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In April 2022, the divorce law in England and Wales changed so that it is now an easier and more streamlined process to obtain a divorce. Often, these divorce applications are completed without legal representation and are frequently completed before a financial settlement is made.
What is the Re-marriage Trap?
The Re-marriage Trap refers to scenarios where someone divorces and remarries without having finalised the financial claims arising from their previous marriage. This means formally finalising a financial settlement through a Financial Remedy Order or a Consent Order.
If you fall within the Re-marriage Trap, the person who has subsequently remarried can lose the right to apply for key financial claims against their former spouse, including:
- Lump Sum Orders
- Spousal Maintenance Orders
- Property Adjustment Orders
- Pension Attachment Orders
The ability to apply for a Pension Sharing Order is the only exception and remains the only financial order that the party can seek following their re-marriage.
What this means in practice is that if you remarry without a financial agreement being in place (either through a Financial Remedy Order or Consent Order), you can limit your rights to claim against your former spouse’s assets.
There are some exceptions to this rule in relation to financial claims under Schedule 1 of the Children Act 1989, as well as under the Trusts of Land and Appointment of Trustees Act 1996. These are, however, not guaranteed lines of a successful financial claim when considering former matrimonial assets.
Avoid the Re-marriage Trap
It is important to protect your financial rights following separation. Within the new divorce procedure, there is a 20‑week mandatory wait prior to the issue of the Conditional Order (the second stage of your divorce). It is recommended that parties seek legal advice in this 20‑week period (if not done so before) in order to discuss financial negotiations and the settlement of the matrimonial finances. This can also be assisted through mediation.
By finalising a financial settlement between you and your former spouse prior to the Final Divorce Order being obtained, this will avoid any future financial claims being limited or one party falling into the Re-marriage Trap.
It is important to note that if you subsequently remarry and your ex-spouse has not, they can retain all rights in relation to their financial claims against you, but yours can be limited due to falling into the Re-marriage Trap. Factors such as who is the applicant and respondent of the divorce proceedings can also have an effect on the Re-marriage Trap, and so it is important to seek legal advice in this regard.
To learn more about divorce law and financial remedy orders, please contact the family team at Churchers on 01329 822 333
https://www.churchers.co.uk/services-individuals/divorce-cohabitation/