Common Law Husband and Wife
There is no such thing as a common law husband or wife, you are simply cohabitees and if you separate from your partner, then you have very limited rights to make claims against their assets and certainly not the same rights as a married person.
- There are no claims for maintenance other than child maintenance.
- There are no claims against the other’s property unless the property is in joint names or you can prove a beneficial interest.
- There are no claims against pensions.
There have been calls for the law to be changed for cohabitees as many people still think that they have claims as a common law husband or wife.
Cohabitation Rights Bill
One such proposal is now in the form of a Private Members’ Bill put forward by Lord Marks, namely the Cohabitation Rights Bill, and this had its first reading in the House of Lords this month.
The proposals will relate to anyone who has a child with the other party or has lived with them for at least 3 years. They can apply to the Court for a Financial Settlement Order which may require the other party to pay them a lump sum, transfer property to them, a sale of property or a Pension Sharing Order. These are very similar rights to those of a married person.
Unlike married couples who have a right to make claims against all the matrimonial assets these proposals provide that “an Applicant would have to show that the other party has retained a financial benefit which has been acquired, retained or enhanced by or for the Respondent during the parties’ co-habitation, whether in the form of capital asset of any kind, income, whether actual or potential or earning capacity”. Alternatively, they could show an economic disadvantage being a “past, present or future financial loss, burden or costs sustained by the Applicant during the parties’ co-habitation or likely to be sustained following its breakdown”. Both of these claims have to be as a result of qualifying contributions that the Applicant has made being a financial or other contribution to both parties’ lives and members of their family.
In Summary
The Bill would ensure that co-habitees have a right to make a claim to prevent them from suffering financial hardship where they have financially contributed to the household expenses but not had ownership of an asset or where they have made another contribution such as giving up their career in order to bring up the children of the family.
The Bill is a Private Members’ Bill and usually they have little chance of being passed particularly as there are still many that propose cohabitees having similar rights to those of a married person. We can only now wait to see the progress that the Bill makes.
If you wish to have any advice regarding claims that you may have as a co-habitee if you separate, please contact us on 0800 011 6666.