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    New report calls for fairer outcomes for victims of domestic abuse in financial remedy proceedings

    Resolution has recently released a new report offering insight into the interplay of domestic abuse and financial settlements in divorce, making recommendations for better protection for victim-survivors.
    Resolution is an organisation made up of family justice professionals who work with families and individuals to resolve disputes and issues around familial breakdown in a constructive way.
    The report calls for a cultural shift in the family justice system to better meet the needs of victim-survivors of domestic abuse, particularly when they are seeking financial resolutions upon divorce. The organisation conducted a survey of 500 family justice professionals, where 80% of respondents felt domestic abuse as not sufficiently considered by the court when deciding financial outcomes in divorce.
    Resolution have made a number of recommendations to help improve the experience of domestic-abuse victim survivors going through financial proceedings and reduce the long-term financial and emotional impact of divorce.
    There has also been discussion around the amount of ongoing abuse that occurs from the point a couple separates until the Court makes orders, particularly where perpetrators use the system to abuse their ex-partner further, economically, and emotionally.
    Judit Kerese, an Associate at Stowe Family Law, responds to the recommendations made by Resolution.
    The report has been a long-overdue insight into a system that currently is failing victim-survivors of domestic abuse. It is clear that family law professionals are aware of the desperate need for change. The recommendations, therefore, are welcome.
    It is all too common for perpetrators of domestic abuse to be in a position where they can assert financial control over their victim and continue to behave in a way that will either lead to victims not pursuing what they are entitled to upon separation, or simply having to be subjected to ongoing bad behaviour.
    One of the most significant recommendations is to amend the overriding objective of Part 1 of the Family Procedure Rules 2010 to mean that dealing with a case ‘justly’ means to ‘ensure the parties are safeguarded from domestic abuse’. Many victims of domestic abuse suffer from financial abuse in the short term, and often return to their abuser due to fear of financial stability. Ensuring parties are protected throughout proceedings will hopefully minimise cases of this.
    Further, the recommendation of amendments to the Financial Remedies Court Efficiency Statements to include specific reference to the need to ensure that financial proceedings are not used by perpetrators to facilitate domestic abuse, is a welcome change. There should be robust measures in place to prevent such behaviour, and ensure, as with changes to the overriding objective that victim-survivors are safeguarded.
    However, there is still a way to go, and some recommendations need more attention. For example, increasing legal aid rates to help legal aid providers be sufficiently funded to act for victim-survivors. Although legal aid funding is limited, this could add additional pressure to domestic abuse victims, many of whom are not able to meet the payments already required. This may result in victims feeling trapped with their abuser due to financial worries.
    The Government’s response remains to be seen. With a recent change in Government, and focuses shifting, it may be a while before we see real change in this area, despite the urgent need and renewed calls. I hope there will be implementation of Resolution’s recommendations before long, to offer proper justice to domestic abuse survivors.
    If you or someone you know is in immediate danger, please call the police on 999 or phone the Domestic Abuse Helpline 0808 2000 247
    Please note that Stowe Family Law cannot offer Legal Aid.

    Useful Links
    Economic abuse in financial remedy proceedings
    Read the full Resolution report

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    What is in store for family law in 2024?

    2024 has the potential to see the conclusion of a number of UK government legislation amendments and consultations. Each carefully considered change will have a far-reaching impact on family law and those dealing with the personal impact of family law matters. So, as we begin the new year, we look at important changes on the horizon and suggest what may be in store for family law in 2024.
    Financial Remedies Court reporting pilot
    The spotlight on ‘transparency in the Family Court’ continues in 2024. Following on from last year’s introduction of measures to increase understanding and scrutiny of the system, a new pilot scheme is set to start on January 29th.
    The Financial Remedies Court (FRC) reporting pilot will allow accredited journalists and bloggers to report on financial remedies proceedings. These include financial issues arising from divorce and civil partnership dissolution, and child support cases.
    The FRC pilot will initially cover three trial courts: the Central Family Court, Birmingham, and Leeds. Notably, certain hearings, like Financial Dispute Resolution, will maintain confidentiality, preserving the privacy of those involved.
    Proposed amendment to Victims and Prisoners Bill affecting parental responsibility
    In January 2024 the Ministry of Justice’s proposed amendment to the Victims and Prisoners Bill moves to the next stage. The proposal announced in 2022 seeks to automatically remove parental responsibility for parents convicted of the murder or voluntary manslaughter of their co-parent.
    The legislation change emerged after the death of Jade Ward, whose partner and father of her child murdered her in 2021. He was found guilty and sentenced to a minimum of 25 years in jail. Since then, Jade’s family have lobbied for a change in the law to automatically remove parental responsibility so that convicted offenders can no longer seek information about their children or make key decisions about their lives.
    The Ministry of Justice have confirmed that there will be exemptions in cases involving domestic abuse.
    Possible outline of future financial remedies reform
    In 2023 the Law Commission of England and Wales launched a comprehensive review of financial remedy orders. The review examines how finances are divided among couples post-divorce or civil partnership dissolution, currently governed by the Matrimonial Causes Act 1973 and Civil Partnership Act 2004.
    The aim of the review is to evaluate the effectiveness of current laws and ensure fairness for divorcing couples. Among other factors, the review set out to analyse discretionary powers of judges, explore wider powers for orders involving children over the age of eighteen, assess pension-related orders, review the mechanics and structure of post-divorce financial payments.
    The findings, anticipated in a scoping report in September 2024, may pave the way for significant reforms in future financial remedies legislation.
    Family court fees to rise
    Last month the UK Government completed a consultation which looks to increase court fees by up to 10% in 2024.
    The Ministry for Justice wants to increase revenue generated by the courts to ensure that they remain ‘sufficiently resourced’ to protect access to the courts for all those who seek justice.
    Users of His Majesty’s Courts and Tribunals Service (HMCTS), including the family court, contribute to the cost of the justice process by paying fees. Court fees generated £727 million of the total £2.3 billion cost to run HMCTS in 2022/23, with the remainder funded by the taxpayer.
    By increasing court fees by 10% the UK government is expected to generate up to £42 million per year. The key objectives of the price increase are to keep pace with increased costs, improve service delivery, subsidise the cost of free services, and reduce the overall cost to the taxpayer.
    Key 2024 family court fee increases include:

    Application for a divorce, or civil partnership dissolution – fees will rise from £593 to £652
    Application for a parental order – fees will rise from £232 to £255
    Application/permission to apply for adoption – fees will rise from £183 to £201
    Application for a financial order (other than consent order) – fees will rise from £275 to £303.

    Resolving family matters out of court
    In 2024 we’ll see a continuing emphasis on encouraging parties to seek resolution of their disputes outside of the court system. Last year the UK government carried out a consultation ‘Supporting earlier resolution of private family law arrangements’ to review mediation in family law.
    As a result, in 2024 we could see mandatory mediation for all suitable low-level family court cases (excluding those which include allegations or a history of domestic violence). The aim is to divert family disputes away from stretched courts and protect children from the impact of acrimonious and long-running court cases.
    It’s hoped the proposals will mean more people can make decisions and achieve resolutions with the support of a qualified mediator, rather than placing the decision with the family court.
    General election
    While the date of the next UK general election is still to be announced, it’s widely anticipated that the current Conservative government will call for an election in 2024.
    The latest voting intention polls suggest that Labour may win the next election, meaning a change in government. Whilst no parties have yet released their election manifestos, and the exact nature of any proposed changes to family law is yet unknown, we can expect to see some impact. More

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    2023 In Review – Reflections on the Year in Family Law

