Mediating Finances upon Divorce – Too Good to be True?

Clients often attend their Mediation Information and Assessment Meeting ‘MIAM’, wondering what mediation is really about. Some worry it’s about reconciliation at a time when they know the relationship has broken down – it isn’t. Other’s worry it’s a soft option and that only expensive litigation can get them the settlement they need. Mediation is anything but fluffy; it requires commitment and full and frank financial disclosure. It can be uncomfortable and challenging. However, it’s also quick, cost efficient and clients retain control of their own future.

Mediating Finances upon Divorce

Mediation is too good to be true…

A client told me that mediation sounded too good to be true. She asked why everyone isn’t doing it if it can save tens of thousands of pounds and avoid a long and often bitter court battle. Many separating couples feel that court is the only way forward as communication may be non-existent or extremely tense and they can’t agree. However that’s actually when mediation is often required and can assist. The next question is often, ‘Won’t I end up with a less favourable settlement if I don’t fight it out in court?’ Investing tens of thousands of pounds in a court process, doesn’t mean that it is the right process or the most advantageous. The courts are experiencing greater delays than ever before & a Judge, (when you finally get in front of one), is looking for fairness and how best to meet needs. It’s not about finding a winner. However to make litigation financially worthwhile clients often need to win. I encountered a couple with one asset of £500,000. One wanted a £300,000/£200,000 split and the other wanted £250,000 each. This was a particularly ugly court battle, but prior to their final hearing, each had borrowed £100,000 from their respective parents to finances the litigation. As this money had to be repaid, they had effectively reduced their £500,000 asset to £300,000. That litigation was clearly fuelled by anger and hurt. It’s very hard to walk away from a court battle when so much time, energy and money are invested

So just because you invest heavily in litigation, it doesn’t mean it’s a wise investment.

Focus Mediation was set up by Mary Banham-Hall, a highly experienced Family Lawyer. Long before mediation became popular, Mary felt that there was a better way to resolve family issues arising from separation or divorce. Our lawyer mediators know the law and we have huge collective experience representing spouses in financial proceedings. We know what’s practical and realistic and what past clients have achieved. Mediation allows clients to retain control over important decisions about their future. We fully support and encourage legal advice from solicitors. It helps clients to confidently make decisions in mediation so  their solicitor can then make the proposals binding.

Author: Sara Stoner, Family Mediator, Broxbourne & Potters Bar

Call us on 01908 231132 or Email: info@focus-mediation.co.uk for further information or to book a Mediation Information & Assessment Meeting (MIAM) (11 Locations: Milton Keynes, Bedford, Broxbourne, Hemel Hempstead, London, Northampton, Oxford, Potters Bar, St Albans, Harrow and Watford).

Read more about family mediation at:  www.focus-mediation.co.uk

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out /  Change )

Google+ photo

You are commenting using your Google+ account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s

%d bloggers like this: