Separation of people who cohabit does not always involve divorce. There are many different reasons why people cohabit. The cost of living being what it is, and the cost of marriage being not insignificant means many couples cohabit first.
Cohabiting couples do not have the same rights as married couples or those in a civil partnership. It is therefore important for cohabiting couples to take advice and ensure that the necessary steps are taken to protect their positions.
In some situations property is owned by one and not the other. If the parties then separate the non-owning party has to show that they have acquired a beneficial interest in the property. This can potentially be evidenced by financial contributions, discussions and agreements between them but generally a shared intention has to be shown.
Other situations involve co-owned property usually as joint tenants or tenants in common. As joint tenants, the basic legal principle is that the parties own the property equally. This is important as any division of the proceeds of sale will be split 50:50, even where one party contributed more money to the purchase. There are exceptions where the presumption of a 50:50 split will not apply where a third party has contributed however this would require a Declaration of Trust to protect their interest.
Where parties cannot reach an agreement an application can be made to the court under The Trust of Land and appointment of Trustees Act 1996 (TOLATA) to resolve issues. This area of law is complex but applicable to a considerable number of people. If you, or someone you know, finds themselves facing such issues advice can clarify the position and potentially avoid court action.
Contact Lisa Ridge at Thornes on 01902 313311 or email lisaridge@thornessolicitors.co.uk for further information.
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