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U.K. May Extend Divorce Rights to Unmarried Couples (Update1)
May 31 (Bloomberg) -- Britain, one of the most expensive nations for a rich man to get a divorce, plans to extend more rights to unmarried couples who split after living together.
The Law Commission, which advises the government on changes to laws, said it's looking into easier ways for people affected by death or a breakup to claim lump-sum payments, routine maintenance or a share of property from a former partner.
``More people live together outside marriage than ever before, but the law that applies to cohabitation is unacceptably complex,'' Stuart Bridge, the law commissioner leading the project, said in London today. ``There is a strong case for introducing more suitable financial remedies.''
The measures, if enacted, would allow unmarried partners to seek a similar financial settlement to people who have gone through a marriage or a civil partnership, which applies to same- sex couples. The suggestions would complement the Labour government's effort under Prime Minister Tony Blair to help single mothers and poor families.
The Conservative opposition suggested the plan may dilute the value of marriage, a concern also raised earlier by the Church of England. While both embraced the idea of protecting women with children after a long-term relationship, they said the details of the plan would need to be examined.
Conservative Concerns
``Marriage as an important institution in our society should be recognized,'' said Eleanor Laing, the Conservative lawmaker in charge of policy on women. ``Of course people who co-habit for a significant length of time have some rights over mutually acquired assets, but there ought to remain a distinction between co-habitation and marriage.''
In a statement, the Church of England said, ``We are content that these proposals do not scrap the important legal and social distinctions between marriage and cohabitation.''
Since Blair took office in 1997, the Labour government has introduced a minimum wage, expanded pre-school programs for children, promised universal affordable child care by 2010 and than doubled maternity leave to 12 months. The government remains concerned about the financial well-being of single mothers and has targeted tax benefits to help.
Currently, 4 million people are living together in unmarried partnerships that support at least 1.25 million children. By 2031, the number of unmarried partners will swell to 7.6 million while fewer than 20 million will be married, according to the Government Actuary's Department.
Law Lagging Society
``The law needs to catch up with changes in society,'' said David Allison, a solicitor at Bedford Chambers who represents Resolution, a family law counseling charity. ``We see people every day who are in very vulnerable positions after a breakup.''
The Law Commission said it would take views on the matter until Sept. 30, then issue a report with suggestions for legislation by August 2007. Parliament must pass a bill spelling out details of the plan before it can become law.
Blair's government, which asked for the report in 2004, said it wouldn't comment on whether it supports the measures until the commission makes final recommendations, a spokesman for the Department of Constitutional Affairs said.
Britain already has a reputation as one of the most lucrative places to divorce a rich man, since the law assumes marital property should be split evenly unless there's a good reason to do otherwise. Unlike the U.S., pre-nuptial agreements don't have standing before British courts.
Lucrative for Divorce
The rules have produced big-money payouts to the poorer half of couples in recent cases. Last week, the High Court granted Melissa Miller, 36, a 5 million-pound ($9.4 million) settlement after the dissolution of a three-year marriage that produced no children with New Star Asset Management Ltd.'s Alan Miller.
For long-term unmarried couples, the law is less kind. Britain lacks any provision for ``common law'' marriages, meaning partners who live together even for decades still have no right to inheritance or property.
Three years ago, the Law Commission said Britain lagged behind France, Canada, New Zealand and Australia in granting rights to cohabitating partners.
In Britain, courts recognize one partner's payments toward a marital home can lead to an interest in the property, though payment of household bills doesn't necessarily confer any rights.
Australia's System
In Australia, the law asks claimants to prove it would be ``unconscionable'' for the partner to keep a property they paid for together. Canada's system works on the principle of unjust enrichment while New Zealand focuses on ``reasonable expectations'' that one partner would share in the wealth.
Today, the Law Commission said the framework of remedies it's proposing would be more limited than a divorce settlement because it wouldn't presume an equal partnership. It also isn't clear if the rules would extend to couples without children.
``We currently believe there is a strong case for new remedies to be made available on separation between couples who live together with children,'' the commission said in a statement. ``We do not believe there is a clear case for remedies to be available where cohabitants do not have children.''
The commission is asking interested groups and lawyers to suggest in which cases there should be remedies for people without children and how long couples should have to live together before any of the rules would apply. The Law Society, which represents 116,000 lawyers, has suggested a two-year threshold, the same as in Australia. New Zealand and Canada require three years while the province of South Australia fixes the time at five years.
To contact the reporter on this story:
Reed V. Landberg in London at landberg@bloomberg.net.
Gentlemen, I think you should protest this. Why ? Pretty soon any woman who has lived with you can claim a share of your money, even if you don't have kids with her and were never married. Protest these biased laws !!!
