financial provision

See: capital

financial provision

a phrase often used to denote rules relating to division of assets and payments on breakdown of marriage. It includes, in English family law, the process of distributing a couple's capital and income in a just and equitable way when their marriage ends in divorce. The court has extensive powers to make financial provision for the applicant. Under the Matrimonial Causes Act 1973 and the Matrimonial and Family Proceedings Act 1984, it can make financial provision orders, including maintenance pending suit; periodic payment orders and lump sum orders; and property adjustment orders - orders selling property.

Similar rules apply in Scotland where five principles are to be:

  1. (1) the net value of matrimonial property should be shared fairly;
  2. (2) fair account should be taken of any economic advantage derived by either party from the contributions of the other and of any economic disadvantage suffered by either in the interest of the other party or the family;
  3. (3) any economic burden of caring after divorce for a child of the marriage under 16 should be shared fairly;
  4. (4) a party who has been financially dependent to a substantial degree for financial support from the other party should be awarded such financial provision as is reasonable to adjust this over three years; and
  5. (5) a party liable to suffer severe financial hardship as a result of the divorce be awarded reasonable financial provision over a reasonable period to mitigate that hardship.
References in periodicals archive ?
It involves an assessment of the property (or representative sample of properties on large portfolios), the calculation of a projected liability and focussed advice on how best to account for the identified liabilities by making appropriate financial provision over any remaining lease term.
Ms Benussi, senior partner with Birmingham-based matrimonial law practice Benussi and Co, said: "Our firm is dealing with an increasing number of cases involving unmarried mothers who are seeking financial provision from the fathers of their children.
Mr Jackson said the Government had not made any financial provision for the health workers' cases.
IT amused me yesterday, in a bitter kind of way, to note the British Olympic Association's stunned and appalled reaction to Gordon Brown's studied lack of financial provision for elite athletes in his pre-budget statement.
People aged 65 and over who have made modest financial provision for their retirement could be entitled to an extra pounds 15.51 a week if they are single or pounds 20.22 if they live with someone else.
"This has meant a major reduction in financial provision for the work with the consequence that the rest of the school is subsidising the Shilton operation," he said.
Ms Lee said the result of a will sometimes attracted claims of unfairness on the grounds that reasonable financial provision had not been made for everyone entitled to expect it.
Overall 83 per cent of advisers are "gravely concerned" about the level of pensions saving, while 40 per cent say their clients are still far too reliant on the state for their financial provision in retirement.
A list of client testimonials would also be a good indicator." Wills sometimes are sometimes contested as being unfair, on the grounds that reasonable financial provision had not been made for everyone entitled to expect it.
While most European nations make some financial provision to refugees, our government continues its legal battle to deny anything to those who apply for relief once they are here.
Last year the committee granted the director of technical services delegated authority, in consultation with the working party, to buy any works of art by local artists subject to financial provision made in the revenue estimates for each municipal year.
This Act gives those individuals who are financially dependent on the deceased the possibility of obtaining financial provision from the estate.