Going through the divorce process, or separation, is one of the most stressful activities that you can possibly undertake. Talk to MIAMS
Financial Mediation is a well established method of dealing with issues involving finances and property. It can help you to reach a financial settlement which then provides the basis for legal advice, or agreement. Family Mediation can cover a range of issues:-
There is little difference between mediation and attending a solicitor, or court, to discuss financial problems. As mediation is an open process it can be much more agreeable than a legal solution. In mediation, financial details are freely and openly discussed.
The first step in resolving money and property issues is to make an honest assessment of your income and expenditure. This should be done according to the best possible prediction that you can make. You should also make a statement of assets and liabilities.
In summary you should:-
From this you can make decisions on issues such as:-
As well as the family home, there are other possessions and assets that should be discussed. If one party is losing access to future asset streams such as pension rights, endowments or share dividends then this should be accounted for.
You need to make sure that the division of assets is fair and equitable during the mediation process. This may not necessarily imply a 50% split of assets. You need to consider the needs of all parties concerned, including financial support for the children. You also need to consider future needs and requirements and how these may change in the future.
In summary, mediation provides a quick and efficient method to consider all issues involving property and assets. Most importantly, it can save you money when compared to expensive legal proceedings.
What is financial mediation in the context of separation and property? Financial mediation is a structured process where a neutral family mediator assists separating couples, including those in civil partnerships, in negotiating the division of finances and property. This includes discussions on financial settlements, property division, and other financial arrangements to reach a fair and legally binding agreement.
The financial mediation process involves several key steps:
1. Mediation Information and Assessment Meeting (MIAM): This introductory meeting provides information about mediation and assesses its suitability for your situation.
2. Full Financial Disclosure* Both parties must provide comprehensive financial information, including Form E, bank statements, house valuations, endowment policies, and details of outstanding debts.
3. First Mediation Meeting: During this session, the mediator helps outline the financial issues and set goals for the mediation process.
4. Mediation Sessions: Multiple sessions may be needed to negotiate the terms of the financial agreement, such as the division of property and financial support.
5. Memorandum of Understanding Once an agreement is reached, the mediator drafts a Memorandum of Understanding, summarizing the terms of the agreement.
Why is full financial disclosure important in mediation Full financial disclosure ensures transparency and fairness in the mediation process. Both parties must provide accurate financial statements, including bank statements and valuations of properties and assets. This allows for a fair assessment and division of financial resources.
What is a consent order and why do I need one? A consent order is a legal document that makes the financial agreement reached during mediation legally binding. It is approved by a court and ensures that both parties adhere to the agreed terms. This is essential for finalizing the financial aspects of the divorce process.
Can legal aid be used for financial mediation? Yes, legal aid may be available for individuals on a low income to cover the costs of financial mediation. Eligibility depends on your financial circumstances and the complexity of your financial situation.
How does MIAMS mediation handle property and financial settlements? During mediation, the division of property and financial settlements are discussed in detail. This includes house valuations, division of endowment policies, and allocation of outstanding debts. The aim is to reach a fair agreement that considers the financial needs and contributions of both parties.
What if there are issues of domestic abuse? f there are issues of domestic abuse, mediation may not be suitable. The mediator will assess whether mediation is appropriate, prioritizing the safety and well-being of all parties. Alternative legal routes may be recommended in such cases.
What role does a solicitor play in financial mediation? A solicitor provides legal advice on the terms of the financial agreement reached during mediation. They can help draft the consent order and ensure that the agreement is legally binding. Independent legal advice is crucial for understanding your rights and obligations.
What is the family mediation voucher scheme? The family mediation voucher scheme helps cover the cost of mediation sessions for eligible families. This can make mediation more accessible, especially for those on a low income, and support the resolution of financial and property disputes.
How are complex financial situations handled in mediation? Complex financial situations, such as those involving multiple properties, high-value assets, or intricate financial arrangements, are handled with careful consideration and detailed financial disclosure. The mediator may involve third persons, such as financial advisors, to ensure all aspects are addressed comprehensively.
What happens if we cannot reach an agreement through mediation? If an agreement cannot be reached, the next step may involve making a court application for a financial order. The family court will then decide on the division of assets and financial support, aiming for a fair settlement based on the financial circumstances of both parties.
How can I start the financial mediation process? To begin the financial mediation process, our team to schedule a MIAM. This initial meeting will provide mediation information and help determine if[ Name] mediation is suitable for your situation. Many services offer the family mediation voucher scheme to assist with costs.
For more detailed guidance and to start the financial mediation process, visit our website or contact us via email. MIAMS offers resources and support to help you navigate financial and property mediation effectively, ensuring a fair and legally binding agreement.
General information about Mediation, Please click the links below to find out more info:
Family’s are deeply affected by divorce or separation, especially when there are children in the family. Often these painful situations can be helped with the supportof a mediator who will hold a Mediation Information Assessment Meeting or MIAM. A MIAM can guide communication and set the tone for the goals of mediation.
When attending a court proceeding on the matter, the family will need to present an FM1 (Family Mediation 1 form) which confirms that a MIAM has been held.
As of April 2014, significant changes were made to the judicial system regarding separation and divorces, particularly where children were involved. These changes ensure that the welfare of the children is paramount, with minimal impact on the children and as little negativity as possible. One of the major changes was a requirement for a mediation session or MIAM to be attended before any court proceedings to do with financial or custody matters (hence the need for a FM1 to be produced).
If the split is acrimonious and both parties find it difficult to be in the same room, as would happen with face to face mediation, it is possible to ask for shuttle mediation.
Shuttle sessions happen when the two parties are seated in separate rooms either virtually or physically and the mediator shuttles between the two, discussing issues and offering solutions.
Shuttle mediation is often a good solution with distance between the parties allowing for rational and reasoned thinking.
[MIAMS Mediators can also help with will disputes: resolving issues between and coming to an acceptable compromise to the conflict that arises as a result of separation.