    2023: A Year in Review
    Julian Hawkhead, Managing Partner, Reflects on the Year
    It has become something of a tradition for me to write a note as we draw towards the end of the year to reflect on what has happened over the past 12 months. Doesn’t the time fly by? This year I’m delighted to be joined by a few colleagues around the firm who have put down some thoughts on what has stood out for them over the course of 2023.
    At Stowe, it has been quite a year again! I’m trying to find some clever way of linking “Stowe” and “grow” together but have failed but yet again we have continued to cement our place as the most dominant family law practice in the country. We saw our colleague numbers increase to over 360 with a total of 178 lawyers serving 88 locations around the country. Yes, that’s right, we have 88 office locations, adding 22 new locations including those from Watson Thomas and Crisp & Co. this year. It has been an absolute pleasure to get to know our new colleagues from those two firms, to learn about their ways of working and what they have done to make themselves successful to continue improve our own Stowe Way of Working.
    Our client numbers also increased by 25% and by early December we had over 4,000 progressing matters underway as we continue to strive to support more and more people.
    Joanna Newton on The Rise of the Legal Age of Marriage
    In February this year, the legal age of marriage rose to 18. This has meant that 16- and 17-year-olds who were previously allowed to marry with parental consent are no longer allowed to marry or enter a civil partnership in England and Wales.
    As of 27th February, it is now a criminal offence to arrange a marriage for under 18-year-olds under any circumstances. The offence is now punishable by 7 years in prison.
    The idea behind this new law is to better protect children from being forced into underage marriages and protect them from abuse and coercion. The change is to crack down on forced marriages which can cause lasting psychological, and sometimes physical, damage on a child. It is also part of the government’s continuing commitment to tackling violence against women and girls.
    Prior to the Marriage and Civil Partnerships (Minimum Age) Act 2023, the law had been unchanged since 1949 and had legitimised child marriage with children aged 16 and 17 permitted to marry with their parents’ consent.
    The mechanism of parental consent which existed under that law, whilst meant to be a safeguard, has, in some cases, proved to be a vehicle for parental abuse.
    This change is a welcome relief and over the coming years we will hopefully see it having a considerable impact reducing the number of forced marriages and violence against girls in particular.
    Gemma Davison on Changes to Fertility Legislation
    Earlier this year, the government announced that there would be a change to fertility law which aims to reduce the discrimination that female same-sex couples face when they are looking to conceive via reciprocal IVF (where one woman provides her egg and the other carries the child). It will also encompass a change for same-sex couples where one or both partners have HIV but the viral load is undetectable.
    Female same-sex couples will no longer be required to have an additional screening for infectious diseases (including rubella, hepatitis B and C) which will remove this extra barrier not faced by heterosexual couples and reduce costs by up to £1000.
    For same-sex couples with undetectable HIV viral loads, the change in legislation will mean that the couple will have access to IVF treatment, including known sperm or egg cell donation to friends or relatives.
    These changes will hopefully work to reduce the inequality that exists between same-sex couples and opposite-sex couples regarding fertility options and treatment. However, there is still a way to go.
    In August 2022 as part of the Women’s Health Strategy, the government committed to removing all financial barriers for same-sex couples that are not faced by heterosexual couples. We are still awaiting this change. I hope to see more progress in reducing discrimination in the fertility space and more support of this method of parenthood in 2024.
    Megan Brookfield on ‘Love bombing’ being Recognised as a Sign of Abuse by CPS
    In April this year, the Crown Prosecution Service updated their guidance on controlling and coercive behaviour to include the term ‘love bombing’. The guidance now advises prosecutors on the range of tactics perpetrators of abuse can use against their victim and discusses love bombing and what this entails. Love bombing is a phrase used to describe a scenario whereby the abuser will periodically carry out over-the-top loving acts in between other behaviour to confuse and control their victim. It is most commonly seen in the early stages of a relationship.
    The update is a positive step. It has highlighted the diverse ways in which perpetrators can exact control of their victim. Furthermore, it provides a degree of clarity on the role of love bombing and how it is a coercive tactic. It also gives family lawyers a legal framework with which to support clients and indeed when obtaining protective orders from the family court.
    There are still numerous challenges to face when proving coercive control. The updates in legal framework have certainly improved this, but it is clear that more work needs to be done to help and support survivors and their families, particularly for those seeking to leave their abusive relationship.
    Ashley Le Core on Child Arrangements in International Divorces
    Most of us will have seen something about the divorce of Joe Jonas and Sophie Turner earlier this year. Their divorce raised some very interesting points in the family law space, including which jurisdiction should accept the divorce proceedings and associated financial remedy proceedings. This is particularly important to consider, as different jurisdictions will provide two differing ways of handling assets, which could favour one party over the other.
    However, most of the media drama of the divorce has been specifically about child arrangements, raising the issue of who gets the kids in international divorces, as Turner is British and Jonas is American. From media reports, it appeared that they had planned to settle their two young daughters in England. Initial divorce proceedings, however, saw some issues on this front, including accusations of child abduction.
    Unlike many divorces, these parents are of course very wealthy and therefore the reality is that wherever the determination is made that the children shall primarily reside, the other parent should be more than able to purchase an appropriate property in that country and therefore, the impact on the children will be drastically reduced. This is of course not available to every party in such cases.
    No absolute certain details are known about the long-term arrangements in relation to this divorce at this stage, but in the interim, the girls will travel between the UK and the US. In international divorces generally, it is unlikely the court would expect children to be travelling between countries on a regular basis, especially if they are of school age. In these cases, the primary focus has to be their schooling.  The onus would therefore be on one of the parents to do more of the travelling and to have a base in the relevant jurisdiction. The children then spend more quality time with their parents over longer periods such as school holidays.
    The Jonas/Turner divorce has been an interesting study in the various complex aspects involved in international and multi-jurisdictional divorces and has particularly drawn attention to what happens to children in such circumstances.
    A Final Sign Off
    There is little I can add to what has been said so eloquently above and a huge thanks to them for taking the time to share their thoughts. Family law is always evolving whether that is to reflect the changing values of our society, to adapt to the political or economic climate or to anticipate what factors such as new (and what can seem scary) technology. As a leadership team we are constantly surveying the horizon to see what might be coming up, whether that is a possible change of government or some new AI innovation. Whatever happens I do believe that 2024 will be great and exciting year.
    Wishing you and your families a safe, restful and joyous festive season.
    Julian, and all at Stowe Family Law. More

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    Introducing Stowe talks podcast series 4

    Stowe talks podcast
    Series 4 of Stowe talks podcast and videos series has begun. 
    As ever, in each episode hosts Liza and Matt are joined by a special guest to explore a specific topic in detail.
    Alongside our expert guests, in Stowe talks series 4 we explore:

    Parenting alongside a narcissist
    The dangers of DIY divorce
    How to prepare for your financial settlement
    Supporting teenagers through divorce
    Prenups, postnups and petnups
    The unique challenges of a relationship break down in the LGBTQIA+ community
    Creating financial wellbeing following separation
    Supporting male victims of domestic abuse
    Building your family through surrogacy.

    The latest episodes
    Series 4 of Stowe talks begins with ‘Parenting alongside a narcissist’, a 2-part conversation with renowned narcissist expert Dr Supriya McKenna.
    Building on our previous episodes, in part one Dr Supriya starts by explaining what narcissistic personality disorder is and how this manifests in their behaviour, especially during divorce and parenting.
    We then continue the conversation in part two, looking at learning to manage the narcissist behaviour, how to best support your children, dealing with legal and financial abuse, the family court, and learning how to raise the threshold of what triggers you.
    Quick links
    Listen to Stowe talks on spotify
    Watch Stow talks on YouTube More

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    September Stowe Support roundup

