Out of Court Divorce Settlements
The Court must always deal with a divorce itself following an application. The Final Order of Divorce (previously called “Decree Absolute”), can only be granted by the Court.
However, it is possible to resolve financial matters between you and your spouse outside of the court arena and, if this is possible, it is a preferable way forward for most couples to try and keep relations as amicable and respectful as possible.
Engaging in a settlement outside of court can also reduce the stress, time and costs involved in resolving the financial aspects of your separation.
There are different formal ways to settle matters out of court, known as Alternative Dispute Resolution (“ADR”), including:
- Mediation
- Collaborative divorce
- Arbitration
Each form of ADR above involves coming together out of court to try and reach an agreement, and regardless of the type of ADR process you choose, takes place in a controlled environment.
It is recommended to seek expert and independent legal advice if you are engaging in Mediation, Collaborative Law or Arbitration to ensure the negotiations and the terms of any agreement reached are fair. Solicitors can also be involved in the negotiations to progress matters, ensure your questions are answered and the outcome is in your best interests.
Of course, it is also possible to engage in negotiations between the parties privately to resolve the issues between you if it is safe and sensible to do so.
We recommend that you enter into full and frank financial disclosure with your spouse, whether that be voluntarily, or part of the ADR of your choice. Exchanging financial disclosure ensures you each have an accurate picture of the matrimonial assets, pensions and one another’s income sources before considering any terms of the settlement.
If an agreement can be reached, then it is possible (and advisable) to have the terms of the agreement detailed within a consent order. This is a legal document, lodged at court for a judge’s approval. Once approved by the court the consent order would be legally binding and once the divorce or dissolution proceedings are finalised, the consent order would also be enforceable. This ensures the parties are held accountable and act per the terms of the agreement reached. There is also recourse to each party if the other does not abide by the terms of the order.
At McAlister Family Law we have significant experience advising clients engaging with out-of-court settlement discussions, in a variety of different personal circumstances. We can help you consider the benefits of the alternative routes to issuing court proceedings. Of course, if it is not possible to engage with out-of-court discussions or no settlement can be reached then our team of expert solicitors can assist you with financial remedy proceedings to ensure you achieve a fair and reasonable outcome.
