16th August 2024
Many couples across the country are now living together but remain unmarried; these are the fastest growing type of family in the UK. Cohabitation agreements are often considered the equivalent of a pre-nuptial agreement for unmarried but cohabiting couples, as it allows protection over financial assets.
English law does not acknowledge a cohabiting relationship in any meaningful way outside a marriage or civil partnership. If this type of relationship breaks down, there are restrictions placed on couples as they are not entitled to make the same types of financial support applications as married couples. Often when property is involved and if this property is in one of the party’s names, this can mean little protection for the weaker partner, even where children are involved.
In the case of a married couple or those in a civil partnership, if either party seeks a divorce or dissolution both parties have a legal right to approach the court and ask to share any assets. This includes income, pension, property and inherited property. In these cases, all the circumstances and history of the relationship are considered to decide on a fair division of these assets. However, with unmarried couples this is not the case. The claims that they can make are currently limited.
To avoid future difficulties, some unmarried couples are now seeking to protect their positions by entering into a cohabitation agreement.
Need help? Contact a member of our team today
A document that sets out who owns what and in what proportion. Couples can document how they will split the proceeds of sale of a property, its contents, their personal belongings, savings and other assets should the relationship come to an end. It can also cover how household costs, such as, rent, the mortgage and bills will be paid, how any children will be supported, over and above any legal requirements to maintain them, as well as how to deal with monetary assets, such as bank accounts, debts, pensions, pets and joint purchases such as a car.
A civil partnership has the same responsibilities but the same rights as marriage, by giving your relationship legal standing. It offers tax allowances, pension and property rights and legal rights which are akin to marriage. You can sign a pre-civil partnership agreement (which is similar to a pre-nuptial agreement in marriage) instead of a cohabitation agreement.
A cohabitation agreement is not a court order, but in the event of a dispute before the Court, it shows what the parties intended at the outset of their living together and the judge can take the agreement into account when making any decisions regarding property.
The conditions for the agreement to be valid are:
Both parties should seek independent legal advice on the agreement.
At Myers & Co we provide effective, compassionate legal advice and guidance and our family law team have a wealth of experience in drafting such agreements.
While we hope you never need the agreement and remain in a happy relationship, we are here to provide you with reassuring legal advice to ensure that, if your relationship breaks down, a cohabitation agreement is in place so that matters will be dealt with in a fair way.
If you would like to talk to one of our specialist family law advisers, please call us free on 01782 577000 or make an enquiry via our contact form.