    Stowe Support is a dedicated home for Stowe’s free resources designed to help inform and support anyone with family law concerns.
    With new blogs, guides, podcasts, videos and events shared each month, here’s a handy Stowe Support roundup from the past month in case you missed anything.
    Here’s your monthly roundup of Stowe Support resources in case you missed anything.
    Latest blogs:
    Separating after the summer holidays
    My ex and I can’t agree on our child’s school
    Dealing with Post-Separation Abuse
    Divorce talks – Tips for respectful discussions with your ex
    What happens to the children if me and my ex want to live in two different countries?
    Book your free webinar place
    Stowe talks – Creating financial wellbeing following separation
    How to build a happy blended family with Nichole Farrow
    Watch recent webinars
    Finding the unexpected joy of heartbreak with Rosie Wilby
    Listen to Stowe talks podcasts on Spotify:
    Our next series of Stowe talks podcast will be launched soon.
    In the mean time, you can click to catch up on previous episodes and follow us!
    Stowe Support
    To explore our full range of resources dedicated to helping people with family law matters, visit Stowe Support.
    Here you’ll find a wealth of helpful guides, videos and blogs on divorce and separation, finances, children, domestic abuse, cohabitation, alternative parenting, mediation, as well as support with relationships and wellness. More

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    August Stowe Support roundup

    Stowe Support is a dedicated home for Stowe’s free resources designed to help inform and support anyone with family law concerns.
    With new blogs, guides, podcasts, videos and events shared each month, here’s a handy Stowe Support roundup from the past month in case you missed anything.
    Here’s your monthly roundup of Stowe Support resources in case you missed anything.
    Latest blogs:
    Economic abuse in financial remedy proceedings
    Tips for healing after divorce
    Britney, divorce and renegotiating prenups
    How to successfully co-parent
    Why is September a popular month for divorce?
    Book your free webinar place
    Stowe talks – Finding the unexpected joy of heartbreak with Rosie Wilby
    Stowe talks – Creating financial wellbeing following separation with Jodie Phelps
    Listen to Stowe talks podcasts on Spotify:
    Our next series of Stowe talks podcast will be launched soon.
    But you can click to catch up on previous episodes and follow us!
    Stowe Support
    To explore our full range of resources dedicated to helping people with family law matters, visit Stowe Support.
    Here you’ll find a wealth of helpful guides, videos and blogs on divorce and separation, finances, children, domestic abuse, cohabitation, alternative parenting, mediation, as well as support with relationships and wellness. More

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    Why is September a popular month for divorce?

    The impact of the summer holidays 
    September is usually a busy month for family lawyers, as it is a popular month for divorce. There tends to be an increase in divorce enquiries, particularly in comparison to August, which is quieter as families enjoy the long summer holidays.
    In fact, the summer break is sometimes seen as a reason for the rise in divorce enquiries in September. Families commonly spend more time together, and this can expose cracks in the relationship that may not otherwise have come to the surface.
    A similar phenomenon happens every January, termed by the media as ‘Divorce Day’. Divorce Day is the first working Monday of the year and has historically been the busiest day of the year for divorce enquiries, as the impact of a stressful Christmas and New Year takes its toll on relationships.
    For struggling couples, the summer holidays can bring deep-rooted issues out into the open. More time spent together, the need to provide entertainment for children, the financial demands of a holiday, and the pressure of having to be seen to have fun and be a happy family, can push relationships to the limit. 
    One of the key issues we as family lawyers see in September is how money worries surface after increased spending over the holidays. 
    Mortgage rates and economic uncertainty 
    Financial issues often play a significant role in relationship breakdown. They have been cited as the cause for a relationship breakdown in record numbers at Stowe over the past 18 months.
    Money can be a sensitive topic for even the strongest of couples. For those already struggling in their relationship, it can prove to be the final straw.
    Increasing mortgage rates are having a considerable impact on couples in the UK, potentially leading to consideration of divorce.
    Some couples are starting to see old deals (some as low as 2%) expire and new five-year fixed rates reach 6%, potentially more in coming months.
    Here at Stowe, we conducted a survey of 600 people across the UK on how mortgage rates are affecting families and relationships.
    The survey revealed that 82% of respondents have been or will be financially impacted by the inflation of mortgage rates.
    Almost a quarter (23%) responded they can no longer afford to pay their mortgage. Over half of the respondents said they were experiencing friction within their marriage or relationship because of this issue. 
    Over the cost-of-living crisis, divorce enquiries have risen to record highs, with financial issues regularly cited as a primary reason. 
    The economic climate, coupled with the pressure of the summer holidays, could prove too much for more couples, leading to them looking into divorce in September. 
    Financial problems and domestic abuse
    However, even accounting for the ongoing economic uncertainty and the rise in mortgage rates, the rise in September for divorce enquiries may not be as significant as has been seen in previous years.
    Recently, there has been a rise in the number of people who are unable to leave their marriage or relationship due to financial problems. 
    This is all the more concerning for people who are trapped in abusive relationships who are unable to leave their partner because they cannot support themselves financially on their own. 
    Victims of domestic abuse have been hit hard by the cost-of-living crisis. This is because financial hardship is connected to increasing physical, emotional and financial abuse. 
    Furthermore, inflation, and now mortgage rises, may mean more people cannot afford to divorce or separate from their partner, particularly if the abuser is using money as a means to control their partner.
    Will September 2023 be a popular month for divorce?
    For couples wanting to start the divorce process, money will certainly play a role in the decision. However, it will be interesting to see whether the economic environment will swing matters towards the usual September increase in enquiries or whether there will be a drop in couples wanting to start divorce proceedings.
    For those who choose to end their relationship, getting the right support and legal advice is crucial. Anyone suffering abuse who finds themselves in  immediate danger, please call the police. For advice on domestic abuse please call the National Domestic Violence Helpline on 0808 2000 247.
    Useful links
    Mortgage after divorce
    How much does divorce cost?
    Effects of divorce on children
    Economic abuse
    Holidays with children after divorce
    Legal help for domestic abuse victims More

