Family Law Experts
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Many people enter divorce proceedings believing that a spouse who behaved badly during the marriage should receive less money.
However, divorce financial settlements are not normally used to punish either person for the breakdown of the relationship.
In England and Wales, the court focuses primarily on achieving a fair financial outcome. It considers matters such as income, property, pensions, financial needs, earning capacity, the length of the marriage, and the welfare of any children.
Bad behaviour may affect a divorce settlement, but only in limited circumstances.
At southgate solicitors, our family law solicitors help clients understand when conduct may be relevant and how it could affect the division of finances.
Does Adultery Affect a Divorce Settlement?
Usually, no.
Adultery does not normally give the other spouse an automatic right to:
Since no-fault divorce was introduced in England and Wales on 6 April 2022, a person does not need to prove adultery or unreasonable behaviour to end a marriage. A divorce application can instead be based on a statement that the marriage has broken down irretrievably.
The divorce process and the financial settlement are also separate legal matters. The reasons the relationship ended will not normally decide how the assets are divided.
What Behaviour Can Affect a Divorce Settlement?
The Matrimonial Causes Act 1973 allows the court to consider the conduct of either spouse where it would be unfair to disregard it.
This means the behaviour usually has to be serious and directly relevant to the financial proceedings.
Examples may include:
The threshold is high. Ordinary disagreements, poor communication, or behaviour that caused the marriage to end will not usually be enough.
What Is Financial Misconduct?
Financial misconduct is behaviour that unfairly reduces, hides, or affects the money and property available during divorce.
For example, one spouse may:
Where this happens, the court may investigate the missing money and consider what the financial position would have been without the misconduct.
Our hidden asset solicitors can help where you believe your spouse has not provided complete and honest financial disclosure.
Can Reckless Spending Affect the Settlement?
Potentially.
Not every example of overspending will affect a divorce settlement. Couples often disagree about spending habits, particularly during separation.
However, the court may take the issue more seriously where one spouse has deliberately or recklessly spent a substantial amount to prevent the other spouse from benefiting from it.
This is sometimes described as the dissipation of assets.
The court will consider:
The court may, in appropriate circumstances, treat the money as though it were still available when deciding what would be fair.
What Happens if a Spouse Hides Assets?
Both spouses must provide full and frank financial disclosure.
This includes information about property, income, savings, investments, businesses, pensions, debts, trusts, and overseas assets.
If one spouse provides incomplete or dishonest information, the court may:
A financial settlement made without proper disclosure may also be open to challenge if the hidden information was significant enough to affect the outcome.
Can Domestic Abuse Affect a Financial Settlement?
Domestic abuse does not automatically result in a larger financial award.
However, it may become relevant where the conduct is exceptionally serious or has caused a direct financial disadvantage.
For example, abuse may have affected a person’s:
Economic abuse may also involve controlling access to money, preventing a spouse from working, creating debts in their name, or withholding essential financial information.
The court will still consider the complete financial circumstances rather than applying an automatic financial penalty.
Does Starting a New Relationship Affect the Settlement?
Simply entering a new relationship is not normally treated as bad behaviour.
However, a new relationship may be financially relevant if it changes a person’s housing arrangements, living expenses, or future financial needs.
For example, the court may consider whether someone is living with a new partner and sharing household costs. This does not mean that the new partner must financially support them or that the relationship will automatically remove a claim for maintenance.
The effect will depend on the stability of the new relationship and the financial circumstances of everyone involved.
Can Poor Behaviour During Court Proceedings Affect Legal Costs?
Yes.
Although conduct during the marriage rarely affects the division of assets, unreasonable behaviour during the financial proceedings may affect legal costs.
Examples may include:
The court can order one party to pay some of the other person’s legal costs where their conduct during the case justifies it.
This is separate from deciding how the matrimonial assets should ultimately be divided.
What Does the Court Normally Consider?
When deciding a financial settlement, the court usually focuses on factors including:
Financial arrangements following divorce may cover property, savings, investments, pensions, and regular maintenance payments.
The objective is fairness, not punishment.
Can Couples Agree Their Own Settlement?
Yes.
Couples can negotiate their own financial settlement through solicitors, mediation, collaborative law, or other forms of non-court dispute resolution.
However, the agreement should normally be recorded in a Consent Order and approved by the court to make it legally binding.
A solicitor can also help ensure that the agreement is based on complete financial disclosure and properly deals with future claims.
Our Consent Order solicitors can assist with negotiating and formalising a financial agreement.
Why Legal Advice Is Important
Allegations of bad behaviour can increase conflict and distract from the financial issues the court must decide.
Before relying on conduct as part of a financial claim, it is important to understand:
At southgate solicitors, we advise clients across England and Wales on divorce, financial settlements, hidden assets, financial misconduct, spousal maintenance, property, pensions, and Consent Orders.
For more information or advice on family law matters, readers are encouraged to contact the legal team at southgate solicitors at 02080040065 or hello@southgate.co.uk. It’s important to note that the content of this article is general information and not legal advice, and readers should seek independent expert advice for their specific situations. Our experienced team at southgate solicitors is here to provide expert guidance and support.
Send your details to us and we will call you back to take further information about your matter, or you can click the number below.
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