A divorce process can often be a very unsettling time for the people. However, it is important to understand that financial rights concerning 'alimony' and 'child support' are very crucial factors that have far-reaching implications.
What is an Alimony and How is it Calculated?
In legal terms, 'alimony' refers to the legal obligation of a person to provide financial support to his or her spouse in the instance of a marital separation as per the applicable family law.
While there does not exist, any 'one rule' in terms of alimony calculation, it can be determined only after analyzing the following factors such as:
- The Religion of the Parties
- Whether the parties concerned are Muslim or Non-Muslims.
- Applicable Law
- What would be the applicable law that governs the marital relation and obligations of each party. This is mostly determined based on the place of marriage of the parties and is also subject to additional rules.
- Mutual Divorce or Contested Divorce
- In addition to the aforementioned rules comes additional factors wherein whether the parties are able to enter into mutually agreeable alimony terms or whether if there is no consensus possible, then the applicable alimony would be subject to discretion of the court, rules pursuant to each emirate, and the merits of each individual cases.
- Prenuptial or Postnuptial Agreements
- Quite often parties enter into a postnuptial or prenuptial agreement that might predetermine the terms of asset allocation, and alimony rights in the instance of a future divorce.
General Guidelines Under the UAE Courts
The general guidelines that a UAE court of law might take into consideration while determining the applicable maintenance include, amongst others:
The court will thus take into account the liabilities due and, subject to its discretionary power, allocate the maintenance amount as per the net income after having taken into account the debts payable and any other liabilities.
The maintenance due can be reduced, in terms of the housing rent allowance, provided the female custodian (mother) owns a house or has been allocated accommodation.
Similarly, the maintenance due, in terms of the housing rent and utilities, can be reduced from the total maintenance when the custodian guardian (mother) remarries, and now resides with her husband.
Subject to the courts' discretion, there is further scope of reduction in maintenance fees in terms of allocating the applicable fees for a maid or nanny services, after taking into account whether the custodial guardian (mother) is working or not.
The Emirates of Abu Dhabi has also introduced a new law on family matters for non-Muslim foreigners and locals, which is applicable only in Abu Dhabi. The new law provides for a wife's right to make financial claims, including compensation on a lumpsum basis in case of a divorce. The compensation is to be provided considering factors such as length of marriage, economic, financial and social status of each spouse, number of children and difference in income, etc.
Revisions in the Alimony/Maintenance
It is also important to note that the parties are allowed to apply for revision in terms of the maintenance amounts allocated. The revisions are allowed based on the fact that possible change in circumstances may occur, such as loss of job or reduction in salary or other factors which are part of life and hence have to be considered.
If found justifiable, a reduction claim can be allowed by the courts. The concept of alimony might differ under the personal laws of expatriate residents, and therefore, it is crucial to have a deep understanding of the possible conflict of laws and choice of law.
Originally published by 18 November, 2022
The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.