Legal Protection for Cohabiting Couples

Living together without getting married is becoming an increasingly popular choice.

And in the early stages of a relationship it can be easy to think things will always be smooth and problem free. Not having a legally binding arrangement, as you would in marriage, may be liberating. Discussing how children, finances, and property will be dealt with may seem unnecessary. You may think: “We love each other. Why would we disagree?”

Well, the reality is: Disagreements happen.

Even in the most breezy relationships.

Not discussing and deciding on important matters that have a big impact on both of your lives, such as asset division and parental responsibility, can put you at unnecessary risk.

Cohabiting couples have very few rights when it comes to children, property and finances. English and Welsh law does not deem unmarried couples to be in a legal relationship which means they are at risk should the relationship come to an end.

However, legal protection is available should problems arise.

Cohabitation Agreement

A cohabitation agreement can help to clarify things such as parental responsibility and splitting of property and assets. It can also be useful when dividing up payment of any debts, mortgages, holidays and repair and maintenance of property. Decisions about taking out life insurance and making a will can also be clarified with this.

To be considered in court a cohabitation agreement will need to meet the following requirements:

• The agreement was entered into freely and voluntarily by both parties.

• Full disclosure of all financial wealth has been made by both parties.

• Both parties independently sought legal advice about the agreement.

• The agreement is in the form of a deed and has been signed by both parties.

It is also imperative to keep the agreement updated with big life events such as the birth of children, disability, loss of employment etc.

Let’s look at one of the aspects that can be clarified using a cohabitation agreement.

Accounts and Assets

When it comes to money, it can be easier to keep bank accounts separate. However, things can become complicated that way.

For instance, should one partner die, the other will have no access or entitlement to the account and any balance will just become part of the deceased partner’s estate.

On the other hand, it can save a lot of stress if both partners have access to a joint account and have come to an agreement as to how the money must be divided before anything goes wrong.

But when it comes to debt, joint debts are more risky as both partners will be held responsible for the whole amount.

In this case, if one partner is financially irresponsible this can all fall on the other partner should the relationship end or that partner dies.

With assets, unmarried couples don’t automatically inherit a partner’s assets in the event of death. Rather, the estate of the deceased will be divided up according to intestacy if there is no Will in place which may mean the surviving partner may end up with nothing.

And of course, as with any other legal matters, when in doubt it is best to consult with a family lawyer

You never know how much asking for help could save you. Contact our team today.