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    Economic abuse in financial remedy proceedings

    As family lawyers, many of us will have acted for clients who can tell you little to nothing about their finances. Some know nothing other than the allowance they’re given by their spouse.
    Clients in this position are often embarrassed and self-critical for finding themselves in this situation but rarely is this by choice and as professionals we must be watchful for any signs that indicate economic abuse.
    What is the legal definition of economic abuse?
    Additional provisions came into force as part of the Domestic Abuse Act 2021  and for the first time economic abuse was included within the definition of domestic abuse.
    The report states that “economic abuse” means any behaviour that has a substantial adverse effect on another person’s ability to:

    acquire, use or maintain money or other property, or
    obtain goods or services

    Economic abuse can take a variety of forms, including restricting a party’s access to financial information and controlling how those financial resources are utilised.
    In some cases, the alarm bells may ring early, particularly in the cases mentioned above in which a party has no knowledge of the financial resources and whose spouse has unilaterally controlled their financial resources for the majority of their marriage.
    In other cases, concerns may not arise until the financial disclosure becomes available.
    How does economic abuse impact divorce?
    Where economic abuse is a factor, getting full and frank financial disclosure from the opposing party may prove to be a battle where, after withholding financial details from their spouse for many years, they may continue to attempt to conceal and control assets.
    There are some legal tools to challenge inadequate disclosure, for example by raising a questionnaire, a schedule of deficiencies and in some cases obtaining a third-party disclosure order. There may also be a need to invite the court to draw negative inferences where the disclosure remains incomplete or questionable.
    After the expense and effort of obtaining as clear and complete a picture of the parties’ respective financial positions as possible, to what extent will the abusive behaviour impact on the outcome at a Final Hearing?
    Mostyn J outlines the four scenarios in which conduct may be considered in financial remedy cases in his judgment in OG v AG (Financial Remedies: Conduct) [2020] EWFC 52 as follows:

    Gross and obvious personal misconduct but only where there is a financial consequence. This will include economic misconduct provided the high evidential threshold is met;
    Add-back arguments where one party has ‘wantonly and recklessly dissipated assets’;
    Litigation misconduct which should be penalised in costs rather than affecting the substantive disposition;
    Drawing inferences over the extent of the asset base following a party’s failure to give full and frank disclosure.

