At about this time of year, the papers fill with stories about the
post-Yuletide divorce rate. Incredibly, some bookmakers even
take bets upon which date the greatest number of divorce petitions
will be filed – known as "D Day".
Yet there are no corresponding figures to record the number of
happy couples who decide to "tie the knot" (formally or
informally) following this particularly romantic time of year, and
of course Valentines day.
At the risk of offending the dictum that "bad news
sells", there is in fact much to be happy about, but those who
can testify to this aren't dropping into their solicitors to
tell them. Perhaps they should.
The most common manifestation of romance is the proposal to live
together. Cohabitation rates have increased by a staggering
1,500% in America since the mid 60s. Here in the UK, the
rates are just as alarming with double the number of couples
cohabiting since even 1996, so that the number is just under three
million. This is a comparatively recent phenomenon
necessitated by economic factors, housing shortage, possibly doubt
and the mistaken belief of "common law rights". It
is remarkable in an age when we have laws that regulate everything
from the clothing of fishmongers to diving off the wreck of the
Titanic, that Parliament didn't see fit to put the minds of
cohabitees at rest, by introducing legislation that would prevent
the extra heartache if things go wrong.
But there is something that you can do to ensure that if things
don't work out, you are not at the mercy of an uncertain
Judge. One can enter into a Cohabitation Agreement (or Living
Together Agreement) regulating what happens in the event of
relationship breakdown. As most of us know at least someone
who has been through a breakup, they will be all too willing to
offer an opinion on the virtue of such an agreement.
Those agreements can be straight forward and provide some certainty
if a few basic principles are followed. These include
ensuring that both parties disclose their finances and they both
take independent legal advice. Each deed is drafted to suit
an individual couples needs. Some will state that everything
owned by them prior to the relationship remains theirs and assets
purchased after living together are owned jointly or by whoever
purchased them. Importantly the shares in which the property
is owned can be recorded, as indeed can everything from bank
accounts to businesses.
Drawing up a Cohabitation Agreement is an ideal opportunity for
parties to review their wills (which need to reflect the agreement
in any event). Thereafter the terms can be reviewed as their
circumstances change.
As the statistics show, it's no longer the fifties and couples
are much more mature about their expectations in a
relationship. Whilst Parliament has yet to catch up,
thankfully the legal profession is there on this
occasion.
This document is provided for information purposes only and
does not constitute legal advice. Professional legal advice should
be obtained before taking or refraining from taking any action as a
result of the contents of this document.
First published on 21 March 2013 in 'Business News Weekly'
within the West Sussex County Times
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.