When a marriage ends, one of the first questions I’m asked is “what am I entitled to?” It’s an entirely understandable question, and I wish I could give a simple answer. The honest response is that it’s rarely straightforward.
Jersey law does not apply a fixed formula when dividing assets on divorce. There is no automatic percentage split, and no guarantee that one spouse will receive a particular share of the matrimonial wealth. Instead, the Royal Court has a broad discretion to decide what outcome is fair in the circumstances of each case.
That flexibility allows the court to reach fair outcomes for very different families, but it also means that understanding your position from an early stage really matters.
It’s rarely just about the family home
Many people come to see me assuming that the family home is the main asset in play. In reality, a financial settlement often involves a much wider range of assets and financial resources.
Pensions are frequently among the most valuable assets in a marriage, yet in my experience they are regularly overlooked or underestimated. Business interests need careful thought too, particularly where one spouse owns shares in a company, runs a family business or has an interest in a professional practice.
Executive remuneration packages can add another layer of complexity. Bonuses, share schemes and share options may all need to be considered as part of the overall financial picture, depending on when and how those benefits were earned.
Inheritances raise their own questions. Assets inherited before or during a marriage are not automatically excluded from consideration. The court may take account of where an asset came from, but the source of an asset is only one factor in the wider assessment of fairness.
Then there are overseas assets. Property abroad, foreign investments and overseas bank accounts may all be relevant and should be disclosed. Full and frank financial disclosure is a fundamental part of financial proceedings, and failing to disclose assets can have serious consequences.
How the Royal Court decides what is fair
Rather than applying a rigid formula, the court considers a range of factors: the parties’ financial resources, their future needs and obligations, the welfare of any dependent children, and the contributions each spouse has made throughout the relationship.
Importantly, the court recognises both financial and non-financial contributions. A spouse who reduced their career opportunities to raise children or support the family may have a significant claim, even if they earned less during the marriage. This is a point I find myself making often, and it frequently comes as a relief to the person sitting across from me.
That flexibility promotes fairness, but it also creates uncertainty. Two families with broadly similar assets may reach very different outcomes because their circumstances are different. Without proper advice, it is easy to agree a settlement without fully understanding its long-term consequences, or to overlook assets that should have formed part of the negotiations.
Where to start
If divorce is being considered, start by gathering information. Locate recent bank statements, mortgage documents, pension information, business accounts, shareholding certificates and details of any investments or overseas assets. A clear picture of the family’s financial position is often the first step towards a constructive settlement.
It is equally important to take advice early. Understanding how the Jersey courts approach financial settlements helps you make informed decisions, identify potential risks and negotiate from a position of knowledge rather than uncertainty. Early advice is not about taking an aggressive stance. It is about understanding what a fair outcome may look like in your circumstances.
How Parslows can help
Financial settlements following divorce often involve a combination of legal, financial and practical considerations. At Parslows LLP, we help clients understand their position, identify the issues likely to influence the outcome of their case, and work towards fair and sustainable settlements. Whether matters can be resolved amicably or court proceedings become necessary, we provide clear, pragmatic advice tailored to your circumstances.
If you are facing divorce, or have already separated and want to understand your financial position, we can help you navigate what comes next with greater clarity and confidence.
Call us on +44 (0) 1534 630530 or email enquiries@parslowsjersey.com. We’re here to help you understand what comes next.