When does inherited money become a matrimonial asset, if ever?

jtk174

Married over 20 years and spouse inherited a house and money from a friend. We were to move into the house and sell our own, but the house was sold and the proceeds along with the other cash was invested in seperate accounts in each of our names.
Some of the money was also used to pay most of our existing joint mortgage. This was around 4 years ago.

Now going through divorce over the last 18 months my other half wants all the money back. The money that paid the mortgage off, plus £20K for a conservatory. The money that had been put in my sole name and money that had been put in joint savings.

Question is, when, if ever does the above inheritance scenario become a 50/50 split, or what would be a reasonable division?
And finally does anyone know if the law in Northern Ireland is any different from the rest of the UK?

Thanks.

McKneff

I think he's pulling yur plonker (or his own)

You really would be better going to see a solicitor.

jtk174

Thanks for the reply.

Unfortunately, I have a solicitor and a barrister!

I kept it simple so people would understand the issue. When I asked the solicitor the same question, his reply was " there is no hard and fast rule".
The reality is, it has not been handled well and I really should go somewhere else, but having met with the barrister 5 times in 18 months at so called "joint consultations" I now have been told to expect a bill of around £10K! Starting from scratch and fighting for a reduction in the bill at the same time would tip me over the edge.

Really all I need is an answer that I can stand over, or even show precedence in and I will be happy. Well happier

I could write a book about it, but I have developed a couple of strategies to help cut through the BS.
Perhaps when its all over I will start a blog.

Errata

In very broad terms, the split of assets of a marriage starts at 50/50 and the dickering starts from that point.
Like the solicitor says, there is no hard and fast rule - each case is treated on its own merits.

jtk174

Thanks for your reply.

I am told that where inheritance is involved there are additional problems and a 50/50 split will not happen.

However, I guess the main point I was seeking clarification on is "At what point does the inheritance stop being that persons sole benefit and become a joint one because of being married?

Is it reasonable to say here is some money in an account, its yours and by the way I have paid of the mortgage so reduce your payments into the joint account accordingly and then want at least the lions share back, because it was an inheritance?

Savvy_Sue

jtk174 wrote: »

Is it reasonable to say here is some money in an account, its yours and by the way I have paid of the mortgage so reduce your payments into the joint account accordingly and then want at least the lions share back, because it was an inheritance?

whether it's legally reasonable or not isn't something I'd know anything about. but would it be reasonable to say it sounds as if you're well shot of someone who thinks it IS reasonable to ask for it back, having given it to you / jointly spent it with you?

jtk174

Savvy_Sue wrote: »

whether it's legally reasonable or not isn't something I'd know anything about. but would it be reasonable to say it sounds as if you're well shot of someone who thinks it IS reasonable to ask for it back, having given it to you / jointly spent it with you?

That thought has certainly occured to me .
Unfortunately until the legal eagles get it sorted I can't get shot of it.

Enjoyed reading your comment tho!

SailorSam

I'm surprised at that, i would have thought if one of a married couple came into an inheritance it would automatically become 'theirs'. Especially as in the Ops case that it was a long marriage.

Padstow

Don't know about NI. In my case E&W, my inheritance five years ago was counted as "ours". In Scotland, I believe, it wouldn't be.

clearingout

Could you reasonably pay back your half of the money, buy a house and have a reasonable standard of living after the divorce? In other words, are you sitting on a fortune personally? If so, don't get bogged down in it all, pay him back and get rid of him. If not (and I suspect this will be the case) you need to take the stance that it was spent for the general good of the family some years ago now and what's done is done. My own divorce featured an inheritence I never had (my ex was convinced my dad had left me a small fortune when he died 3 months after our separation) which is different to this but I have always been given the impression that once it's gone, it's gone and nothing to be done.

Have you attempted mediation? I'm pretty sure a mediator would put him straight. Solicitors can be very difficult to deal with as they can't tell you 'you'll get X, Y and Z' because they can't be sure. Law is a funny thing, terribly inexact. Don't give in to pressure - you need to think of your future.

zzzLazyDaisy

Okay, this is just my understanding from my own marriage, and from the little I have picked up from colleagues working in this area - so don't take it as legal advice.

Edited to add - I am in England.

1 If the house is in joint names, the starting point is 50/50, regardless of who paid what into the house. On divorce the courts have the power to alter the shares to achieve fairness and according to the parties needs. So if, say, one party had young children to take care of, or couldn't work because of disability, then they might get a bigger share of the house.

2 If the husband gives the wife money to put into their bank account (usually to save tax or increase ISA spread) then that money is counted as a gift and belongs solely to that person and cannot be taken back.

3 All assets belonging to both parties are taken into account as matrimonial assets when considering the financial split.

So I think it is fair to say that he can't just ask you for all the inheritance back and then keep that for himself, the situation is far more complicated than that.

Sorry there isn't a cut and dried answer.

EDIT - slightly off topic, but my close friend had a really bad car accident some years ago. He got compensation which was supposed to pay for his care needs. I suspect it was handled badly as it wasn't placed in trust, but in a fixed rate savings account which paid interest each month. She left him a couple of years later and she got half the compensation money in the divorce. So that would suggest that, at least in some cases, sole assets become matrimonial assets fairly quickly!