Unmarried Couples Beware!!

Many will have recently seen reported in the news the following unfortunate case of a homeowner who was ordered by the Court to give her ex-lover half the value of her house, 17 years after their relationship ended and despite him not making a mortgage payment on it since!
This recent news provides a stark warning for all unmarried couples who buy property together without making any formal legal agreements.
If you are buying a property with your partner it is a good idea to agree at the outset whether you will own the property in equal or unequal shares, and what contributions you will make to the purchase price, mortgage and ongoing costs of running and improving the property.  This can be incorporated into a Cohabitation Agreement.
If you do not have a Cohabitation Agreement and your relationship breaks down, you should be aware of the following:
 - if the property is in joint names, even if you have made little contribution to its purchase or the mortgage or maintenance, you will be entitled to a half share.

 - if you have no legal or beneficial entitlement, that is you are not mentioned on the deeds or the mortgage but have been promised a share by your partner (especially if this is in writing) then you would be entitled to at least the amount your partner promised you providing there is evidence of this.

Moreover, when a relationship ends, it is equally important for a parting couple to incorporate any agreement about the split of assets in a Separation Agreement. This aims to prevent one party revisiting the agreement to the split of assets later in the future, albeit 17 years later, and incurring expensive legal costs.

For more information on the legal issues surrounding cohabitation agreements and separation agreements please visit the Family Law pages of our website or contact the Family Team. For our Milton Keynes and Northampton offices contact Beth Woodward on 01908 304560 or email Beth by clicking here. For our Luton and Harpenden offices contact Mary McEvoy on 01582 725311 or email Mary by clicking here.

The contents of this article are intended for general information purposes only and shall not be deemed to be, or constitute legal advice. We cannot accept responsibility for any loss as a result of acts or omissions taken in respect of this article.