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What is the difference between matrimonial and non-matrimonial assets?

Matrimonial assets tend to be those which have been generated or accumulated during the marriage whereas non-matrimonial assets tend to be assets which are acquired outside of the marriage such as assets owned before marriage or assets received by one party during the marriage without contribution from the other such as through inheritance or a gift.

The discretion of the court when making financial awards is wide ranging and the way the court will deal with this distinction varies from case to case so it is always important to seek advice about your particular circumstances. However, in broad principles, any asset which is “matrimonial” in nature is usually shared unless there is good reason not to. If an asset is non-matrimonial, an argument could be raised that there ought to be a departure from an equal share of the asset to reflect the fact it is from a source external to the marriage. However:

  • If financial resources are limited such that a party’s needs cannot be met without using the non-matrimonial property, the fact it is non-matrimonial will carry little weight, if any.
  • The family home is seen as core to the marriage and is often treated differently. It is invariably treated as a matrimonial asset even if it would have been non-matrimonial in nature.
  • If a non-matrimonial asset has been intermingled with a matrimonial asset, a court may place less weight on the fact it started as non-matrimonial in nature.
  • If the parties were married for a short period of time, a court may place greater weight on the fact that an asset is non-matrimonial and may be persuaded to allow a greater departure from equality than if the parties have been married for a long period of time.

The court will always have a mind to fairness and is likely to take a step back and consider whether the overall division of the assets is “fair” bearing in mind the parties respective financial and non-financial contributions to the marriage.

Related FAQs

What is a non-molestation order?

A non-molestation order is a form of injunctive relief used when there is harassment / domestic violence within a domestic setting. It is commonly used when you or your children are the victim of domestic violence committed by a partner/ex-partner, but it can also be used if the acts are committed by a relative or by somebody who has had an intimate personal relationship with you. Such domestic violence can take many forms but is typically acts of physical violence, intimidation or harassment as well as more subtle forms such as coercion.

When non-molestation orders are granted, they usually require the perpetrator to stop:

  • Using or threatening violence against you
  • Intimidating, harassing or pestering you
  • Contacting you including in person, by phone, letter or electronic means including social media
  • Damaging or threatening to damage your property and possessions

They also prevent the perpetrator from encouraging somebody else to do these things on their behalf.

In addition, a non-molestation order may prevent the perpetrator from coming within a particular distance of your home or your child’s school

Breaching the order without a reasonable excuse is a criminal offence so the perpetrator can be arrested and punished by way of a fine or up to 5 years imprisonment.

Are any suppliers exempt from this?

Small suppliers (defined by reference to certain financial indicators) are temporarily exempt from these new restrictions until 30th March 2021 in order to account for the difficulties to small suppliers during the Covid-19 pandemic.

There are also certain industries that are exempt from these restrictions (for example financial services).  The Secretary of State may also create further exemptions framed by reference to kinds of company, supplier, contract, goods or services or in any other way.

How is the Court of Protection dealing with matters during the Coronavirus pandemic?

The current situation with the coronavirus pandemic has presented obvious challenges to the effective and fair operation of the Court of Protection (COP). Remote access to the COP has therefore become a necessity to ensure that hearings continue to provide proper access to justice. All parties involved in such cases have a responsibility in achieving this primary aim.

What fees will I pay for a loan under CBILS?

Borrowers will not have to pay a guarantee fee. Lenders will pay a fee to access the scheme. The Government will make a Business Interruption Payment to cover the first 12 months of interest payments and any lender-levied fees, allowing smaller businesses to benefit from no upfront cost.

British Business Bank has indicated that following earlier discussions with the banking industry, some lenders indicated that they would not charge arrangement fees or early repayment charges to SMEs borrowing under the scheme. Each business should check the terms of the loans being made to ensure this is the case and what the interest rate and prepayment fees will be following the period in which the Government makes payment of these amounts.  

What is the Clinical Negligence Scheme for Coronavirus?

The Government has recently passed the Coronavirus Act 2020 in a response to the challenges posed by the pandemic, especially in relation to those facing the NHS during this time of crisis.  NHS Resolution worked closely with the Department for Health and Social Care to draft a clause within the Coronavirus Act providing indemnity for clinical negligence for any coronavirus related activity not currently covered by an existing arrangement.  In order to implement this clause, NHS Resolution has launched the Clinical Negligence Scheme for Coronavirus (“CNSC”).

It is intended that the CNSC will cover new contracts put in place for healthcare arrangements to respond to coronavirus, such as organisations supporting testing arrangements or Independent Contractors making agreements with NHS England and NHS Improvement to release capacity to the NHS.  Membership is not required for this scheme and the contracts entered into will automatically provide indemnity under the scheme.

The CNSC will not replace existing indemnity provisions made under the Clinical Negligence Scheme for Trusts (“CNST”) and it has been confirmed that the new Nightingale Hospitals will be covered by CNST rather than CNSC.  Similarly, NHS Resolution have confirmed that those doctors and nurses returning to practice from retirement, or those joining as students will be covered by the CNST or, where applicable the Clinical Negligence Scheme for General Practice (“CNSGP”).  The CNSC will not cover returning midwives to the profession, but the Royal College of Midwives have confirmed that they will extend all of the benefits of membership including Medical Malpractice Insurance to returning retired midwives.

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