Parliamentary.ai

Overview

This bill aims to provide legal protections for cohabiting couples in England and Wales, addressing financial issues upon separation or death of a partner. It introduces financial settlement orders, similar to those available to married couples, and grants inheritance rights to surviving cohabitants.

Description

The bill defines "cohabitant" as two unmarried people living together as a couple, meeting specific criteria (e.g., being parents of a child, or cohabiting for three years or more). It establishes "financial settlement orders" allowing former cohabitants to apply to court for financial redress within two years of separation, considering factors like contributions and economic disadvantage. The court can order lump sum payments, property transfers, or pension sharing. "Opt-out agreements," allowing couples to waive these rights, are permitted, but can be overturned if deemed manifestly unfair. The bill also gives cohabitants certain rights regarding insurance policies, death registration, and inheritance in cases of intestacy (dying without a will). Amendments are made to several existing Acts to accommodate these changes, including the Administration of Estates Act 1925, the Intestates' Estates Act 1952, the Inheritance (Provision for Family and Dependants) Act 1975, and the Fatal Accidents Act 1976.

Government Spending

The bill doesn't directly specify government spending figures. However, it's likely to lead to increased court costs associated with the processing of financial settlement order applications and related legal proceedings. The government will also incur administrative costs in implementing and enforcing the new legislation.

Groups Affected

• Cohabiting couples: Gain significant legal protection concerning financial matters upon separation or death.
• Former cohabiting couples: May be able to access financial settlements from former partners.
• Children of cohabiting couples: Benefit indirectly through the court's consideration of their welfare in financial settlement orders.
• Legal professionals: Increased demand for services related to cohabitation agreements, opt-out agreements, and court applications.
• The Courts: Increased workload related to resolving disputes under the new legislation.