Lessons from a recent Court Ruling for Couples Facing Divorce
In the recent case of M.T v E.T (8197/2018) [2024] ZAGPJHC 578, the Gauteng Division of the High Court in Johannesburg examined the question of lifelong spousal maintenance after a 28-year marriage. This case is instructive for couples contemplating divorce, particularly where one partner has limited earning capacity and faces significant financial uncertainty after separation.
The couple, M.T and E.T, married in 1997 and built a life together with a high standard of living. However, by the time of the divorce proceedings, they both faced considerable financial strain. M.T, 51, earned around R40,000 a month from rental properties he co-owned with his brother and relied on additional support to cover his monthly expenses of over R70,000. E.T, on the other hand, earned only R3,000 a month from teaching Pilates, leaving a significant gap between her income and monthly needs of R46,727.
South Africa's Divorce Act allows courts to award spousal maintenance based on several factors, including the length of the marriage, each spouse's financial needs, and their ability to earn income. Here, the Court had to decide whether E.T's situation warranted permanent maintenance or the temporary rehabilitative maintenance that M.T proposed. M.T offered R6,300 a month for six months, which he believed was sufficient to help E.T become self-sufficient. However, the Court ultimately found this inadequate for several reasons, and instead ordered permanent maintenance.
Why Long-Term Marriages Matter in Maintenance Decisions
The nearly three-decade duration of M.T and E.T's marriage played a key role in the Court's decision. The Court emphasized that in lengthy marriages, as in Kroon v Kroon, lifelong maintenance is often necessary due to the lasting economic partnership between spouses. When one spouse has been absent from the workforce or has relied on the other financially for most of the marriage, it becomes challenging to achieve financial independence post-divorce. The "clean break" principle, which encourages a once-off settlement, was weighed against this reality.
E.T's age and health limitations further justified permanent support. With her limited income and physical impairments, E.T's prospects for substantial earnings were slim, as the Court noted with reference to Kooverjee v Kooverjee. This ruling acknowledges that for older spouses or those facing health-related employment barriers, lifelong maintenance may be the only viable solution to ensure financial stability.
Balancing Financial Needs and Capacity to Pay
While both M.T and E.T experienced a decline in living standards after separation, the Court carefully assessed their respective financial situations. M.T's reliance on family support and his income from rental properties indicated that he could sustain the ordered maintenance amount of R40,000 per month. Conversely, E.T's low income and high monthly expenses underscored her need for consistent financial support, even if it didn't restore her to the pre-divorce standard of living.
Practical Takeaways for Divorcing Couples
This case highlights several important considerations for couples facing divorce, especially those in long marriages:
Plan for the Long Term: Divorce settlements should realistically reflect each spouse's ability to achieve financial independence. Factors like age, health, and time out of the workforce can heavily impact post-divorce financial needs.
Be Honest with Financial Capacity: Courts rely on thorough financial disclosures to assess needs and obligations. Misrepresenting finances, as seen in some of M.T's claims, can undermine credibility and affect the Court's ruling.
Prepare for Adjustments in Lifestyle: With two households often less affordable than one, post-divorce financial expectations may need to adjust to a reduced standard of living. Courts aim for fairness, balancing each party's needs against affordability, but significant lifestyle changes are common.
In the end, the M.T v E.T case reaffirms the Court's willingness to order permanent spousal maintenance when circumstances demand it, providing valuable guidance for those navigating the financial aspects of divorce in long-term marriages.
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.