Final financial hearing looming

Hi

Need some advice on a friends divorce, 2 children 9-14 married 11 years together, 3 years before that cohabiting.

My friend the wife bought the family home with money from personal injury award 2 year before marriage they began living together 2 years before that in a rented property
They also bought a rental property of £65k firstly in her name then added him to it afterwards he wasn’t added to FMH as property was mortgage free for £290000

My friend began divorce proceedings and they have final hearing on financial element there are assets of approx £330000 after mortgage paid my friend insists her former husband isn’t entitled to anything as the money came from her and has offered him 10% of the equity as he earns around £55k my friend is self employed and has hidden a lot of her money to declare her earnings as £5k a year self employed which she runs from the home , she doesn’t think the house will sell as she runs her business there and the children have their home there . Husband is in a rented property waiting for his money to start again and buy a home for his children.

What is the likely outcome will she keep 90% as it was her money that bought everything but he paid all the bills and maintenance on the home. her former husband is after 30-40% would he get this ? I am worried that she may have been badly advised as she is adamant she is keeping the lot and don’t want her to lose her home. What would the likely outcome be ??

Just to clarify she is not disabled or has had specific adaptations and lives a full life

Thanks

>> my friend is self employed and has hidden a lot of her money to declare her earnings as £5k a year self employed

So basically you are saying she is dishonest. After a relationship of 14 years and total capital of £330,000 I very much doubt that it would be reasonable to divide capital 90/10 in the wife's favour. If this situation was reversed and it was the husband who was claiming this would she think that was reasonable?

There are two properties here. It may well be that the natural division would be that the husband has the rental property and the wife keeps the former matrimonial home. I can't see her keeping both.

Thanks her home is worth £300k Mortgage free and the rental property is after mortgage worth £30k in equity would this still be the outcome ? Thanks

I think that is the minimum he can expect. If these are actually the figures then I doubt whether such a division in itself would be fair. It may be that he would get a charge on the former matrimonial home of a percentage of its value such a charge not to be capable of being enforced until the children cease to be dependent, or his wife dies or remarries whichever shall happen soonest. The capital is not going to be divided equally because of the big difference in earnings, the fact that there are two dependent children and (to a lesser extent) because of the original source of the funds. Nevertheless 90/10 in the wife's favour would be excessive.

Ok great, looks like her solicitors advice to play down her earnings and make out she is having a bad year is working and the other side would never be able to prove as all cash takings, those are the actual figures. He’s after 25-30% we think



Edited 1 time(s). Last edit at 10/06/2019 11:04AM by Divorceissues.

>> looks like her solicitors advice to play down her earnings and make out she is having a bad year is working and the other side would never be able to prove as all cash takings, those are the actual figures.

If any solicitor has given any such advice it would be a disciplinary matter and a possible contempt of court. All solicitors are officers of the court and as such their duty to the court overrides their duty to any client. Any advice intended to thwart the jurisdiction of the divorce court could land a solicitor in serious trouble.

And just as an observation a person who is self employed whose takings are in cash and who misrepresents those takings is potentially committing a criminal offence.