeleton staff in most law firms, a paper exchange is still achievable, but dependent upon personal circumstances.   

Once there is full and frank financial disclosure from both parties, your solicitor will advise you on the remit of settlement and discuss proposals and negotiations.

Subject to an agreement being reached, the next step will be your solicitor drafting the consent order for approval. Complete with accompanying documents, this can be lodged at court, subject to decree nisi having been pronounced. 

If an agreement cannot be reached, remote mediation remains an option, as does an application to court.

Should you require assistance in reaching a financial agreement during this time please contact our Family Law team, who will be able to advise on your individual circumstances.