    Mostyn J adds that ‘Conduct should be taken into account not only where it is inequitable to disregard but only where its impact is financially measurable’.
    Notable cases involving economic abuse
    DP v EP (Conduct; Economic Abuse; Needs) [2023]
    The recently reported case of DP v EP (conduct: economic abuse: needs) [2023] EWFC 6 appears to be the first case where economic abuse has been found to be conduct as defined by the Matrimonial Causes Act 1973.
    An important factor in the case was that the husband (H) was functionally illiterate and had for the entirety of the lengthy marriage depended on the wife (W) to manage their financial resources for their joint benefit.
    The husband’s position was that the wife had exploited his illiteracy by siphoning off joint funds which had in part funded assets which were then concealed from him, and the court. The husband invited the judge:

    To add back certain items that he alleged the wife had misappropriated on the basis that she had either recklessly or deliberately dissipated them from the parties’ resources;
    To draw negative inferences against the wife and to find that she had undisclosed assets which derived from the funds she had misappropriated during the marriage;
    To find that the wife’s conduct amounted to economic abuse under s 1(4) DAA 2021 and that it would be inequitable to disregard her conduct under s 25(2)(g) MCA 1973.

    By comparison, the wife’s position was that there should be broad equality although she conceded that she should be solely liable for certain debts in her name.
    It was held that the wife’s conduct fulfilled the definition of economic abuse under DAA 2021.  The judge found that the wife held undisclosed assets and also ‘added back’ an additional sum in respect of misappropriated rental income from a jointly owned property.
    Notwithstanding the observation by Mostyn J in OG v AG, that in order to impact on the ultimate distribution conduct must have ‘financially measurable’ consequences, the judge also made a small departure from equality to reflect the wife’s poor conduct.
    The husband was awarded 53% of the total assets (as adjusted). The wife was also ordered to make a significant contribution towards the husband’s legal costs. In her judgement, Honour Judge Reardon states:
    ‘In my view, W’s conduct falls within the definition of economic abuse contained in DAA 2021. In the longer term, if not on a day to day basis, W’s conduct has had a substantial adverse effect on H’s ability to access and use his own money […] I appreciate that there are some forms of economic abuse, for example those that involve the coercive restriction of the other party’s day-to-day expenditure, that may be more familiar, and therefore more easily recognised as abusive. However, W’s conduct in this case involved the exploitation of a dominant position, which is the essence of all forms of abusive behaviour; and the fact that H was unaware of W’s behaviour at the time, and that it did not directly impact on his daily life during the marriage, has only made his subsequent discovery of it more shocking. I am in no doubt that H feels a profound sense of betrayal, and that the harm caused by W’s actions has extended well beyond the financial detriment they have caused.’
    Traharne v Limb [2022]
    The case of Traharne v Limb [2022] EWFC 27 addressed the closely linked issue of coercive and controlling behaviour as conduct. The case involved a post-nuptial agreement and the wife sought to argue that she was subjected to coercive and controlling behaviour and had not freely entered into the agreement.
    The judge ultimately awarded the wife additional provision but her conduct arguments against the husband were unsuccessful. The wife was criticised for the time and costs spent on the conduct issue which was found to be ‘entirely unnecessary’. Consequently, the wife did not recover her legal costs in full. Whilst not persuaded that coercive and controlling behaviour was a factor in this particular case, Sir Jonathan Cohen was clear in his judgment that it may be a relevant factor in other cases.
    ‘In my judgment, Ormrod LJ’s words are as relevant now as they were when uttered over 40 years ago. They stand the test of time. Coercive and controlling behaviour would plainly be an example of undue pressure, exploitation of a dominant position of relevant conduct. It would be part of all the circumstances as they affect the two parties in “the complex relationship of marriage”. If Ormrod LJ were writing his judgment today, he might have employed words such as “coercive and controlling behaviour”.’
    In summary, the inclusion of economic abuse within DAA 2021 and the decision in DP v EP has broadened the definition of conduct within financial remedy proceedings but the evidential threshold, in order to succeed with conduct arguments, remains high. The potential cost consequences of running an unsuccessful conduct argument must be borne in mind as is highlighted in the case of Traharne v Limb.
    Related links
    Stowe Guide – What is economic abuse?
    The cost of financial uncertainty on relationships

    The cost-of-living in an abusive relationship More