0330 606 9548

Request a callback

Divorce Case Study – Property Owned Before Marriage

5th April 2016

Family Law and Divorce Solicitor Tracey Moloney

Client Situation

Mr and Mrs C had been married over 25 years and had recently started the process of getting a divorce.

Mr C contacted us to discuss his divorce financial matters. He owned a number of properties in London which he rented out. One of the rental properties was purchased more than 15 years before the marriage.

A Court order had been made for the wife to have 55% of the total assets, which included the property that had been purchased long before they were married.

The Court order did not include in it who was going to pay for the Capital Gains Tax liability that would occur when Mr C sold some of the properties to comply with the Court order.

How We Helped

Divorce Solicitor Tracey Moloney asked the Court if we could appeal the order and we were given permission to appeal. The basis of the appeal was that the first Judge had not recognised that one of the properties should have been excluded from the order, because it was a pre-marital asset.

In addition, the first Judge also failed to recognise that Mr C would need to sell a large number of his rental properties to be in a position to release 55% of the financial assets to Mrs C. This would result in a large Capital Gains Tax debt for him, or if he transferred the properties to Mrs C, she would be liable for the Capital Gains Tax liability instead. The Court order also made no arrangements for who would be responsible for paying the Capital Gains Tax.

The Outcome

The Court of Appeal agreed with Tracey Moloney. The rental property Mr C had purchased before their marriage should be excluded from the divorce settlement, and the appeal made sure it was.

The Court of Appeal also requested that a Capital Gains Tax report be prepared and that Mr and Mrs C would share the Capital Gains Tax costs equally.

At Co-op Legal Services, our Divorce Solicitors offer a fixed fee which is agreed with you upfront before any work starts. Once we have provided you with a written quote for the agreed work to be done, that price will not change.

For initial legal advice call our expert Divorce Solicitors on 01618558357 or contact us online and we will help you.

Customer Satisfaction

4.4 stars out of 5 for Customer Satisfaction Rating

4.4 stars based on 3,864 Independent Surveys

Call 01618558357

You have made an unpleasant part of my life enormously easier and for that I am most grateful to you. H. S., Kent
Read more testimonials
Back to top