Protecting Yourself in a Cohabiting Relationship

As we are starting to understand more about the incoming Government’s priorities what we do know is that the previous pledge around reforming Cohabitation rights, seems to have fallen off the agenda. For family law professionals this is disappointing but a familiar story. Interested parties have been campaigning for years about the need to protect former cohabitants, particularly women, following a relationship breakdown. 

For those who have separated it will seem perverse and shocking to learn that they may have absolutely no financial claims against their ex-partner even if that relationship has endured for many decades and they have children together.

Other than child maintenance, the fact that you have been in a relationship does not in and of itself give rise to any financial claims or rights. There is no such thing as common law marriage and yet the cohabiting relationship is the most common form of family unit now in existence.

For those who are experiencing  a relationship breakdown they find themselves having to wrangle with a complex array of different laws, statutes and doctrines often centred around property and trust law. This means that trying to establish a claim or an interest in your home or other assets can be an extremely complex, long-winded, uncertain and expensive affair. Not setting out your intentions clearly at the outset of a relationship can result in complex and damaging arguments. 

So, if the Government isn’t going to prioritise this issue what steps can you take to avoid this pain in the first place?

If you are planning on living with someone consider the following;

1. Have an open conversation about what happens if the relationship, for any reason, breaks down. It helps to understand the other’s expectations. Not romantic admittedly, but can save an awful lot of stress, pain and money later on.

2. If you are purchasing a property together a Declaration of Trust is an important document for recording what you have each paid towards the purchase price and therefore what you can each expect from the sale proceeds if the property is sold in the future

3. If you are purchasing a property in one name only but you are both contributing to the purchase price a Declaration of Trust is important to protect the non-owning partner’s contribution.

4. A cohabitation agreement will record what your assets are, outline what will happen to your money and assets during the relationship and what will happen if the relationship ends. 

5. Talk about what will happen on death. Again, not romantic, but helpful. Whether you own property together or not, a Will can be very important to cover the maintenance and housing needs of the surviving partner.

6. If you are not sure what formal arrangements you need to put in place, take some legal advice.

It is also worth knowing that a cohabitation agreement can be entered into not only before you start living with someone but also if you have been together for a long time. 

If you think that you might need a cohabitation agreement then please get in contact with us to discuss your situation.