Many couples who separate want to avoid a costly legal battle and simply need guidance on how to achieve a fair outcome. At Stephens Scown, our Resolution Together service allows couples to work together with one lawyer to reach a consensual decision about the outcome of their separation – this can include considering the family farm.
Separation for farming families
Separating can be a challenging and emotional time for couples, where it is difficult to figure out what a fair settlement will look like and how to approach separating their finances from one another. Farming cases carry the usual stresses of any divorce, combined with the fact it can often impact other family members, livelihoods and the viability of the farm moving forwards.
The court’s starting point in any divorce is an equal division of any matrimonial assets built up during the marriage and they will only depart from this approach, if there is a good reason to do so. Matrimonial assets include land, capital, gifts or financial efforts made by the parties throughout their marriage or civil partnership. In farming cases, this could include any interest the parties or an individual holds in the family farm.
The court understands that a farm is not only the family home, but a business, which is often multi-generational. It is not unusual for individuals to wish to retain the farm and have plans to pass on their interest to their children in years to come. The difficulty faced by separating farming couples, like all couples, is ascertaining what a fair division of the assets look like and how they can meet both parties’ needs in the future, including housing, income or provisions for the children.
Resolution Together for farming families
By taking a collaborative approach, our expert lawyers can help guide you and your spouse through the process. There are many important points to consider in farming divorces. We are familiar with these unique considerations and have assisted many farming families through divorce and separation. The lawyer is just one part of what is likely to be a team of professionals a farming couple may need to resolve all the issues they are facing. As your joint lawyer, we will assist you to obtain expert advice such as appointing:
- An agricultural surveyor to value the land, livestock and deadstock. Couples can use the surveyor to comment on whether any sections of the farm could be sold, without impacting the financial viability of the farm, to help meet the exiting spouses’ needs.
- A tax advisor to consider the capital gains tax consequences if land is sold or a tax implication if a spouse exits the family partnership.
- A financial advisor to consider what assets are best to retain or sell, while maintaining sufficient income for the business to be sustainable.
Who is Resolution Together suitable for?
Resolution Together is not suitable in cases where there are ongoing or unresolved issues or allegations of domestic abuse or there are safeguarding concerns for children. It is also unlikely to have a positive outcome where there are high levels of animosity or conflict or in some circumstances where there may be an imbalance of power.
We will meet with you and your spouse or civil partner for separate meetings to assess whether Resolution Together is the appropriate course of action for you both. The factors considered will be clearly set out to you at this stage.
Sarah Atkinson is our Resolution Together specialist and would be happy to provide you both with an initial consultation where she can consider your circumstances and guide you as to your next steps.