When couples separate, often the two most difficult concerns to resolve are children and finances. When it comes to finances, it is important to document clearly what has been agreed by way of a Separation Agreement or a Consent Order. What option is best for you will depend on your circumstances but here are some key differences between the two.
Consent Order
- A Consent Order is appropriate if the separated parties were married.
- The financial agreement is reached between the parties before being filed with the Court for a Judge to approve.
- A Consent Order will only cover the matrimonial finances therefore any agreements regarding the children will have to be recorded separately.
- Unless there is an order from the Court, there will always be a risk that either party might make a financial claim against the other whether in life or in death.
- Once a Consent Order has been approved, it will give you finality by severing financial ties (where appropriate) with your ex-spouse and the terms cannot normally be renegotiated.
- A Consent Order is a legally binding document, and breaches can be enforced by a Family Court.
Separation Agreement
- This may be suitable if the parties were not married or if there are religious reasons why they cannot divorce or parties are simply not yet ready to divorce.
- The agreement is reached privately between the parties and there is no requirement for a Judge to approve their agreement.
- A Separation Agreement can include other matters such as arrangements for the children and the terms can be revisited from time to time to see if they need to be updated or changed.
- A Separation Agreement can be a legally binding document, however any breach would be dealt with as a breach of contract in the civil courts and not by a Family Court
If you would like advice on any of the issues raised in this article, please contact Irrum Shah, Solicitor in our Family Law Department on 01295 204154, or by email at ishah@se-solicitors.co.uk
