Press Release - Headaches remain for cohabiting couples despite Supreme Court ruling

"HardingEvans Solicitors help to avoid unforeseen problems concerning legal rights in a relationship, and can discuss how they might change as a relationship develops through marriage, the arrival of children and various other factors. Whilst seeking legal advice is hardly the ideal romantic gesture when moving in with your partner, it will save you from the same loss suffered by those who the Supreme Court decision has affected. 

In the case of Leonard Kernott and Patricia Jones, the Supreme Court found that Kernott’s share of a home would be limited to 10 per cent because although the couple had originally purchased the home in joint names, and shared costs equally for eight years, when they separated Mr Kernott left the home. Ms Jones then continued to make the mortgage repayments for the next 14 years without any contribution from Mr Kernott. The Supreme Court stated this is a "fair decision between the parties” in the light of the facts of this case.

Law Society President John Wotton said after the case that the decision only goes so far in providing cohabiting couples with clarity about what will happen to shared property when a relationship breaks down, and that many cases could still end with what most people would consider an unfair outcome.

Couples who choose not to marry can still ensure their rights are preserved.  Taking time to clarify your intentions at an early stage is essential.  It is far better to agree with your partner what your arrangements are, than to end up losing out because of a court decision.  With this in mind, the following is a guide to the key things to consider: 

When buying a home take legal advice.  Your home is the biggest investment you are likely to make in life, and how you establish ownership can make a huge difference if you split up.  There are two options for joint ownership – joint tenants who in simple terms mean you own it jointly and equally and if one dies the other will automatically get the house.  If you buy as tenants in common, however, you can specify that you own uneven shares in the property.  If one dies, his or her share will go to the beneficiary named in the will.  HardingEvans Solicitors can help you draw up a clear declaration of trust, showing the respective shares of ownership in the property and your intentions as at the point of purchase.

Draw up a living together agreement - this forms a record of what each party is contributing to the household.  A court can ignore it but will generally uphold it if what you agreed produces a fair outcome, neither party was under pressure, and you were honest about your finances when drawing it up.  If you have it drawn up by HardingEvans Solicitors and independently witnessed it will be legally binding.