Financial disclosure on divorce

When experiencing a divorce or separation, the aspect of financial disclosure is key in achieving a fair settlement. This detailed process involves both parties presenting comprehensive information about their financial status, which includes all assets, liabilities, income, and anticipated future financial needs.

What is financial disclosure?

Financial disclosure in divorce involves each party providing comprehensive details about their financial assets, liabilities, and income. This mutual exchange ensures transparency, aiding in negotiations and fair settlement outcomes during divorce proceedings, whilst ensuring that both parties are fully aware of each other’s financial circumstances

This understanding is crucial for negotiating settlements or for the court to make informed decisions during financial remedy proceedings.

The process begins when you and your partner exchange personal financial information, typically by way of Form E, which is the court form, that is traditionally used when engaging in financial remedy proceedings. However, even when negotiating informally, thorough financial disclosure remains critical to ensure fair dealings and the Form E is usually completed, even outside of the court process.

The role of financial consent orders

Financial consent orders detail the agreement of how the financial assets are going to be divided between the parties.

• You might also be interested in: An essential guide to Consent Orders in divorce

Necessity of financial disclosure

Failing to provide complete and honest disclosure can lead to disputes and may complicate the settlement process. Both parties are required to engage in ‘full and frank’ disclosure, which entails a continuous obligation to provide accurate and comprehensive financial information.

Any omission or misrepresentation can lead to legal repercussions, including the possibility of criminal charges if one party is found to have been dishonest in the information they provided. As the Form E, contains a Statement of Truth, that the information contained within is true and that they have given full, frank, clear and accurate disclosure of their financial circumstances.

Preparing for financial disclosure

Preparation for financial disclosure involves completing and exchanging Form E, which is a detailed form that outlines your financial status. It is advisable to begin collecting necessary documents early to avoid delays, particularly because obtaining records from third parties can be time-consuming.

Addressing queries and concerns

Once Form E’s are exchanged, parties have the opportunity to ask questions of the other parties through questionnaires, to seek clarification of the information that has been disclosed. This step is essential if there are concerns over the completeness or accuracy of the information provided.

Practical tips for efficient disclosure

1. Start early: Begin gathering all financial documents as soon as possible to prevent delays.
2. Be thorough: Ensure all data is comprehensive and accurately reflects your financial situation to avoid disputes.
3. Seek legal guidance: Consider consulting with a solicitor to help navigate the complexities of financial disclosure and to ensure all legal requirements are met.

Engaging in complete and transparent financial disclosure is crucial in divorce proceedings, helping to pave the way for equitable solutions and reducing the potential for future conflicts. By understanding and respecting the process, you can contribute to a smoother resolution of your divorce, ensuring that all financial matters are settled fairly and thoroughly.

How Moore Barlow can help

Our experienced team of divorce and separation solicitors are here to provide you with the support and guidance you need to navigate this process.

We offer a range of services to help you achieve the best possible outcome for you and your family, from mediation and collaborative law to court representation. Let us help you move forward with confidence.

Contact us today