May 31 (Bloomberg) -- Britain, one of the most expensive nations for a rich man to get a divorce, plans to extend more rights to unmarried couples who split after living together.
The Law Commission, which advises the government on changes to laws, said it's looking into easier ways for people affected by death or a breakup to claim lump-sum payments, routine maintenance or a share of property from a former partner.
``More people live together outside marriage than ever before, but the law that applies to cohabitation is unacceptably complex,'' Stuart Bridge, the law commissioner leading the project, said in London today. ``There is a strong case for introducing more suitable financial remedies.''
The measures, if enacted, would allow unmarried partners to seek a similar financial settlement to people who have gone through a marriage or a civil partnership, which applies to same- sex couples. The suggestions would complement the Labour government's effort under Prime Minister Tony Blair to help single mothers and poor families.
The Conservative opposition suggested the plan may dilute the value of marriage, a concern also raised earlier by the Church of England. While both embraced the idea of protecting women with children after a long-term relationship, they said the details of the plan would need to be examined.
Conservative Concerns
``Marriage as an important institution in our society should be recognized,'' said Eleanor Laing, the Conservative lawmaker in charge of policy on women. ``Of course people who co-habit for a significant length of time have some rights over mutually acquired assets, but there ought to remain a distinction between co-habitation and marriage.''
In a statement, the Church of England said, ``We are content that these proposals do not scrap the important legal and social distinctions between marriage and cohabitation.''
Since Blair took office in 1997, the Labour government has introduced a minimum wage, expanded pre-school programs for children, promised universal affordable child care by 2010 and than doubled maternity leave to 12 months. The government remains concerned about the financial well-being of single mothers and has targeted tax benefits to help.
Currently, 4 million people are living together in unmarried partnerships that support at least 1.25 million children. By 2031, the number of unmarried partners will swell to 7.6 million while fewer than 20 million will be married, according to the Government Actuary's Department.
Law Lagging Society
``The law needs to catch up with changes in society,'' said David Allison, a solicitor at Bedford Chambers who represents Resolution, a family law counseling charity. ``We see people every day who are in very vulnerable positions after a breakup.''
The Law Commission said it would take views on the matter until Sept. 30, then issue a report with suggestions for legislation by August 2007. Parliament must pass a bill spelling out details of the plan before it can become law.
Blair's government, which asked for the report in 2004, said it wouldn't comment on whether it supports the measures until the commission makes final recommendations, a spokesman for the Department of Constitutional Affairs said.
Britain already has a reputation as one of the most lucrative places to divorce a rich man, since the law assumes marital property should be split evenly unless there's a good reason to do otherwise. Unlike the U.S., pre-nuptial agreements don't have standing before British courts.
Lucrative for Divorce
The rules have produced big-money payouts to the poorer half of couples in recent cases. Last week, the High Court granted Melissa Miller, 36, a 5 million-pound ($9.4 million) settlement after the dissolution of a three-year marriage that produced no children with New Star Asset Management Ltd.'s Alan Miller.
For long-term unmarried couples, the law is less kind. Britain lacks any provision for ``common law'' marriages, meaning partners who live together even for decades still have no right to inheritance or property.
Three years ago, the Law Commission said Britain lagged behind France, Canada, New Zealand and Australia in granting rights to cohabitating partners.
In Britain, courts recognize one partner's payments toward a marital home can lead to an interest in the property, though payment of household bills doesn't necessarily confer any rights.
Australia's System
In Australia, the law asks claimants to prove it would be ``unconscionable'' for the partner to keep a property they paid for together. Canada's system works on the principle of unjust enrichment while New Zealand focuses on ``reasonable expectations'' that one partner would share in the wealth.
Today, the Law Commission said the framework of remedies it's proposing would be more limited than a divorce settlement because it wouldn't presume an equal partnership. It also isn't clear if the rules would extend to couples without children.
``We currently believe there is a strong case for new remedies to be made available on separation between couples who live together with children,'' the commission said in a statement. ``We do not believe there is a clear case for remedies to be available where cohabitants do not have children.''
The commission is asking interested groups and lawyers to suggest in which cases there should be remedies for people without children and how long couples should have to live together before any of the rules would apply. The Law Society, which represents 116,000 lawyers, has suggested a two-year threshold, the same as in Australia. New Zealand and Canada require three years while the province of South Australia fixes the time at five years.
To contact the reporter on this story:
Reed V. Landberg in London at landberg@bloomberg.net.
Gentlemen, I think you should protest this. Why ? Pretty soon any woman who has lived with you can claim a share of your money, even if you don't have kids with her and were never married. Protest these biased laws !!!
